HM Sampoerna Public Expose 2017

2017 Annual General Shareholders Meeting

PRESS RELEASE

ENGLISH

FOR IMMEDIATE RELEASE

Sampoerna Maintains Position as Industry Leader
JAKARTA, April 27, 2017 – PT HM “a poe a T k. “a poe a o the Co pa /IDX:
HM“P held its A ual Ge e al Meeti g of “ha eholde s AGM“ toda a d a ou ed its
full year 2016 business results. The Company maintained its leadership position in Indonesia
with a 33.4% market share and 105.5 billion units sold in 2016. The Company reported net
revenues of Rp. 95.5 trillion in 2016, up by 7.2% from Rp. 89.1 trillion in 2015. The Company
also delivered 23.1% growth in net profit in 2016 compared to 2015. At the AGMS, the
Company declared a dividend of Rp. 107.7 per share, e ui ale t to .2% of the p io ea ’s
profit.
John Gledhill, P eside t Co
issio e of “a poe a stated, The Board of Commissioners is
ery pleased ith the s ooth tra sitio of the Co pa y’s leadership fro Paul Janelle to
Mindaugas Trumpaitis, who arrived late last year. And, despite declines in industry volumes

and the soft economic environment, we are very happy with the continued success of
Sampoerna driven by our solid financial fundamentals, strong brands and tremendous
employees.
The Company strengthened its presence in the Machine-Made Kretek Cigarette (SKM) fullflavor category, through the geographical expansion of U Bold and the successful launch of
Marlboro Filter Black in selected cities across Indonesia.
The SKM full-flavor segment represents a tremendous opportunity for us and we are pleased
with the performance of our new products in the category, including U Bold and Marlboro
Filter Black. Newly launched Marlboro Filter Black reached 1.0% share of market in the first
quarter of 2017 and U Bold reached 0.9% share of market after its distribution expansion to
55 cities across I do esia,” said Mindaugas Trumpaitis, President Director of Sampoerna.
Sampoerna remains I do esia’s la gest ta pa e , ith pa e ts to the I do esia
government totaling approximately Rp. 63.5 trillion in 2016. This represents total tax paid by
Sampoerna, including its subsidiaries, and PT Philip Morris Indonesia. The excise tax increase
in 2016 was 15% (weighted average) and the overall industry declined by 1.4% compared to
2015.
Despite the long-te de li e of the i dust ’s Hand-Rolled Kretek Cigarette (SKT) segment,
“a poe a e ai s I do esia’s la gest kretek cigarette company and maintained its
leadership in the labor-intensive SKT category, with 37.3% share of segment in 2016 and
38.0% share of segment in the first quarter of 2017. The Company continues to seek ways to
ode ate the “KT seg e t’s de li e, i ludi g th ough the i t odu tion of a special edition

of Dji Sam Soe
+ variant, which consists of 10 cigarettes of regular Dji Sam Soe and two
cigarettes of Dji Sam Soe Super Premium.
Separately, the Company announced its 2017 first quarter business performance with net
revenues of Rp. 22.6 trillion, up by 3.0% from Rp. 21.9 trillion in the same period last year.

2017 Annual General Shareholders Meeting

ENGLISH

Following the approval of its shareholders, the Company also announced changes to the
Co pa ’s Boa d of Di e to s. As of toda , Mi hael “a d itte ill e epla ed
William
Bill Giff, p e iousl Di e to Fi a e i PMI Ca ada, as the e Sampoerna’s Fi a e
Director. Sampoerna's management welcomes Bill to the Company's Board of Directors and
is confident he will contribute to Sampoerna's success.

***

About PT HM Sampoerna Tbk. (Sampoerna)

Founded in 1913, Sampoerna – an affiliate of PT Philip Morris Indonesia and part of Philip Morris
International Inc. – is the leading Indonesian tobacco company, focusing primarily on the production
and sale of clove cigarettes. The Company produces some of the best-known kretek (clove) cigarette
brand families such as Sampoerna A, Dji Sam Soe the lege da
Ki g of K etek , Sampoerna U and
Sampoerna Kretek. The Company also distributes the Marlboro brand of cigarettes throughout
Indonesia, through a long-term distribution agreement with PT Philip Morris Indonesia. Sampoerna
operates seven production facilities in Java and partners with 38 Third Party Operators, employing –
directly and indirectly -- a total of approximately 70,000 employees, mostly in the production of handrolled clove cigarettes. Sampoerna distributes its products via 104 sales and distribution area offices
across Indonesia.
Sampoerna is the largest company by market capitalization on the Indonesian Stock Exchange, where
it t ades u de the ti ke s
ol HM“P.
For further information, please visit: www.sampoerna.com
Media Contact:
Michael Reza Say
Communications Manager
PT HM Sampoerna Tbk.
Ph.
+62 21 515 1234

Fax.
+62 21 515 2234
Email Michael.say@Sampoerna.com