PT Gajah Tunggal Tbk’s 1Q08 Results Show Stronger Performance

Gajah Tunggal managed to withstand the recent hike in raw material costs, reporting sound operational and bottomline performance. Net sales in 1Q08 were Rp. 1.850 trillion, up 20.0% compared to the same quarter the year before, while operating profit was up with 18.8%. The company’s gross margin in 1Q08 reached 16.8%, with an EBITDA of USD 29 million.

Net income in 1Q08 increased to Rp. 142 billion from Rp. 8 billion in 1Q07. This was due to the appreciating Rupiah 1Q08, which resulted in a Rp. 84 billion non-cash translation gain, as well as a Rp. 29 billion gain derived from our equity share in the associated company, PT Polychem Indonesia.