PT Central Omega Resources (DKFT) Tbk, nickel miner and processor, posted net loss of Rp53.3 billion last year, expanded fromRp33.6 billion in 2017. The Company, however, generated sales revenues of Rp518.6 billion, skyrocketed from Rp56 billion in 2017, suggesting improvement in its nickel operations.

Cita Mineral Investama (CITA), member of Harita Group, is among the best performing companies last year. The Company, which mines bauxite and produce alumina, booked net profit of Rp661.3 billion, skyrocketed from Rp47.7 billion only in 2017, among others due to huge profit from its 30% interest in the smelter grade alumina (SGA) project. 

Though automation in assembly line is not a new concept, smarter and more capable machines are being developed and deployed to increase productivity and cut costs. The doomsday scenario is that artificial intelligence will leave many employed, but at the moment that sounds more like a script for a movie rather than a realistic trajectory. The more interesting discussions concern the extent of the transformation that comes as a result of increased automation. One might be inclined to think that that’s a remote concern for Indonesia, but is it?

The news outlets are focused on the upcoming general election. It’s only natural since we’re only two weeks away from d-day. But let’s take a short break from all of that. Let’s talk about something promising, a business opportunity that might come anyway no matter what happens on April 17. Let’s talk about gaming in Indonesia.

Surya Esa Perkasa (ESSA), a company co-owned by Garibaldi Boy Thohir and TP Rachmat, is among the best performing companies last year. ESSA, which produces liquefied petroleum gas (LPG) and ammonia, posted net profit of US$41.4 million, skyrocketed from US$2.6 million in 2017, mostly attributable to strong performance of its ammonia business.

Eastern provinces continue to surprise us. Major investments have been carried out in new industrial areas of Morowali (Central Sulawesi), Konawe (Southeast Sulawesi), and Halmahera (North Maluku). More to come. At the moment, all of these investments are related to nickel-to-stainless steel and intermediates for battery of electric vehicles. 

The Government of Indonesia has been working on the Government Regulation Draft on E-Commerce (Rencana Peraturan Pemerintah tentang Transaksi Perdagangan Melalui Sistem Elektronik or RPP TPMSE) since 2015, but to this day we have not yet seen any progress. Instead, the Government appears very much undetermined after the Ministry of Finance decided to withdraw its regulation on E-Commerce taxation.

The Ministry of Energy and Mineral Resources (ESDM) gave the Adikoesoemo family’s PT AKR Corporindo Tbk avtur trading rights. So ended PT Pertamina’s monopoly of avtur trading in Indonesia. It seems to be a development following the rise of airfares last month because of Pertamina’s avtur tariff.

PT Chandra Asri Petrochemical Tbk (TPIA), the largest petrochemical company in Indonesia, booked net profit of US$181.65 million last year, crashed 43% from 2017 mainly due to squeezed margins from higher average price of naphtha and depreciation of rupiah. Pressures were stronger in the last quarter of 2018.

Taxi market leader BlueBird (BIRD) has reportedly tested some units of BYD e6 in Indonesian roads as part of the group’s commitment to support clean air initiatives in major cities. Rumours were swirling around that BlueBird had ordered 100 units of BYD e6, an EV produced by BYD (China), which is currently bigger than Tesla.