The downward trend in global coal prices has caused the net profit of PT Borneo Olah Sarana Sukses Tbk (BOSS) to fell by 94.07%, despite the fact that the company’s revenue increased slightly by 3.40%.
The company’s financial report revealed that BOSS generated Rp 189.46 billion in revenue, 3.40% higher than its revenue in Q3 2018 of Rp 183.22 billion.
Finance Director of PT Borneo Olah Sarana Sukses Tbk, Widodo Nurly Sumady said the increase in revenue was a result of the company’s strategy to increase the production of high-calorie coal with low ash and sulfur content. BOSS sells the majority of its coal to the export market.
At present, Borneo’s largest export market is Japan, which accounts for 90% of the total export sales, followed by South Korea and the Philippines at 5% each.
However, low coal prices caused BOSS to only record a net profit of Rp 1.79 billion, while in the same period last year, the company’s net profit was Rp 30.22 billion.
Source: News Desk / IDN Financials
6 November 2019