Bakrieland in Red Still
Whilst half of the previous year, PT Bakrieland Development Tbk (ELTY), property arm of Bakrie Group, booked net loss of Rp271.5 billion in 2017. The Company reported 26% fall in sales revenue to Rp1.24 trillion, while gross profit down 6.7%.
Budiono Widodo Passes Away
Founder and chairman of BW Group, Budiono Widodo, has passed away at 81 years old. He leaves behind a business group with interests in hotel, resort, oil palm plantation, warehousing, shipping, scalfolding, education, etc.
Garuda Needs Major Overhaul
Flag carrier Garuda Indonesia (GIAA) booked net loss of US$65.34 million in the first quarter ended March 31, 2018, dropped from US$100.64 million in the corresponding period last year. Operations improved with sales revenue growth of 7.9% to US$983 million, while operating loss halved to US$66 million.
Budi Waseso’s Appointment
Police Comr. Gen. (ret) Budi Waseso a.k.a Buwas is the new CEO of the strategic Bureau of Logistics (otherwise known as Perum Bulog)—he replaced Djarot Kusumayakti. Commenting on Buwas’ appointment, President Joko “Jokowi” Widodo said that Bulog needed a firm and brave figure like Buwas, who earlier served as the head of the Anti-Narcotics Agency (BNN). Knowing Buwas and considering Jokowi’s statement above, one can understand if some have begun to wonder whether Jokowi would appoint more figures like Buwas in his next cabinet should he win his reelection.
Edward Soeryadjaya’s Woes
In October 2017, the Attorney General’s Office (AGO) named Edward Soeryadjaya, founder of PT Sugih Energy Tbk (SUGI), as the second suspect in the case of alleged corruption related to misplaced investments made by Dana Pensiun Pertamina. The first suspect—the former President Director of Dana Pensiun Pertamina M. Helmi Kamal Lubis—was convicted in January 2018. Edward’s docket, meanwhile, was expedited to the stage of prosecution on April 18, 2018. But last week, several national media outlets reported that the South Jakarta District Court had granted Edward’s pre-trial petition, by which the AGO’s decision to name him a suspect was declared unlawful.
Budi Waseso
Budi Waseso, former chief of the National Narcotics Agency (BNN) and chief detective of the national police, is reportedly appointed new CEO of the state food security company BULOG. This is an interesting development to watch.
Revisiting Bakrie Group – China
Bumi Resources Minerals (BRMS), controlled by Bakrie Group, claimed that it has on April 13, 2018 been informed by the board of Nonferrous Metal Industry’s Foreign Engineering and Construction Co Ltd (NFC) that NFC agreed to acquire 51% shares of PT Dairi Prima Mineral (DPM), which develops zinc/lead mine in North Sumatra, for US$198.9 million or an enterprise value of US$390 million.
Karen Agustiawan
She was president director of state oil and gas company Pertamina in the period of February 2009-October 2014. She holds record as the longest serving CEO of Pertamina since the downfall of Soeharto regime. Once considered potential cabinet member, Galaila Karen Agustiawan has just been named a corruption suspect by Attorney General’s Office (AGO) alongside GP (former chief legal counsel and compliance of Pertamina) and FS (former CFO of Pertamina).
Hary Tanoe’s Financials & Politics
Entering political years of 2018 and 2019, some might pay more attention to companies controlled by Hary Tanoesoedibjo, chairman of Perindo Party. Perindo is among new political parties participating in next year’s legislative election. The party has formally supported reelection of President Joko ‘Jokowi’ Widodo.
PLN’s Financials
PT Perusahaan Listrik Negara (PLN), the state electricity provider, is the largest company in Indonesia by total assets and revenues. The Company booked net profit of Rp4.41 trillion last year, dropped 45.6% from 2016 despite falling operating loss before electricity subsidy from the State. That has prompted the government to cap thermal coal price under the domestic market obligation (DMO), even though this might not be enough.