Sumatera: Jln. Basuki Rahmat No. 788, Palembang 30127, Sumatera Selatan, Indonesia Tel +62-711 813388 Fax +62-711 811585 Jakarta : Sampoerna Strategic Square, North Tower, 28th Floor, Jln. Sudirman Kav. 45, Jakarta 12930, Indonesia
Tel +62-21 5771711 Fax +62-21 5771712 http://www.sampoernaagro.com
PT SAMPOERNA AGRO Tbk
COMPANY NEWSLETTER
March 2014 issue
summary
BUILDING THE FUNDAMENTALS
Jakarta, 27 March 2014– PT Sampoerna Agro Tbk and subsidiaries “a poe a Ag o" o the Co pa released its audited financial results along with its operational statistics for full year 2013 FY1 .
Having gone through a slow nine months, the Company managed to gather its pace within the final three months of 2013. Revenue from just selling CPO alone reached Rp940.93 billion in the final quarter of 2013
Q1 , o 1 8% highe tha the p evious ua te Q1 . As a result, Sampoerna Agro managed to add about Rp1,117.98 billion of consolidated revenue to its books within 4Q13. This made up approximately 44% of full year’s revenue. Such an increase in CPO sales was made possible because average selling price in 4Q13 climbed 14% versus the previous quarter reaching Rp8,177 per kg while sales volume also rose 126% to 115,066 tons.
Nonetheless, total consolidated revenue that amounted to Rp2,560.71 billion in full year 2013, was still 14% under 2012 figure because CPO, at over 80% contribution, generated 18% lower revenue in 2013 versus 2012. The drop was due to 3% lower selling price for the year and 15% lesser sales volume.
FFB production volume in 2013 also fell 21% from the year before. Lower production figures occurred in both of the Company operational regions but South Sumatra estates caused the biggest fluctuation, at 26% lower year-on-year, while Kalimantan estates produced 3% less FFB within the same period. Management cited extreme weather condition as the primary cause for the production swing since maturity profile for its oil palm estates is currently in favorable stage and averaged around 11 years old. Additionally, Sampoerna Agro had also been expanding consistently within the past seven years. For instance, its nucleus oil palm estates had been expanding at a rate of 12% per year, or more than 5,600 hectares per year.
On the other hand, a turnaround is expected for 2014, and for the same reason which is weather factor. This is because weather pattern throughout 2013 was considered to be mostly pleasant. Therefore, it is expected to be a strong positive catalyst attributing to production recovery within the year.
Amidst truly challenging situations persisting in 2013, Management remained committed on building company fundamentals such as expansion works and sustainability initiatives. Organic expansion was in the form of new plantings within the 3-crop portfolio that reached close to 11,000 ha for the year while sustanability milestones carved included having obtained International Sustainability & Carbon Certification (ISCC) certificates for couple of subsidiaries and completing Indonesian Sustainable Palm Oil (ISPO) audit for most of its oil palm estates in Sumatra region.
-o0o-Sumatera: Jln. Basuki Rahmat No. 788, Palembang 30127, Sumatera Selatan, Indonesia Tel +62-711 813388 Fax +62-711 811585 Jakarta : Sampoerna Strategic Square, North Tower, 28th Floor, Jln. Sudirman Kav. 45, Jakarta 12930, Indonesia
Tel +62-21 5771711 Fax +62-21 5771712 http://www.sampoernaagro.com
PT SAMPOERNA AGRO Tbk
COMPANY NEWSLETTER
March 2014 issue
corporate details
o Area statement (oil palm only) as of December 2013:
nucleus plasma nucleus mitra
Unit Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Nov-13 Dec-13 YTD 13 YTD 12 Change
FFB - Smtra ton 105,583 67,297 49,684 53,339 45,386 29,633 30,457 65,460 133,107 178,520 165,619 96,582 1,020,666 1,377,181 -26%
FFB - Klmtn ton 32,922 24,183 25,802 24,381 23,669 22,057 24,044 21,434 25,904 34,125 36,531 40,670 335,723 345,956 -3%
CPO ton 27,324 17,361 14,223 15,819 14,144 10,588 10,722 17,145 31,537 43,584 41,408 27,351 271,206 351,225 -23%
P.Kernel ton 6,143 4,468 4,346 4,358 3,899 3,592 3,219 4,495 8,137 10,626 10,329 7,236 70,848 86,359 -18%
G.Seeds 1000 1,128 952 763 1,038 607 1,044 861 153 272 1,137 731 494 9,179 11,363 -19%
Note: Not all FFB was processed by palm oil mill within the same month it was harvested
o Average selling price of several key products:
Unit Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Nov-13 Dec-13 YTD 13 YTD 12 Change
CPO Rp/kg 6,017 6,251 6,128 6,630 6,639 7,091 7,086 6,912 7,319 7,720 8,198 8,787 7,220 7,433 -3%
Unit Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Nov-13 Dec-13 YTD 13 YTD 12 Change
CPO Rp bn 180.95 184.04 108.58 145.33 82.80 132.61 104.00 88.59 171.42 313.51 373.54 253.88 2,139.24 2,600.22 -18%
P.Kernel Rp bn 18.43 16.48 15.43 15.70 13.21 11.46 12.16 11.46 28.24 40.91 45.42 42.20 271.12 267.89 +1%
G.Seeds Rp bn 8.04 5.83 2.96 4.33 3.98 5.59 2.41 1.07 2.73 7.57 6.45 2.43 53.38 75.31 -29%
Others Rp bn 15.34 13.87 15.57 3.99 1.80 4.61 3.95 1.15 4.59 3.63 9.44 19.00 96.96 42.82 +126%
Total Sales Rp bn 222.77 220.24 142.55 169.34 101.79 154.27 122.52 102.27 206.98 365.63 434.85 317.51 2,560.71 2,986.24 -14%
Note: Others are revenue generated from sago, rubber, FFB, PKO, and PKE
CPO price versus SGRO share price
1-Oct 8-Oct 15-Oct 22-Oct 29-Oct 5-Nov 12-Nov 19-Nov 26-Nov 3-Dec 10-Dec 17-Dec 24-Dec 31-Dec
ID
