JAKARTA, INDONESIA — PT Indofood Sukses Makmur said on March 20 that its 2014 net profit increased 55% from a year ago to 3.89 trillion rupiah ($297.74 million).
Net sales increased 14.3% to Rp63.59 trillion from Rp55.62 trillion in 2013. Consumer Branded Products Group (CBP) continued to be the biggest contributor to Indofood’s consolidated net sales, contributing around 47%, followed by Bogasari, Agribusiness, and Distribution Group with around 25%, 20% and 8% contributions, respectively.
Net profit margin increased to 6.1% from 4.5%. Without taking into account non-recurring items and differences in foreign exchange, core profit increased 37.2% to Rp3.89 trillion from Rp2.84 trillion last year.
The CBP Group, which consists of Noodles, Dairy, Snack Foods, Food Seasonings, Nutrition & Special Foods and Beverages Division, posted 20.9% growth in total sales value, primarily driven by higher average selling prices.
Total sales value of the Bogasari Group increased 6.7% due to higher average selling prices and volume. The Agribusiness Group recorded an increase of 10.4% mainly as a result of higher average selling prices of palm products as well as higher edible oils and fats sales. The Distribution Group also registered total sales value growth of 12.9%, primarily due to higher sales of CBP Group.
“We are pleased to report that Indofood has performed well in 2014. We are optimistic but cautious as we enter 2015. We will continue to strengthen and expand our business domestically, identify opportunities regionally and internationally, while anticipating potential threats of ASEAN Economic Community that will be coming into effect,” said Anthoni Salim, president director and chief executive officer of Indofood. “With clear objectives and strategic directions, the ability to adapt dynamically to market conditions, as well as discipline, we are confident that we would be well positioned to capture the opportunities and mitigate the challenges.”