Investor Newsletter DSNG 9M17

PT DHARMA SATYA NUSANTARA TBK (DSNG)

INVESTOR NEWSLETTER
In the first nine months of 2017, our FFB and CPO production has
shown a significant improvement. Through September 2017, our
FFB production reached 1.2 million tons, or 69.2% higher
compared to the same period of 2016, as production has been
recovering from the El-Nino impact in 2015.
At the same time, mill productivity rose as well, with FFB
processed reaching 1.4 million tons, for an increase of 58.4%
YoY%

Q1-2017

Q2-2017

Q3-2017

1,208,363
1,079,422
128,941


713,992
640,878
73,114

69.2
68.4
76.4

388,964
345,690
43,274

444,002
398,315
45,687

375,397
335,417
39,980


(15.5)
(15.8)
(12.5)

1,092,937
977,629
115,308

1,357,951
310,037
48,989
18,589
22.83
3.04

857,094
206,875
34,689
11,527

24.14
2.38

58.4
49.9
41.2
61.3
(5.4)
27.7

452,794
99,160
15,280
4,816
21.90
3.30

500,732
113,202
17,892

7,576
22.61
3.06

404,425
97,675
15,817
6,198
24.15
2.75

(19.2)
(13.7)
(11.6)
(18.2)
6.8
(10.0)

1,306,365
311,952

51,127
17,259
23.88
2.60

347,115
7,326
19,002

231,391
7,678
12,051

50.0
(4.6)
57.7

97,750
2,858
7,001


143,336
2,282
5,001

106,029
2,186
7,000

(26.0)
(4.2)
40.0

348,391
11,067
17,451

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2016


2017

32,964

36,192

33,459

30,860
35,922

27,370

33,355

16,378

28,716


15,293

38,677

FY2016

45,809
22,330

24,125

31,745

40,605

29,092

23,274

26,810


21,299

27,715

121,659

128,381

128,906

QoQ%

CPO PRODUCTION (TONS)

2017

117,618

126,352

56,126

118,041
53,465

79,199

81,161

2016

131,428

168,548

157,413

162,188
93,335


122,488
82,258

104,288
76,006

The company's CPO sales volume was 347.1 thousand tons, an
increase of 50.0%, with the average selling price in first nine
months of 2017 of Rp 8.1 million per ton, 11.8% higher compare
to the same period last year of Rp 7.3 million per ton.

9M-2016

FFB PRODUCTION (TONS)

95,328

compared to same period last year, while CPO production also
rose by 49.9% to 310.0 thousand tons.

9M-2017

97,114

Plantation Performance
FFB Production (ton)
- FFB Nucleus (ton)
- FFB Plasma (ton)
Mill Performance
FFB Processed (ton)
CPO Production(ton)
PK Production (ton)
PKO Production (ton)
CPO OER (%)
FFA (%)
Sales Performance
CPO (ton)
PK (ton)
PKO (ton)

Number 23 | October 2017

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

KPB Medan 2016
DSN 2016

AVERAGE SELLING PRICE (Rp '000/TONS)

KPB Medan 2017
DSN 2017

8,968
8,700

8,824

8,156

8,189

7,911
7,775

6,487
5,977

Jan

8,354

8,234
7,549

7,981
7,747

7,227

7,800
7,637

8,224
7,643

7,636

6,167

Feb

Mar

Apr

DSNG Price is based on FOB Labanan Port Pricing

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

PT DHARMA SATYA NUSANTARA TBK (DSNG)

INVESTOR NEWSLETTER
PLANTED AREA
As of September
7, the co pa y s total pla ted
area, including nucleus and plasma, reached 90,288
hectares, with the average age of 8.6 years. We
continue to review our available land bank for future
planting.

Planted
(as of September 2017)
(ha)

Average
Age (yr)

Planted Hectarage

Nucleus

9.5

60,527

Total Planted
(ha)
69,369

Plasma

5.3

11,818

20,920

Total

8.6

72,345

90,288

Matured (ha)

WOOD PRODUCTS BUSINESS
In the first nine months of 2017,
our panel and engineered door
recorded a decreased in sales
volume, while engineered
flooring increase slightly by 2.2%.
Sales volume of our wood
product in the last three months,
however, showed a significant
increase compared to the
previous quarter due to the
higher demand.
Average selling price of panel
and engineered flooring rose by
8.3% and 1.4% respectively,
while engineered door
decreased slightly of 0.8%.

9M-2017

Q3-2017 QoQ%

FY2016

9M-2016 % YoY

Q1-2017

Q2-2017

17,490

15,085

18,265

21.1

92,235

Sales Volume
Panel (m3)

50,839

73,357 (30.7)

Engineered doors (Pcs)

45,066

47,102

(4.3)

8,991

13,011

23,064

77.3

59,447

952,604

932,130

2.2

334,232

257,769

360,603

39.9

1,254,642

5.21

4.81

8.3

5.04

5.18

5.44

4.7

4.86

1.02

1.02

(0.8)

1.06

1.14

0.93 (18.2)

1.06

0.38

0.38

1.4

0.37

0.39

0.39

0.37

Engineered flooring
(M2)
Average Selling Price (ASP)

Panel (Rp million /m3)
Engineered doors
(Rp million /pcs)
Engineered flooring
(Rp million /m2)

1.8

FINANCIAL SUMMARY
In the third quarter of 2017, the Company generated
net sales of Rp 3.9 trillion, an increased of 47.1%
compared to the same period last year, primarily due
to the higher of CPO production and an increase of
CPO pricing.
Gross profit and operating profit rose significantly by
118.8.2% and 265.3% respectively. The Company
posted nine-month EBITDA of Rp 1.1 trillion , 132.1%
higher compared to the same period last year. Our
EBITDA margin also increased from 17.4% in nine
months of 2016 to 27.5% in 2017.
The Company booked net income attributable to
owners of the Company of Rp 412.4 billion in the
third quarter of 2017, up from Rp 17.3 billion in the
same period last year, as a result of stronger
operating performance.

Net Sales
Cost of Sales
Gross Profit
% margin
Operating Profit
% margin
Profit Before Income Tax

% margin
EBITDA
% margin
Net Income attributable to
owners of the Company

30 Sept 2017
3,891,545
(2,639,270)
1,252,275
32.2%
806,076
20.75
604,572

In Million Rupiah
30 Sept 2016
2,644,906
(2,072,545)
572,361
21.6%
220,671
8.3%
49,399

15.5%
1,070,852
27.5%

1.9%
461,442
17.5%

412,447

17,282

DISCLAIMER: The views expressed here contain information derived from publicly available sources that have not been independently
verified. No representation or warranty is made as to the accuracy, completeness or reliability of the information. Any forward looking
information in this presentation has been prepared on the basis of a number of assumptions which may prove to be incorrect. This
presentation should not be relied upon as a recommendation or forecast by PT. Dharma Satya Nusantara Tbk. Nothing in this release
should be construed as either an offer to buy or sell or a solicitation of an offer to buy or sell shares in any jurisdiction.

DSNG Investor Newsletter —For further information, contact Investor Relations ([email protected])
PT Dharma Satya Nusantara Tbk. Jl. Rawa Gelam V Kav OR/3B Kawasan Industri Pulogadung, Jakarta 13930 Indonesia