IPC Sustains Growth with 45.9% Increase in Net Profit for 1Q2012 [Seaport]
IPC (Indonesia Port Corporation II) recorded approximately US$138.3 million (IDR1,269 billion) revenue in the first quarter of 2012, a 42% increase from US$97.4 (IDR894 billion) in the same period last year. Net profit rose by a significant 45.9% to US$54.3 million (IDR513 billion) the first quarter of 2011, reflecting continued growth for the port operator in the fast-growing Asia-Pacific region due to an increase in traffic at the 12 ports it manages across Indonesia.
Revenue was derived from shipping services, goods services, tools provision, terminal services, container terminal services, land-building-water-electricity provision, miscellaneous facilities and partnerships with business associates.
IPC continues to focus on long-term sustainable growth by investing US$38.9 million (IDR357 billion) in the first quarter of 2012, accounting for 8.32% of the company’s total investment budget of US$468.7 million (IDR4.3 trillion) for the year.
“IPC is and will continue to invest significantly to improve port facilities and services, attracting bigger vessels to our ports and reducing Indonesia’s logistics costs. In doing so, we will create a regional port hub to serve a growing economy in Indonesia, Asia and the world,” said RJ. Lino, President Director of IPC.
Enhanced Port Services and Capacity
Investments include the installation of more gantry luffing cranes and development of a container terminal area in Tanjung Priok Port (Tanjung Priok), North Jakarta which is now able to harbour ships with throughput capacity of up to 5,000 twenty-foot-equivalent units (TEUs) of containers. Tanjung Priok is currently handling 1.4 million TEUs, a 13.6% increase from last year.
IPC is also kick-starting the development of Kalibaru Port (New Priok), an extension of the Tanjung Priok after receiving the presidential decree in April 2012. New Priok will be the largest port development in Indonesia, tripling the capacity of Tanjung Priok to over 18 million TEUs when fully completed in 2023. The first phase of development, which will provide an additional capacity of approximately 4.5 million TEUs, will begin operations of its first terminal by 2014.
Investments in other ports include large-scale improvements of Pontianak Port in West Kalimantan and Banten Port in West Java, as well as the construction of stock pile coal in Jambi Port and channel dredging of Bengkulu Port in Sumatra.
IPC is extending the application of its comprehensive Information and Communications Technology (ICT) which centralizes and streamlines processes at its ports. The car terminal in Tanjung Priok and Teluk Bayur Container Terminal in Padang, West Sumatra are the fifth and sixth IPC subsidiary and port branch to incorporate these systems.
27 cranes have also been added across five ports to shorten the loading and unloaded process, along with eight additional boats to support operations in IPC’s two port branches of Tanjung Priok as well as Port of Panjang in Lampung, Sumatra.
Human Capital Development
As part of its ongoing human capital development programme, IPC has also allocated US$62.79 million (IDR576.05 billion) in 2012 for employees to pursue master’s degrees and training programmes in relevant disciplines worldwide including Netherlands, Belgium, Sweden and China. This accounts for 13.4% of its total investment budget for the year.
Ensuring Sustainable Growth
IPC continues building its refreshed vision with the development of a strategic roadmap and implementation of corporate restructuring to boost overall operations and services.
The port operator also initiated a study to establish nine subsidiaries which will be incorporated systematically based on IPC’s five priorities namely; PT Car Terminal Indonesia, PT Terminal Peti Kemas Indonesia, PT Terminal Tanjung Priok, PT Marine Services Indonesia and PT Indonesia Logistic Community Service.
*US$1 = IDR9,174
About Indonesia Port Corporation II (IPC)
Established on 1 December 1992, Indonesia Port Corporation II (IPC) is one of the state-owned enterprises which manages port services in Indonesia. Headquartered in Jakarta, IPC operates 12 ports in Indonesia namely; Teluk Bayur Port in West Sumatra, Jambi Port in Jambi, Boom Baru Port in Palembang South Sumatera, Bengkulu Port in Bengkulu, Panjang Port in Lampung, Tanjung Pandan Port and Pangkal Balam Port in Bangka Belitung, Banten Port in Banten, Tanjung Priok Port and Sunda Kelapa Port in Jakarta, Cirebon Port in West Java and Pontianak Port in West Borneo.
The company currently owns three subsidiaries and two affiliates. Its subsidiaries are PT Rumah Sakit Pelabuhan, PT Multi Terminal Indonesia (MTI) and PT Electronic Data Interchange (EDI), while its affiliates are PT Jakarta International Container Terminal (JICT) and Koja Container Terminal.
As a port operator, IPC provides ship, cargo, container and auxiliary services. IPC’s objective is to provide more services to increase trade, leading to competitive freight cost and reduced logistic cost. IPC continues to improve its business through ‘24/7 Productivity for Everyone’ (port services on 24-hour per day seven days per week basis), investment in cranes and port facilities. These are supported by the implementation of information and communication technology (ICT) for port services. For more information please refer to www.indonesiaport.co.id.
Posted at 21:59