Dharma Satya Nusantara Earns IDR 229 Billion Net Profit In The First Quarter Of 2024

Rupiah (Photo: Antara)

JAKARTA - PT Dharma Satya Nusantara Tbk (DSNG) recorded a profit of IDR 229 billion in the first quarter of 2024. This achievement increased 6.6 percent compared to the same period the previous year.

The profit was due to an increase in sales of the palm oil business segment, wood products, and renewable energy.

President Director of DSNG Andrianto Oetomo said that during the first three months of 2024, the company managed to record sales of IDR 2.23 trillion, up 7.9 percent compared to the same period in 2023.

The palm oil business segment, he continued, contributed 85 percent of the company's total revenue or IDR 1.9 trillion, up 5.1 percent compared to the same period last year of IDR 1.8 trillion.

The increase in palm oil sales in the first quarter of 2024 was driven by an increase in CPO (Crude Palm Oil) and PKO (Palm Kernel Oil) sales by 3.7 percent and 45.1 percent, respectively, although the average price of DSNG CPO in this period fell 2 percent compared to last year.

"The global market price for vegetable oil has decreased earlier this year due to an increase in vegetable oil supply and geopolitical factors in several countries," he said, quoting Antara.

He said that in the first quarter of 2024 CPO production also fell 1.6 percent from last year due to the decline in external fruit purchases. However, the company is still able to maintain a bottom line with positive growth followed by an increase in sales of the palm oil segment, wood products, and renewable energy (EBT).

This year, he added, the EBT segment has contributed sales of around 2.5 percent or Rp57 billion from sales of palm oil shells to the Japanese market.

In addition, DSNG is also able to manage gross profit and operating profit with an increase of 17.2% and 30.8% YoY, in addition to recording EBITDA of IDR 635 billion, an increase of 21.6% YoY, following the normal fertilizer price and a significant increase in OER to 24.16%.

For wood products (wood products), sales contributed Rp269 billion, or an increase of 5.7 percent YoY which was driven by an increase in sales volume of panel wood products by 30 percent, although for the average selling price, both panel wood products and engineering flooring experienced a decrease of 13.2 percent and 3.7 percent YoY, respectively.

Meanwhile, the financial performance in Q1-2024 reflects the company's solid financial position with total assets worth IDR 17 trillion, up 5.2 percent YoY, with liabilities of IDR 7.9 trillion and equity of IDR 9.2 trillion.