PT Essar Indonesia registers 22% growth in EBIDTA for FY 2015; net profit at USD 3.8 million

Jakarta: PT Essar Indonesia, part of Essar Global Fund and amongst the largest downstream steel facilities in Indonesia, has registered 22% growth in its EBIDTA at USD 15.37 million for the year ended March 31, 2015, against an EBIDTA of USD 12.57 million in the previous year.

The company recorded net profit of USD 3.8 million for FY 2015, as against USD 0.17 million in the previous year. Revenue was USD 252 million, marginally lower compared to last year, due to depreciation in IDR. The company sells all its products only in the domestic market. Exports are still not feasible as international prices are lower (despite IDR depreciation) compared to the domestic market.

Production for the year ended March 31, 2015, is higher by 2%, at 317,000 tonnes, against 312,000 tonnes in the previous year. The change in product mix towards high value grades has resulted in higher EBIDTA, though production volume is only marginally higher. The capacity utilization with the changed product mix was about 90%.

Commenting on the performance, Mr Dattatreya Tembhekar, CEO, PT Essar Indonesia, said, “Our focus on value added products has enabled us to post a better performance. The performance, when viewed in the context of 18% depreciation of the Indonesian currency vis-à-vis the USD and continued weakness in steel demand, reflects the strength of the company.”

About PT Essar Indonesia
PT Essar Indonesia is a 0.4 MTPA steel downstream facility that manufactures cold rolled, galvanized and annealed steel in sheets and coils. This is supported by a steel processing facility. The state-of-the-art facility is located in Industrial Estate, 25 km on the Jakarta-Cikampek highway with close proximity to its customer base and raw material suppliers, catering to diverse market segments with exacting international quality standards.

Media contact:
B. Ganesh Pai
VP – Corporate Communications, Essar Steel
Phone: +91 9819730225