PP Presisi Boosts Revenue Through Mining Services Business

Photo: Doc. PP Precision

JAKARTA - PT PP Presisi Tbk (PPRE) is committed to staying focused on the mining service business as the company's strategy in 2024. This was revealed in a public exposure to the annual PPRE which was held today, Wednesday, December 20.

PP Presisi has targeted several potential markets in mining services that are obtained continuously to boost revenue to increase added value for all stakeholders. In addition to focusing on PP Presisi mining services, it also continues to synergize with PT PP as the parent company in the construction service business, especially infrastructure.

Along with the achievement of a new contract in the third quarter of 2023 which experienced an increase of 69 percent YoY by Rp4.9 trillion when compared to the achievement in the third quarter of 2022 of Rp2.9 trillion, the market contribution to the mining service business line dominated 78 percent.

The contribution of revenue to mining services has also increased to 48 percent, civil work 46 percent and the rest from business support of 6 percent. The achievement of revenue and market contributions to mining services is encouraging considering the company's current business focus and in the future is on developing the mining service business.

"This focus is of course also in line with government policies in the mining downstream program by stimulating the construction of smelters that encourage demand for battery raw materials that cause increased production in nickel," said the President Director of PT PP Presisi Tbk, I Gede Upeksa Negara.

With the acquisition of the new contract that the company received in mining services in the third quarter of 2023, I Gede said he was optimistic that he would achieve the profit target expected in 2023. It also targets an increase in revenue by approximately 20-30 percent by 2024.

"To achieve this goal, we have developed a strategy through increasing human resource capabilities, especially those that support Mining needs, increasing tool productivity with IT support and technology equipment, increasing financial capacity, and improving corporate governance by always prioritizing Quality, Health, Safety and Environment. It is hoped that through these efforts, our focus on integrated mining services can further increase added value for stakeholders," added I Gede Upeksa Negara.

"In addition, we are currently also doing financial strategies with several financial scheme options through long-term financing or bond issuance as well as other financing schemes that we will use to add fleets to the mining services needed in line with the improvement and projection of new contracts," said Arif Iswahyudi as Director of Finance, Manrisk & Legal PP Presisi.