4
Source: Com pany dat a, Indonesia Cem ent Associat ion
Semen Indonesia’ sales volume
M illion t onnes Jan-17
Jan-16 Cha nge Indonesia
Semen Indonesia 1.23
1.20 2.7
Semen Padang 0.44
0.52 -16.0
Semen Tonasa 0.45
0.43 3.3
Total domestic 2.12
2.16 -1.7
Export s 0.07
0.03 91.7
Total volume from Indonesia 2.18
2.19 -0.3
Vietnam
Dom est ic Viet nam 0.11
0.11 -4.2
Export s 0.12
0.03 258.6
Total volume from Vietnam 0.22
0.14 56.3
Total volume 2.41
2.33 3.2
5
Source: Com pany dat a, Indonesia Cem ent Associat ion
Indonesia cement sales volume
Semen Indonesia:
•
Bag 77 -2.3 YoY
•
Bulk 23 +0.4 YoY
Indust ry:
•
Bag 77.5 -3.6 YoY
•
Bulk 22.5 +2.4 YoY
SM GR sales volume million tons Jan-17
Jan-16 Change
Domestic
Sem en Indonesia 1.23
1.20
2.7
Sem en Padang 0.44
0.52
-16.0
Sem en Tonasa 0.45
0.43
3.3
Total domestic 2.12
2.16 -1.7
Export 0.07
0.03
91.7
Total volume 2.18
2.19 -0.3
Indonesia domest ic sales volume million tons Area
Jan-17 Jan-16
Cha nge
Jakart a 0.39
0.42 7.6
Bant en 0.25
0.29 12.8
West Java 0.74
0.78 4.9
Cent ral Java 0.68
0.64 5.6
Yogyakart a 0.09
0.08 5.2
East Java 0.80
0.75 6.5
Tot al Java 2.95
2.96 0.6
Sumat era 1.03
1.10 6.3
Kalimant an 0.31
0.36 13.8
Sulaw esi 0.43
0.43 0.1
Nusa Tenggara 0.31
0.32 2.7
M aluku Papua 0.14
0.12 21.0
Tot al out side Java 2.23
2.33 4.5
Tot al Indonesia 5.17
5.29 2.3
Export
Cement 0.06
0.03 74.0
Clinker 0.08
0.00 100.0
Tot al export 0.14
0.03 310.0
Grand tot al 5.31
5.33 0.3
6 Ret ail resident ial sector is t he largest consumer of cement
in Indonesia
Bag
77.5 Bulk
22.5
•
Ready-mix infrast ruct ure:
±
60
•
Fabricat or pre-cast , fiber cement , cement based indust ry:
±
35
•
Project s mortar, render:
±
5
•
Ready-mix infrast ruct ure:
±
60
•
Fabricat or pre-cast , fiber cement , cement based indust ry:
±
35
•
Project s mortar, render:
±
5
•
Housing:
±
90
•
Cement based indust ry:
±
10
•
Housing:
±
90
•
Cement based indust ry:
±
10
± ±
Source: Int ernal Research
Domestic market consumption
7
M arket by Geography
Source: Company dat a, Cent ral Bureau of St at ist ics, Indonesia Cement Associat ion Source: Company dat a, Cent ral Bureau of St at ist ics, Indonesia Cement Associat ion
Domestic M arket Share Semen Indonesia’ market destinations
National cement distribution Population distribution
8
Current overcapacity condition
Source: Int ernal Research, Indonesia Cem ent Associat ion
9
Source: Com pany dat a, Indonesian Cem ent Associat ion BPS St at ist ic
Long-term demand grow th 6 pa
10 Infrast ruct ure Spending Planned for 2015 – 2019
USD Bn
Infrastructure Development
Commercial and Industrial
High grow t h in retail, commercial and inst it ut ional sector in urban and semi-urban area
High grow t h indust ry segment precast , light brick, cement fiber, pave, ready mixed concrete
Housing
Populat ion Grow t h
Rising per Capita Incom e
M ass urbanizat ion
Cement Consumption kg capita
Rapidly Grow ing Product ive Populat ion
Key factors supporting domestic cement demand
172 42
106 113
433
Cent ral Govt
Regional Govt
SOEs Privat e
Tot al
Potential M arket
The fourt h largest populat ion in t he world: 240 m illions people 2014
Demographic Bonus
11
Arising infrastructure activities
Source: Company dat a, Indonesia Cement Associat ion Source: Company dat a, Indonesia Cement Associat ion
12
Strategic Projects
These st rategic project s are to ensure t he Com pany’ posit ion as t he m arket leader.
