Strengthening Long-Term Export Sales, GIS Speeds Up Pier Projects And Production Facilities In Tuban

Photo: Doc. Cement Indonesia Group (SIG)

JAKARTA - PT Semen Indonesia (Persero) Tbk (SIG) reported consolidated financial performance in the first quarter of 2025 with the following summary:

- Sales volume of 8.57 million tons - Revenue was recorded at IDR 7.65 trillion. - Cost of revenue was recorded at IDR 6.09 trillion. - EBITDA was recorded at IDR 1.09 trillion. - Profit before tax of IDR 102 billion - Profit for the period attributable to owners of the parent entity amounting to IDR 43 billion.

SIG's Corporate Secretary, Vita Mahreyni, said the domestic cement industry contracted in the first quarter of 2025, both in the cement bag segment (retail) and bulk (bulk). This condition has an impact on decreasing sales volume and GIS revenue. Nevertheless, SIG managed to record an increase in regional regional sales by 13.8 percent year-on-year (yoy).

In terms of costs, the cost of revenue was recorded at 1.2 percent lower yoy to Rp6.09 trillion. At the same time, GIS was able to reduce operating costs by 2.6 percent lower yoy to Rp1.26 trillion.

Net financial costs were also recorded at 30.7 percent yoy to Rp179 billion in line with lower interest debt balances.

"Strategi SIG to work on opportunities in the regional market has proven successful in contributing sales of 2.37 million tons of cement, up 13.8% yoy in the midst of tight retail market competition," said Vita Mahreyni, Friday, May 2.

Vita Mahreyni added, to encourage performance growth, GIS will increase its focus on the retail segment through a strategy that focuses more on the conditions of each region.

GIS also continues to maintain leadership in industry by presenting a green cement portfolio and its innovative and environmentally friendly derivative products. One of them is precision interlock bricks that are suitable to support the government's 3 million homes program in order to provide quality, affordable, and environmentally friendly housing for the community.

GIS will also maximize the export market as a strategic step to boost sales. Currently, GIS is completing a project to develop a dock and production facilities at the Tuban Factory, East Java as an important basis for maximizing opportunities in the export market.

The cooperation project between SIG, through its subsidiary PT Solusi Bangun Indonesia Tbk, and Taiheiyo Cement Corporation, aims to increase export capacity, especially special type cement to international markets, particularly the United States. With an export capacity of up to 1 million tons of cement per year, this project will be an important milestone not only in strengthening distribution capacity, but also contributing to export market competitiveness and strengthening the Company's global distribution network.

"SIG is ready to serve the international market by bringing the nation's children's proud products to the world stage. Not only to overcome the increasingly competitive challenges of the domestic market and oversupply conditions, this business expansion is also a place to prove that GIS is able to compete with global cement producers," said Vita Mahreyni.