Jakarta, May 28, 2021 – PT Sawit Sumbermas Sarana Tbk (SSMS) today held its Annual General Meeting of Shareholders and Extraordinary General Meeting of Shareholders and continued with public expose, held at the Financial Hall of Graha Niaga Building, Jakarta.
The agenda of the AGMS agenda is:
1. Approval of Annual Report and Annual Financial Report for Fiscal Year 2020
2. Approval of Use of Net Profit
3. Approval of Appointment of Public Accountant and/or Public Accounting Firm for Fiscal Year 2021
4. Approval of Reappointment / Change of Board of Directors
5. Approval of Reappointment of the Board of Commissioners
The meeting continued with the agenda of EGMS, namely:
1. Application for Approval of the Plan for sustainable public offering of debt securities denominated in Rupiah with an overall value of as much as Rp2,500,000,000,000) (Two Trillion Five Hundred Billion Rupiah).
2. Approval of asset guarantee for loan application from PT Bank Mandiri (Persero) Tbk, with an overall value of Rp 4,000,000,000,000,000 (four trillion Rupiah)
3. Approval of the adjustment of the provisions of the Company's Articles of Association with the Regulation of the Financial Services Authority No. 15/POJK.04/2020 dated April 21, 2020 concerning the Plan and Implementation of the General Meeting of Shareholders of Public Companies.
In a virtual public expose from the two cities of Jakarta and Pangkalan Bun, the Company reported the company's production performance and policies throughout 2020.
President Director of SSMS Vallautahan Subraminam explained, "The Company's positive performance in 2020 both operationally and financially is an achievement in itself, because it can be achieved in times of global macroeconomic situation that is not easy. Following the outbreak of the Covid-19 pandemic situation. That has an impact on the weakening of business performance globally. That is what makes Management synergize to manage by setting the right strategies and policies by the Company".
In the financial report, throughout 2020 SSMS was able to record a double-digit increase in sales figures, namely 23% to Rp4.04 trillion and gross profit that rose 83% to Rp1.84 trillion. The Company's operating profit increased significantly by 169% to Rp1.19 trillion, which was influenced by the increase in the selling price of palm products in the international market.
Another strategy in 2020 is that SSMS strengthens cooperation for the marketing of its palm products, one of which is with PT Citra Borneo Utama (CBU), which absorbs 70% of the Company's palm products to be processed into palm derivative products, such as olein, sterein and PFAD. At the end of December 2020, the Company increased its shareholding in PT CBU to 32% from just 19% as part of strengthening its downstream business strategy, focusing on increasing the utilization of palm oil refining plants by 100%. Strengthening the downstream of palm products will ensure a better profitability prospect for the Company in the future.
In 2020, SSMS was able to increase the production volume of Fresh Fruit Bunch (FFB) and CPO from the core garden by 6% compared to 2019, to 1.6 million tons and 369,032 tons, respectively, from the target of 10% increase announced at the beginning of the year. This outstanding operational performance is also supported by the Company's commitment to maintain high productivity even in the midst of a pandemic.
SSMS in 2020 manages a total of 116,029 ha of oil palm plantation land area either managed by direct companies or by plasma farmers, where 81,485 ha is a core plantation land that has been planted by mature crops and consists of 69,236 ha is core plantation land (nucleus), and 12,248 ha of oil palm plantations managed by plasma farmers ( plasma).
Quarter 1 2021
Entering the beginning of 2021, SSMS posted a first quarter 2021 profit of Rp176 billion, up from a loss of Rp338.79 billion in the same period last year, which was also supported by rising palm oil prices.
The cost of SSMS sales rose to Rp594 billion from Rp483 billion. Nevertheless, the company's gross profit increased 13.59%, to Rp493 billion from Rp434 billion. SSMS company assets during the first three months of this year increased 8 percent to Rp12.92 trillion from Rp12 trillion at the end of December 2020.
Vallauthan continued, "In terms of business sustainability, the Company also continues to strive that all gardens, including those managed by farmers, can have a Sustainable Palm Roundtable certificate
Oil (RSPO)/Indonesia Sustainable Palm Oil (ISPO). Ownership of RSPO/ISPO certificate will not only improve the company's overall competitiveness but also provide assurance to consumers of the quality of the Company's products, that all plantation products and derivatives have been produced in a way that puts forward sustainable principles and is processed through environmentally sound operational activities. This certainly ensures the products produced by the Company have a competitive quality advantage of products produced by competitors in the domestic market
The GMS Results
The meeting chaired by the Board of Commissioners stated that the majority of shareholders have approved the entire agenda of the AGMS and EGMS of SSMS today. In its report, the Board of Commissioners of SSMS assessed that the Board of Directors throughout 2020 has carried out well all the direction and guidance delivered. As well as the Board of Commissioners also provides support and trust to the Board of Directors in preparing business prospects for the coming year. Especially the plan of expansion into downstream industries as well as horizontal expansion that will be implemented in 2021. This step is necessary to keep the company's growth stable and solid in the future.
Minutes of the Annual General Meeting of Shareholders and Extraordinary General Meeting of Shareholders DOWNLOAD FILE
Pangkalan Bun, 12 May 2021 – PT Citra Borneo Utama (CBU) and Grand Resources Group (Singapore) Pte, Ltd. conducted cooperation agreements on the sale and purchase (Offtake Agreement) ...