Garudafood Enjoys Double-digit Earnings Growth in 1Q-2020

2 months ago . 1 min read
RY
Robert Yota
Writer at Forbes Indonesia
Garudafood Enjoys Double-digit Earnings Growth in 1Q-2020
Sudhamek Agoeng Waspodo, President Commissioner of PT Garudafood Putra Putri Jaya. Photo Courtesy of PT Garudafood Putra Putri Jaya.

Publicly-listed food producer PT Garudafood Putra Putri Jaya (GOOD) has booked positive earnings in 1Q-2020 driven by effective cost-cutting and efficiency measures.

Based on the company's newest financial report, Garudafood managed to grow its net profit by 15.37% (YoY) from Rp 121.75 billion in last year's first quarter to Rp 140.47 billion in 1Q-2020. The company was able to suppress its selling expenses by 2.16% (YoY) into Rp 382.10 billion in this year's first quarter compared to last year's Rp 390.50 billion.

On the other hand, the company also experienced a decline in its revenue, down 1.75% (YoY) from Rp 2.28 trillion in last year's first quarter to Rp 2.24 trillion in 1Q-2020. According to GOOD's press release, the revenue decline was due to a correction made on the final sales figure of the company's exports.

GOOD director Paulus Tedjosutikno claimed that almost 95% of the company's revenue still originates domestically, averaging over 5.5% full-year growths during the last several years.

"Despite Indonesia's GDP growth rate contracting to 5% at the end of last year, our sales growth shows that people's purchasing power is still relatively high and inflation has been fairly stable," says Paulus.

The company had previously announced the amount of dividends allocated to investors last year, disbursing a total of Rp 206.63 billion or Rp 28 per share. The corporate action is scheduled for June 25.

RY
Written By
Robert Yota
Writer at Forbes Indonesia
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Companies