Intiland Books Higher Earning
Jakarta, 30/03 – The national property developer, PT Intiland Development Tbk. reported a significant increase in its financial performance in 2014 fiscal year. The improvement in financial performance is mainly due to the new project development and the expansion of ongoing projects.
In the company’s 2014 financial statement, Intiland booked a net profit of Rp 429.1 billion, an increase of 33 percent from Rp 323.7 billion in 2013. The company also reported an increase in its operating profit of Rp 598.5 billion or an increase of 49 percent from the previous year.
Intiland’s operating revenue plays a big role in the increase. By the end of December 2014, Intiland booked a revenue of Rp 1.83 trillion, a 21-percent increase from Rp 1.51 trillion the company got in 2013.
Director of Capital and Investment Management, Archied Noto Pradono said the property industry faced an uphill struggle in 2014. However, he was happy that Intiland could execute several of the company’s key strategies formulated by the management to maintain the company’s business growth.
“The political dynamics and the macroeconomic condition throughout 2014 contributed to this challenging period for the industry. But thanks to spot on marketing strategies with a variety of development segments, we managed to maintain the company’s performance to be positive,” said Archied.
In 2014 Intiland introduced several new projects: Regatta Phase II; Technopark warehousing area in Aeropolis, Cengkareng, Tangerang; Praxis integrated development project; and Spazio Tower in Surabaya. The company manages to anticipated the changes in the market by launching several development projects that the fit the situation and the condition.
Based on the types of income, development income contributed Rp 1.62 trillion or 88 percent of the total income. The company managed to boost recurring income to Rp 215 billion or 12 percent of the total earnings. In 2013, recurring income contributed 10.9 percent or Rp 165.55 billion to the company’s revenues.
“We want recurring income to contribute even more. With our South Quarter office project set to complete in 2015, we should get significant increase of contribution from recurring income in the future,” he explained.
Contribution Based on Segment
Product segment-wise, the biggest contribution to the company’s income in 2014 came from mixed-use and high rise development segment. This segment contributed Rp 932 billion or 51 percent of the total income the company booked last year. Residential projects contribute Rp 317 billion or 17 percent.
The next one is from sales of industrial estates with Ngoro Industrial Park contributing 20 percent to the income or Rp 368 billion. Property investment (recurring income) contributed 12 percent or Rp 215 billion to the company’s coffer.
Intiland further reported that its South Quarter project was the company’s biggest contributor for income with Rp 628.8 billion or 34 percent of the total earnings. Ngoro Industrial Park project contributed 20 percent or Rp 368 billion.
With the company’s continuous business expansion, Intiland also managed to increase the value of corporate assets to Rp 9 trillion. This is a 20 percent increase from last year’s. This value increase is due to the increase in reserves of Rp 1.01 trillion from the company’s projects, namely Aeropolis, 1Park Avenue, and Serenia Hills and Graha Natura residential complexes.
Aside from the ongoing projects, Intiland has also prepared a line of new projects set to launch this year. Some of these are condominium, residential and integrated area.