PTPN IV Optimistic To Post Rp1 Trillion In Profit

Medan, N Sumatra, Oct 10 (Antara) - The management of state owned plantation company PT Perkebunan Nusantara IV said it is optimistic to chalk up Rp1 trillion in profit this year. The optimism is based on the increase in the price of crude palm oil oil (CPO), company president Erwin Nasution said here on Friday. In the first eight months of the year the company already recorded Rp800 billion in gross profit before tax, up from Rp600 billion in the same period last year, Erwin said. He said palm oil accounts for 90 percent of the company`s income every year. He said an increase in its income is also expected from improvement in efficiency including efficiency in production cost. "Hopefully the price of CPO would increase further that the Rp1 trillion profit target would be achieved," he said. Company finance director Setia Dharma Sebayang said this year the prices of CPO averaged Rp8,000 per kg , higher than the price target of Rp73,000 as set in the company`s budget and working plan (RKAP). Setia said the profit target of Rp1 trillion is much higher than the profit target of Rp800 billion set in the RKAP. Last year PTPN IV recorded only Rp678 billion in profit amid global market slump . Indonesia is the world`s largest producer and exporter of CPO.