Strategic Proj ects Capacity
Investment USmn
Construction Start up commercial
Start Completion
Indarung VI- Sumat era Barat
3. 0 Mt
352 Q2-2013
Q4-2016 April 17
Rembang – Jawa Tengah
3. 0 Mt
403 Q2-2013
Q4-2016 Await ing f or t he new
environment al permit s Grinding mil l
Jawa Barat 2. 0
Mt 61. 1
Q2-2015 Q4-2016
2Q17
Wast e Heat Recovery Power Generat ion
30. 6 MW 49. 3
Q4-2014 Q4-2016
2Q17
13
Integrated Cement Plant 4 location
Kiln 15 Unit
Cement M ill 26 Unit
Grinding Plant 2 location
Cement M ill 4 Unit
Warehouse 30 location
Packing Plant 24 location
Sea Port 12 location
Kiln 1 unit
Cement M ill
1 unit
Kiln 5 unit
Cement M ill
8 unit
Kiln 5 unit
Cement M ill 11 unit
Grinding Plant
1 unit Cement M ill
Kiln 4 unit
Cement M ill 6 unit
Grinding Plant
3 unit Cement M ill
Our facilities
14
Financial Summary – FY 2016
EBITDA
Net profit
In Rpbn 2016
2015 Change
Revenue 26,134
26,948 -3.0
Cost revenue 16,278
16,302 -0.1
Gross profit 9,856
10,646 -7.4
Operat ing expenses 4,629
4,700 -1.5
Operat ing incom e 5,227
5,946 -12.1
EBITDA 6,962
7,473 -6.8
Pre-tax profit 5,085
5,851 -13.1
Net profit after m inority 4,522
4,521 0.0
EPS Rp 762
762 0.0
Ratio
EBITDA m argin 26.6
27.7 -1.1
Gross m argin 38
40 -2
Int erest coverage - x 19
20 1
Cost ratio 80
78 2
Net debt to equit y 0.12
0.00 12
Debt t o equity 0.22
0.15 6
Debt t o EBITDA 0.90
0.54 36
Receivable turnover - days 54
48 6
15
Balance Sheet
Cash balance Rpbn Total debt Rpbn
Debt EBITDA x Net Debt Equit y
16
M argin Returns
Ret urn on Equit y Ret urn on Asset s
EBITDA t US t Receivables Turnover days
17
Cost structure
Energy prices in US unit Cash COGS Rp000 t
Rp000 t 2016
2015 Change
Raw m at erials 33
35 -6
Fuel 97
107 -10
Elect ricit y 94
101 -6
Labor 53
49 8
M aint enance 50
50 Depreciat ion
54 47
14 GA,t ax,insurance
22 20
10 Packaging
28 27
3 Transportat ion
62 82
-24 Ot hers
67 50
34 Cost of goods sold
559 568
-2 Unit cash COGS US t
505 520
-3 Selling expense
93 93
1 G A
74 73
2 Tot al cost
598 591
1
18
EBITDA margin vs utilisation rate
Source: Company dat a Source: Company dat a
19
EBITDA margin vs oil and coal prices
Source: Company dat a Source: Company dat a
20
Development New Industrial Estates is a catalyst for cement demand
Semen Indonesia Packing Plant
New Indust rial Estate Area
21
Infrastructure Projects 2015 – 2019
If 1 from total project value w ere spent for
cement , w e est imate cement requirement for
t hese project s of around 10-12 mt per annum.
Infrast ruct ure budget cut Rp7t n for 2016, but not
affect ing main t rans road in Papua and Java.
Sector Amount of total
Rptn
Road infrastructure 733
15 Railway infrast ruct ure
226 5
Sea transport at ion 591
12 Air t ransportation
144 3
Land t ransportation 47
1 Urban transport at ion
86 2
Elect ricity infrastructure 1,000
21 Oil gas infrastructure
507 11
Telecom m unication and Inform at ion infrast ruct ure 280
6 Water resources
451 9
Drinking and w aste wat er 403
8 Housing
328 7
Total 4,796
100
Annual spending 959
20
APBN-P 2016 2,083
APBN-P for infrastructure 2016 314
33 Private portion
645 67
Source: Bappenas
22
Infrastructure Spending in State Budget
Source: M inist ry of Finance
Amount in Rp trillion 2017
2015 APBN APBN-P
APBN APBN-P Economic infrastructure
336.9 307.1
302.3 280.0
M inistrial spending 161.0
151.2 165.5
196.4
M inistry of Public Work and Public Housing 102.9
94.7 101.7
111.1 M inistry of Transport ation
44.9 39.9
45.5 59.1
M inistry of Agricult ure 2.9
4.1 5.3
