Breaking News
Home » Oil and Gas » Downstream » Higher price of petroleum, basic chemicals lift AKR Q1 results

Higher price of petroleum, basic chemicals lift AKR Q1 results

JAKARTA ( – PT AKR Corporindo Tbk (IDX:AKRA), distributor of Petroleum, Basic chemicals and provider of Logistic & supply chain services in Indonesia reported Net Profit attributable to equity holders of parent entity at Rp 258 billion for the quarter ended Mar. 31, 2017, up 1 percent from Rp255 billion in the same quarter last year.  Net profit for the period was Rp289 billion, up 11 percent from Rp259 billion a year earlier.

The company achieved a 22 percent increase in revenue from Rp3.57 trillion in the first quarter 2016 to Rp4.34 trillion during in the first quarter 2017, supported by the increase in average selling price of petroleum and Basic chemicals.

Average crude oil price increased from 34.36 $/bbl during Q1 2016 to 54.12 $/bbl during Q1 2017 and product prices also follwed suit. AKRA also reported increase in gross profit rose from Rp443 billion in Q1 2016 to Rp 452 b in Q1 2017.

“We are pleased to report improvement in the financial results during the Quarter ended 31st March 2017. Stabilisation of the Petroleum prices during the past year and also improvement in the commodity prices such as Coal are positive factors behind the improvement in the consolidated sales revenue of the Company,” the company’s President Director Haryanto Adikoesoemo said.

“Demand for basic chemicals has risen with the improvement in the overall demand for industrial raw material and with increase in supplies from Principals; revenue of Basic chemicals also increased during the quarter 1 2017 compared to same period last year,“ he said.

“AKR continues to focus on maintaining its margins and on effective cost control. To realise the vast opportunity in the retail petroleum sector with the increase in demand for non-subsidised gasoline in the country, AKR has joined hands with the Global oil major, BP, to set up Retail petrol station network in Indonesia to offer a improved customer offering,” he added.

The company has signed a Joint venture agreement with BP during the month of April 2017 to set up the Joint venture company for retail petroleum distribution.

“We are also happy with the progress of the Industrial estate land sales, utilities and port operations in Java Integrated Industrial Port and Estate (JIIPE). Switzerland-based specialty chemical producer, Clariant officially opened its manufacturing facility at JIIPE and appreciate the benefit from JIIPE integrated logistics facility that can shorten delivery time to clients,” he said.

“Manyar Port facility operated by joint venture company PT Berkah Manyar Sejahtera (BMS) also handled large size vessels with increasing throughput” said Haryanto Adikoesoemo. (*)

Check Also

Keppel Infrastructure completes its 20% stake purchase in MET Group

JAKARTA ( - Keppel Infrastructure has today (17/01) completed its acquisition of a 20% stake ...

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.