Prepare IDR 500 Billion Capital Expenditure, Mitra10 Store Owners Targets 10 Percent Performance Growth

Illustration. (Photo: Doc. Chess Sentosa Adiprana)

JAKARTA - PT Catur Sentosa Adiprana Tbk (CSAP) distribution company for Building Materials, Chemicals, and Consumer Goods/FMCG is optimistic that performance growth will be stronger in 2021. The owner of the modern retail outlet network Mitra10 and Home Furnishing Atria has prepared capital expenditure (Capex) of IDR 500 billion to finance the company's expansion.

Idrus Widjajakusuma, Corporate Secretary of PT Catur Sentosa Adiprana Tbk said that 80 percent of Capex was allocated to finance the modern retail expansion of Mitra10 and Atria. The growth of Mitra10 and Atria outlets is also accompanied by improved supply chain and logistics systems.

So in terms of distribution segment will also increase its revenue and integrated with the expansion of the modern retail segment. In addition to aggressive development in the modern retail segment, private brand contributions are also important because they can improve better margins that ultimately increase profitability.

"The contribution of private brands in the retail segment has reached 26 percent, while in the distribution segment approximately reached 22 percent. Private brands owned in Mitra10: Tidy, Sincere, Zehn, etc. While in distribution among others: Happy House, Volk, Renovo, etc.", said Idrus, in his written statement, Sunday, May 23.

Idrus continued, in 2021 Catur Sentosa Group targets consolidated growth of 10 percent, the distribution segment is targeted to grow by 6 percent. While the retail segment is targeted to grow by 15 percent.

"Management is confident that the high demand for residential and renovation will continue to drive the company's revenue growth. In addition, improving the handling of COVID-19 including vaccination programs is believed to be one of the positive catalysts for the community and the business world to gradually jointly restore the national economy", Idrus explained.

At the end of 2020, CSAP consolidated revenue reached IDR 12.7 trillion, growing 4.8 percent compared to 2019. The distribution segment grew positively 3.8 percent to IDR 8.33 trillion and the modern retail segment grew 7.2 percent to IDR 4.52 trillion.

Similarly, significant growth occurred in net profit or net profit of the company to IDR 90 billion in the period 2020 which previously only IDR 46 billion in the period 2019, This means that there was a growth in net profit of 97 percent.