PT Intanwijaya Internasional Tbk, chemical industry producer, has budgeted its capital expenditure (Capex) for 2022 worth IDR8 billion to maintain the operational productions of its facilities and raise production capacity to meet its sales target of IDR450 billion.
The multinational company, established in 1981, has two factories of Banjarmasin (South Kalimantan) and Semarang (Central Java). The Banjarmasin plant’s annual capacity is 36,000 metric tons (MT) of formaldehyde and 60,000 MT of urea, melamine, and phenol formaldehyde resin liquid and powder. The Semarang plant’s annual capacity is 65,000 MT of formaldehyde and 90,000 MT of urea, melamine and phenol formaldehyde resin liquid.
“We will budget the Capex for factory facilities, equipment, machinery and more to support production operations. In 2022, we estimate there will be around IDR6 billion to IDR8 billion to maintain our production continuity,” Intanwijaya Director Sondy Ardi said in Jakarta on July 5, 2022.
He added that the company’s capacity was not yet full and Intanwijaya was trying to fill in the remaining capacity.
Ardi said the IDR450 billion sales target would be from the production of 68,300 tons of urea, melamine and phenol formaldehyde resin, 500 tons of urea-formaldehyde powder and 48,700 tons of formalin and others.
“The number of sales target in 2022 is smaller than the previous year. The strategy for 2022 is to be more efficient internally and to be more selective in choosing customers but not eliminating the profit targets obtained,” he added.
In the first quarter of 2022, Intanwijaya pocketed revenue of IDR136.98 billion, 32.72% higher than the same period of 2021 of IDR103.21 billion. While net profit was at IDR 8.24 billion in the 2022 first quarter.
Ardi said 73.9%, or IDR101.1, billion of the income came from the Semarang factories while the rest was from Banjarmasin.
