Indomaret Parent Owned By Conglomerate Anthony Salim Holds AGM Today, Want To Divide Dividends From Profit Of Rp943.11 Billion?

Indomaret outlet. (Photo: Doc. Wikimedia Commons)

JAKARTA - Shareholders of the parent retail company Indomaret, PT Indoritel Makmur Internasional Tbk (DNET), are waiting for the dividend distribution decision at the 2021 annual general meeting of shareholders (AGMS) to be held today, Tuesday 19 July.

One of the agenda items that shareholders are waiting for is the determination of the use of the company's net profit for the financial year ending on December 31, 2021. Indoritel Makmur Internasional last distributed dividends for the 2015 financial year profit.

At that time, DNET distributed a total dividend of IDR 28.36 billion or IDR 2 per share in 2016. In the last 3 years or the 2018 - 2020 financial year, DNET has also failed to distribute dividends to shareholders.

The 2021 annual report notes the reason the company did not distribute dividends during that period.

"The shareholders agreed not to distribute dividends on the grounds that there was no cash surplus from operational activities after the funds were set aside for reserve funds, funding activities, capital expenditure plans and the company's working capital," Indoritel Makmur Internasional management wrote in its 2021 annual report, quoted on Tuesday. July 19.

As for the 2021 period, Indoritel Makmur Internasional has a classy financial performance report card. Based on the company's financial statements as of December 31, 2021, DNET recorded an increase in revenue from contracts with customers by 72.72 percent compared to the previous year of Rp488.88 billion to Rp844.41 billion.

Overall revenue from contracts with customers in 2021 also recorded an increase, both from third party and related parties. The largest source of revenue was recorded in the type of third party services for corporations, which amounted to Rp.422.43 billion, and below that came from third-party retail, which amounted to Rp.349.65 billion.

Furthermore, the company also recorded an increase in the profit share from associates and joint ventures from IDR 346.10 billion in 2020 to IDR 748.48 billion throughout 2021.

Thus, the company's operating profit increased dramatically from Rp385.24 billion in 2020 to Rp1.00 trillion in 2021. From there, the profit for the year attributable to owners of the parent entity DNET grew to 186.81 percent from Rp328, 83 billion in 2020 to Rp943.11 billion in 2021.

As a result, the earnings per share (EPS) to be distributed by the company for the 2021 financial year is IDR 66.49, up from the previous year's position of IDR 23.18.

Departing from this achievement, investors will certainly look forward to the decision of DNET shareholders at the 2021 AGMS. As an illustration, the largest DNET shareholder currently is Hannawell Group Limited with 39.35 percent, conglomerate Anthony Salim with 25.30 percent, then PT Megah Eraraharja as the controller with 25.13 percent.

The rest, the portion of ownership by public or public investors was recorded at 1.44 billion shares, equivalent to 10.22 percent as of May 31, 2022.