JAKARTA. In the first semester of 2019, PT PP Properti (PPRO) has only absorbed 30% of its capital expenditure (CapEx) budget, due to minimal production activities.
The lack of production activities during the first six months of 2019 was caused by the moments of the election (Pemilu) and Eid. "Maybe (we) avoid uncertainty," said Finance Director of PPRO Indaryanto, Saturday (6/7).
The lack of production activities has caused the absorption of the company's (CapEx) budget to be minimal. For information, for this year, PPRO allocated a CapEx budget of Rp 1.2 trillion.
According to the company's plan, at the beginning of the year, PPRO will use the funds to complete and develop projects on available landbanks. The number of PPRO land reserves this year will be around 300 hectares. "In addition, we also use it to pay for carry over land, continue project development and investment in subsidiaries," said Indaryanto. (AM/AR)