JAKARTA: PT Nippon Indosari Corpindo Tbk, a listed bread producer, plans to build a factory in Cibitung, West Java, by the end of the year, using the remaining IDR140 billion from proceeds.Operating Director Nippon Indosari Yusuf Hadi said that the new factory will be built on a 2-hectare land belonging to the company. This year, the company is also finishing the construction of two factories located in Semarang, Central Java and Medan, North Sumatera.I could not tell yet the detail of the new factory in Cibitung. We are still calculating budget for the construction and its source. If everything runs based on the plan, the construction will start early 2012, he said yesterday.The company expects that the new factory in Semarang will start operating early February. It allocates IDR70.44 billion or 37.50% of the fund from the IPO (initial public offering) to build the factory.As stated in a report on the usage of the proceeds, the company has utilized IDR36.86 billion for the factory.The factory in Medan also gets the same allocation of IDR70.44 billion or 37.50% of the proceeds. Meanwhile, the construction of it has absorbed IDR15.94 billion.All proceeds from the IPO for those two factories have been allocated last year. But some fund will be realized this year, including to buy machines, he revealed.The companys production is now supported by three factories. Two factories are located in Cikarang, West java an one factory is in Pasuruan, East Java.Nippon Indosari has settled its debt as much as IDR46.96 billion to PT Bank Central Asia Tbk, using the fund from the IPO.In the period of January-September 2010, Nippon Indosari posted a jump of 22.54% in revenue to IDR428.84 billion, compared to IDR349.95 billion in the same period last year.Its operating profit grew 33.05% to IDR83.57 billion, compared to IDR62.81 billion. Meanwhile, net income surged 63.98% to IDR63.23 billion, compared to IDR38.56 billion.A research on the company released by analysts Jansen Kustianto and Jeffrosenberg Tan from PT Sinarmas Sekuritas last August indicated that bread consumption in domestic will be more promising, mainly fostered by the increase in income that causes change in consumer lifestyle.The construction of two new factories will expand the distribution area and boost the companys competing power. The company with ROTI-coded stock in the stock exchange fell IDR25, or 1.19%, to close at IDR2,075, making market capitalization of IDR2.1 trillion. (t04/wiw)

Cek Berita dan Artikel yang lain di Google News dan WA Channel

---

Artikel Terkait

Berita Lainnya

Berita Terbaru