An STEM Consultant, International Business And Scholarships Consulting: 2.1 Krakatau Steel’s History and It’s Positive Economic Performance In The Healing Situation

Thursday, September 16, 2021

2.1 Krakatau Steel’s History and It’s Positive Economic Performance In The Healing Situation

Krakatau steel is an Indonesian public mainly steel manufacturing company founded in 1960 with the firstly signed contract between the republic of Indonesia and Tjazpromex part (all union export import corporation) from Moskow. In 1962, there was the first stone laying of the Trikora steel iron project. In 1967, the government encouraged the change of the company status to be a “PT” based on the legal presidential decision no 17, Descember 28, 1967.  Three years later, the government formally established PT. Krakatau Steel, based on the governmental regulation number of 35, August 31, 1970. This public company has been given very broad mandates to build the steel industry of Indonesia. In 1975 the company started the first step of building with the production capacity of 500 thousand ton yearly (Krakatau, 2020).    

            The economic status of the company evolved from time to time. The last financial status of the company during the healing progress of covid outbreak reveals the current efficient financial situation. The cost efficiency has been continuing from 2020 to 2021. Financial report of the first semester of 2021 reveals 13.1 variable cost reduction and 22.8 fixed cost reduction. In detail, 18,1 % of reduction in operational cost from 2 million/ton to be 1.7 million / ton. This number is by comparison with the same period of the previous year of 2020. More detail of this operational cost reduction can be classified as 12 % energy cost reduction, 17.6 % spare part reduction, and up to 24.7 % employee’s salary reduction (Liputan6, 2021). Moreover, the company also reveals significant increase in revenues with the percentage of 46.6 % which become 4.7 trillion IDR compared to the same period of 2020 with the amount of 3.2 trillion IDR. This calculation results in 20.2 % increase in net profits which become 397 billion IDR compared to the same period of the previous year with the amount of 327 billion IDR. Therefore, we can conclude the Krakatau steel Krakatau steel has optimistic sustainable positive performance until the end of 2021 

 

References

Krakatau, S. (2020). History. https://krakatausteel.com/history.

Liputan6. (2021).Krakatau Steel Optimis Kinerja Positif Berlanjut Hingga Akhir 2021. https://www.liputan6.com/saham/read/4614822/krakatau-steel-optimistis-kinerja-positif-berlanjut-hingga-akhir-2021

Idx.(2020).Financial reports of Krakatau steel emiten in 2020.                                                         https://www.idx.co.id/perusahaan-tercatat/laporan-keuangan-dan-tahunan/

 

 

 

No comments:

Post a Comment