JAKARTA. PT Indika Energy Tbk (INDY) does not want to lower its production target of 35.5 million tons this year, although coal prices have fallen by 27.99% on year to date basis to US$ 69.60 per metric ton.
Leonardus Herwindo, Head of Corporate Communications at INDY, acknowledged that the company's revenue was indeed quite vulnerable to the fluctuation of coal prices in the global market. But it will continue to follow the guidelines planned at the beginning of the year. "Indika Energy has not lowered its production target," Herwindo said as reported by Kontan.
INDY also took a number of steps to maintain its coal production volume until the beginning of the second semester of this year. Starting from improving cost efficiency to exploring opportunities for diversification of non-coal businesses.
According to its annual financial statements, INDY recorded revenue of US$ 1.38 billion, 4.83% lower than the record in the first half of last year, which reached US$ 1.45 billion. However, INDY's net profit dropped by 83.41% to US$ 12.66 million. (KR/AR)