Keep Profitability Positive, GIS Captures Growth Opportunities From The 3 Million Houses Program

The management of SIG and BTN directly inspected the house built with the Precise Interlock Brick at Sulthan Residence, West Pasaman Regency, West Sumatra, on October 11, 2024. (Photo: Doc. SIG)

JAKARTA - PT Semen Indonesia (Persero) Tbk (SIG) reported the financial performance of consolidated (unaudited) for the January-September period 2024, with the following summary:

The sales volume was 28 million tons. Revenue was recorded at IDR 26.29 trillion. The cost of revenue was recorded at IDR 20.27 trillion. The EBITDA was recorded at IDR 4.3 trillion. This is a profit for the period attributable to owners of the parent entity amounting to IDR 720 billion.

SIG's Corporate Secretary, Vita Mahreyni, said that the condition of the domestic cement industry has not shown a significant improvement in the first nine months of 2024. This condition has an impact on reducing the sales volume of GIS, especially in the cement bag segment. However, SIG managed to secure sales in the bulk segment, resulting in an increase of 3 percent yoy.

"In the midst of the challenging domestic cement industry, GIS was able to maintain positive profitability performance achievements. GIS managed to record revenues of IDR 26.29 trillion with EBITDA recorded at IDR 4.3 trillion, and profit for the period attributable to owners of the parent entity amounting to IDR 720 billion," said Vita Mahreyni, Friday, November 1.

GIS also managed to record a decrease in net finance costs by 13.5% lower yoy, in line with lower interest debt balances of IDR 3.49 trillion compared to the position on September 30, 2023.

Vita Mahreyni added that SIG is optimistic that the domestic cement industry has good prospects, following the government's commitment to continue the IKN (National Capital) project and other strategic projects.

Moreover, the Indonesian government under the leadership of President Prabowo Subianto is determined to accelerate the provision of housing for the community through a program of 3 million houses per year. This program is expected to boost demand for cement that contributes to the company's performance growth.

As a company providing leading building material solutions in Indonesia, SIG is ready to support the government for the success of development programs through the provision of green cement products and their environmentally friendly derivatives. The Interlock Brick (PIB) Precise, for example, this GIS green cement derivative product can be the main choice for the government and property developers as effective, efficient, and earthquake-resistant housing development solutions. The use of PIB also made the construction duration faster, as evidenced in the construction of an example of type 36 environmentally friendly site occupancy at IKN within 15 days.

"SIG also continues to focus on encouraging green cement and its innovative and environmentally friendly derivative products as catalysts for sustainable performance growth. GIS is also ready to collaborate with various parties, including banks in building environmentally friendly houses through capital facilities for property developers, as well as financing facilities (House Ownership Credit or mortgage) for the community to own a house," said Vita Mahreyni.