Global Economy Recovers, Chandra Asri Books A Net Profit Of 8.5 Million US Dollars In The First Quarter Of 2023

JAKARTA - PT Chandra Asri Petrochemical Tbk (TPIA) posted a net profit after tax of 8.5 million US dollars in the first quarter of 2023. This figure has increased when compared to the net loss of 11.1 million US dollars in the first quarter of 2022.

The positive profit was obtained from the company's net income of 502.3 million US dollars in the first quarter of 2023. However, the company's net income position in the first three months of this year decreased compared to the first three months of 2022.

Director Chandra Asri, Suryandi said, the first quarter of 2023 is a turning point in the petrochemical industry.

Growth was largely influenced by global economic recovery, which was marked by a significant increase in Southeast Asia's production rate and reopening China after the lifting of COVID-19 restrictions.

"The company recorded a net income of 502.3 million US dollars and a positive EBITDA of 66.1 million US dollars in the first quarter of 2023, compared to EBITDA of 24.1 million US dollars in the first quarter of 2022 or an increase of 174 percent. Finally, net profit for the first 3 months of this year reached 8.5 million US dollars," he said in his statement, quoted on Tuesday, June 20.

He stated that Chandra Asri remained steadfast in financial resilience and managed to maintain a strong balance sheet. Then, the company has flexibility in carrying out its business strategy.

Pada 31 Maret 2023, perseroan memiliki liquidity pool sebesar 2,3 miliar dolar AS yang terdiri dari kas dan setara kas sebesar 881 juta dolar AS, surat berharga 997 juta dolar AS, dan fasilitas committed revolving credit sebesar 422 juta dolar AS.

On February 27, 2023, the company succeeded in acquiring 70 percent of shares in Krakatau Daya Listrik (electric business) and 49 percent of shares in Krakatau Tirta Industri (water business) through a special purpose vehicle, PT Chandra Daya Investasi.

The series of bolt-on transactions in the infrastructure sector are directed to produce stronger business performance with smaller risks, through creating an integrated ecosystem and synergizing in industrial complexes in the Cilegon area.

"This is part of the Company's Programmatic M&A strategy, leveraging Chandra Asri's financial strength and a solid reputation as a growth partner," he explained.

He continued, while the volatility is expected to continue due to geopolitical uncertainty and ongoing energy prices, the company remains confident in its long-term prospects and implements its expansion plan with discipline and focus.

In the first quarter of 2023, Chandra Asri completed and signed the MoU with INA, a sovereign wealth fund, to jointly develop a world-scale chlor-alkali factory in Indonesia, which is designed to serve Indonesia's growing downstream industry and focuses on the value chain of Electric Vehicles (EV).

"As part of accelerating investment plans, the company has also appointed the world's leading license giver and is continuing the FEED offering process," said Suryandi.