Transformation of SOE Ministry Annual Report 2020 slide image

Transformation of SOE Ministry Annual Report 2020

66 99 MINERAL & COAL CHAPTER 1 2 3 4 5 6 7 SOE PORTFOLIO & CONSOLIDATED FINANCIAL PERFORMANCE REVIEW Assets Composition of Mineral & Coal Cluster - 31 December 2020 100% Financial Parameter Rp Billion MIND ID > 2020 2019 Revenue Operating Income EBITDA EBIT NOPAT 9,543 66,569 80,629 5,106 5,772 13,167 8,143 9,700 5,013 5,325 Net Profit 1,822 25 Assets 180,779 Invested Capital 164,844 163,976 148,017 > (A + B) A. Financing 91,392 76,226 Liabilities > Current 15,669 12,329 Non Current 75,723 63,897 B. Capital 72,585 71,791 > Financial Performance Indicators Operating Margin EBITDA Margin Net Margin ROA ROE ROIC 7.7% 7.2% 19.8% 10.1% 2.7% 0.0% 1.0% 0.0% 2.5% 0.0% > 5.8% 3.6% Gearing Ratio & Capital Structure MINISTRY OF STATE-OWNED ENTERPRISES LOGISTICS 2020 Milestones › Acquisition of divested shares of > PT Vale Indonesia Tbk Acquisition of Indometal Corporation (Asia Pacific) Pte. Ltd. Assets Composition of Logistics Cluster - 31 December 2020 6% 4% 4% 0% 8% 16% 26% 3% 1% 0% 5% 27% > 2020 Performance Analysis The COVID-19 pandemic had a significant impact on commodity prices. Nickel prices fell to their lowest level at US$10,080/tons (dropped by 22% YoY), copper at US$4,618/ tons (decreased by 29% YoY), tin at US$13,400/ tons (dropped by 38% YoY), and aluminium at US$1,442/tons (decreased by 25% YoY), which was due to a slowdown in manufacturing and construction activities. Gold prices also fell to US$1,471/tons due to market expectation on the weak demand for gold for jewellery. Furthermore, the drastic decline in the demand for electricity from the industrial sector also caused lower demand for coal, resulting in plummeting coal prices to an average of US$60/tons in 2020. The combination of weakening commodity prices and sales volume in 2020 caused revenue to decrease by 17.4% to Rp66.57 trillion compared to 2019. Cost of revenue decreased by 16.87% to Rp54.97 trillion in 2020 compared to 2019, due to a 53.99% decrease in the third-party services consumed, a 48.09% decrease in the raw materials consumed, and a significant decrease in the purchase of precious metals. As a result, the EBITDA improved from 10.1% in 2019 to 19.8% in 2020. This resulted in an increase of net profit to Rp1.8 trillion in 2020 from Rp25 billion in 2019. Assets & Liabilities Assets grew by Rp15.94 trillion or 9.67% to Rp180.78 trillion in 2020 compared to 2019 due to the increase in non-current assets at Rp14.57 trillion, particularly a significant increase of investment in associates and PT Freeport Indonesia. On liabilities, the Cluster recorded an increase of Rp15.14 trillion or 16.27% to Rp108.19 trillion in 2020 compared to 2019 due to an increase in non-current liabilities at Rp12.70 trillion, particularly bonds payable. > The debt to EBITDA ratio decreased from 9.4x in 2019 to 6.9x in 2020 due to an increase of EBITDA. Composition of Manpower 2020 by: Gender 18,096 8% 23% Male Female Education 18,096 92% 74% Q 3% ≤D3 Bachelor Degree Post Graduates Age 45% O 54% 18,096 Debt to Invested > 55.7% 51.5% Capital Debt to EBITDA 6.9x 9.4x EBITDA to Interest 1.7x 1.5x Coverage <45 45-55 >55 1% KAI sod Inka Damri PPD Pel 2 Pel 3 Pel 1 Pel 4 Land Transportation ASDP Pelni VTP Ports Sea Transportation Financial Parameter > Rp Billion 2020 2019 Revenue Operating Income EBITDA EBIT NOPAT Net Profit 61,484 74,734 5,916 11,707 11,415 16,920 5,916 11,707 4,791 11,624 1,024 8,029 > Assets Invested Capital (A + B) 196,130 184,011 156,176 146,249 > A. Financing Liabilities Current Non Current 79,271 69,279 10,509 9,822 68,762 59,456 > 76,906 76,970 B. Capital Financial Performance Indicators Operating Margin EBITDA Margin Net Margin ROA ROE ROIC ANNUAL REPORT 2020 2020 Milestones › Divestment of shares in SOEs' hospital subsidiaries to PT Pertamina Bina Medika IHC, as part of hospital holding clustering > JV of PT Moda Integrasi Transportasi Jabodetabek between PT KAI and PT Mass Rapid Transit (MRT) Jakarta › PT ASDP launched Go Live mobile application, Ferizy 2020 Performance Analysis The COVID-19 situation put considerable pressure on SOEs' financial performance that engaged in passenger mobilization. The lockdown and large-scale social restrictions policies imposed by the government to curb the spread of COVID-19 resulted in decreased flow of passengers and distribution of goods. The land transportation service sub-cluster was the most impacted as the decline in sales directly affected the financial performance in 2020. Revenue was Rp61.4 trillion in 2020, decreased by 17.7% compared to 2019. In line with the decline in revenue, EBITDA stood at Rp11.4 trillion in 2020, decreased by 32.5% compared to Rp16.9 trillion in 2019. This led to a significant decrease of profit by 87.2% to Rp1 trillion from Rp8 trillion in 2019. This Cluster was one of the most severely affected by the pandemic. Assets & Liabilities Consolidated assets stood at Rp196.1 trillion grew by 6.6% compared to 2019, influenced by the increase of assets operating rights in land transportation services sub-cluster's infrastructure. Liabilities and equity stood at Rp119.2 trillion and Rp76.9 trillion, respectively. On financial composition, debt to EBITDA ratio and debt to Invested Capital Ratio were above the limit of the similar companies with an investment-grade rating due to the COVID-19. Composition of Manpower 2020 by: Gender 73,174 11% 18% Male Female 89% Education 80% 2% 73,174 O > 9.6% 15.7% 18.6% 22.6% 1.7% 0.5% 10.7% 4.4% 1.3% 10.4% 3.1% 7.9% > Gearing Ratio & Capital Structure Debt to Invested 50.8% 47.4% Capital Debt to EBITDA 6.9 x 4.1x EBITDA to Interest Coverage 3.0x 4.7x RESILIENCE AMIDST UNCERTAINTY RESILIENCE AMIDST UNCERTAINTY ≤D3 Bachelor Degree Post Graduates Age 1% 73,174 O 34% <45 45-55 >55 67 40 65%
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