At The AGMS, Semen Baturaja Claims Recorded Sales Volume Of 1.93 Million Tons In 2020

JAKARTA - PT Semen Baturaja (Persero) Tbk (SMBR) has just held the 2020 Annual General Meeting of Shareholders (AGMS) at Wisma Antara, Central Jakarta, Thursday 27 May.

Shareholders attend the AGMS in person and online due to health protocols that limit the presence of AGMS participants on the spot. The AGMS was chaired directly by the President Commissioner of SMBR Franky Sibarani,

At the AGMS this time, shareholders unanimously gave approval for eight agenda items, including the approval of the annual report and the SMBR audit financial report for the 2020 financial year, including the ratification of the financial statements of the partnership program and environmental development for the 2020 financial year until the amendment to the company's articles of association.

The AGMS also approved changes to the company's management. This change is a proposal from the Series A Dwiwarna shareholder with an agreement according to the company's future needs.

The company would like to thank and give the highest appreciation for the contribution of the company management in maintaining the financial and operational performance of SMBR.

There has been a change in the composition of the Company's management with the addition of the appointment of the Independent Commissioner of PT Semen Baturaja (Persero) Tbk Chowadja Sanova. Then the new composition of the Company's management based on the resolutions of the AGMS for the 2020 Financial Year:

Board of Commissioners

President Commissioner: Franky Sibarani

Commissioner: Okay Nurwan

Independent Commissioner: Darusman Mawardi

Independent Commissioner: Endang Tirtana

Independent Commissioner: Chowadja Sanova

Board of Directors

President Director: Jobi Triananda

Production & Development Director: Daconi

Director of Finance & Risk Management: Amrullah

General Director & HR: M. Jamil

Marketing Director: Mukhamad Saifudin

The AGMS also approved a report on the company's performance during the 2020 financial year. In the report submitted by the President Director (Managing Director) of SMBR, Jobi Triananda Hasjim, the company was able to record positive performance by maximizing revenue by reaching IDR 1.72 trillion and increasing EBITDA to IDR 416.4 billion or an increase of 2 percent from 2019.

"This positive performance is the result of various strategic initiatives that have been carried out by management to encourage efforts to increase revenue. With the efficiency of production costs and business costs, improvements to the distribution system and arrangement of distributors are able to significantly reduce the cost of goods", he said.

The company encourages efforts to increase revenue by recording a cement sales volume of 1.93 million tons and other non-cement sales such as white clay, cement mortar, porous concrete, and others. The biggest sales contributor is still obtained from the sale of packaged cement which is distributed among distributors in the marketing areas of Semen Baturaja.

This strategic initiative that has been carried out is brought back by the company in 2021 and was able to record an increase in revenue in the first quarter of 2021 by 20 percent yoy with a gain of IDR 394 billion.

Continuity in cost efficiency was also able to reduce the cost of goods sold by 21 percent compared to the same period in 2020 to the first quarter of 2021, the company's positive net profit was IDR 17.9 billion.

As a state-owned company (BUMN) in the Sumatra region, SMBR is able to maintain sales growth to meet demand in the regions of South Sumatra, Jambi, Lampung, Bengkulu, and Bangka Belitung. The Sumatra region has positive cement growth with demand increasing sales volume in the first quarter of 2021 by 22 percent to 452.931 tons.

Through various strategies that are carried out to improve the company's performance, among others, product quality policies that adjust to customer needs, supply continuity policies such as the readiness of the transportation fleet to buffer stock in strategic sales areas and the sale of derivative products such as white clay, cement mortar, porous concrete, and others.

The company is optimistic that the 2021 sales target can be achieved due to an increase in the 2021 State Budget for infrastructure by 47.3 percent to IDR 414 trillion and national economic growth which is expected to increase by 4-5 percent.

"The government has started their strategic projects and Semen Baturaja has participated in government strategic projects that provide opportunities for the company to increase sales volume and overcome cement oversupply", added Jobi.