The Hartono Brothers' Ranch Market Of The Djarum Group Budgeted Capital Expenditures Of IDR 42 Billion This Year

JAKARTA - The retail company from the Djarum Group owned by the Hartono Brothers conglomerate, PT Supra Boga Lestari Tbk (RANC) is targeting revenue growth of 21.2 percent in 2022. The net profit for the manager of the Ranch Market outlet is projected to shoot up 261.8 percent.

To achieve this target, RANC has prepared a number of strategies and business plans. Among them, RANC intends to open three to four new outlets throughout 2022.

RANC also allocated a capital expenditure of IDR 42 billion this year to support the opening of the new outlet. The funds come from internal cash funds as well as from banks.

Director of PT Supra Boga Lestari Tbk, Hady Purnama, explained that until now the use of capex funds has only been used for around 25-30 percent of the allocation in 2022.

"The use that has been absorbed is 25-30 percent of the annual capex of IDR 42 billion in 2022. The allocation is for the construction of new outlets and adding equipment and logistics facilities at the company," he said in a virtual Public Expose presentation, Tuesday, May 31.

Hady said the new opening is scheduled to be opened in the second semester of 2022, one of which is in Sarinah Thamrin.

For information, RANC has 4 supermarket brands that have their respective advantages and segments. RANC's supermarkets are Ranch Market, Farmers Market, Gourmet by Ranch Market, and Day2Day by Farmers Market.

The President Director of RANC, Meshvara Kanjaya, said that the target for opening stores this year is to have three outlets in Jakarta and one more outlet on the island of Sulawesi.

"The plan is that the addition of the outlets will be carried out in the second quarter to the fourth quarter of 2022. For the city, we have no information at this time," he explained.

As of December 2021, RANC has had 70 outlets operating in 16 cities in Indonesia. The details are Jabodetabek 53 outlets, Sumatra 3 outlets, Central Java 1 outlet, East Java 8 outlets, Ambon 1 outlet, and Kalimantan 4 outlets.

"We see that the sales growth map is starting to develop not only in Jabodetabek, so we will certainly expand distribution and expansion outside Jabodetabek," he said.