Gudang Garam Cigarette Producer Owned By Conglomerate Susilo Wonowidjojo Profits Drop 59 Percent To Rp956.14 Billion Despite Raising Revenue Of Rp61.67 Trillion

JAKARTA - The tobacco company owned by conglomerate Susilo Wonowidjojo, PT Gudang Garam Tbk (GGRM) recorded an unsatisfactory financial performance in the first semester of 2022. The company's profit fell, although it reaped growth from the top line.

In Gudang Garam's financial report, quoted Monday, August 1, this cigarette issuer recorded a net profit that fell 59.37 percent in the first half of this year, which was Rp.956.14 billion compared to Rp.2.35 trillion in the first semester of 2021. inversely with revenues that rose 1.82 percent on an annual basis to Rp61.67 trillion.

Gudang Garam's revenue from domestic cigarette sales accounted for the largest portion, with details of machine-made kretek (SKM) cigarettes worth Rp. Overall, Gudang Garam's cigarette sales in the domestic market in the first semester of 2022 rose 2 percent, worth Rp. 60.8 trillion from Rp. 59.7 trillion in the same period in 2021.

Meanwhile, Gudang Garam's cigarette exports recorded a decline, from Rp.861.27 billion in the first half of 2021, to Rp.787.4 billion in the first half of this year. Gudang Garam's cost of goods sold reached Rp. 56.53 trillion, up 4.37 percent compared to Rp. 54.16 trillion in the first half of last year.

The highest selling expenses came from the increase in excise stamps, VAT, and cigarette taxes which increased by 10.68 percent to reach IDR 50.70 trillion compared to the first half of 2021, which was IDR 45.81 trillion.

In addition, Gudang Garam also bears a number of costs that have also ballooned, such as transportation, transportation, advertising, promotion and other marketing expenses which reached a total of Rp1.12 trillion, up 14.20 percent from the previous Rp980.65 billion.