JAKARTA. A ceramic manufacturer, PT Arwana Citramulia Tbk (ARNA), plans to erect several production plants to achieve a production capacity of 14 million square metres. In order to realise this target, the company will allocate the budget for capital expenditure (CapEx) of IDR 1 trillion until 2024.
“We will increase the capacity to almost 14 million square metres with a CapEx of almost IDR 1 trillion,” Rudy Sujanto, Chief Financial Officer of Arwana Citramulia, confirmed in a public expose last Tuesday (8/3). He then stated that the said investment would be taken out of the internal cash and channelled gradually instead of all at once. Additionally, ARNA also possesses short-term investment plans in Plant 6.
According to Sujanto, the CapEx will be utilised to raise production in Plant 5C and 4C. ARNA aims to operate Plant 5C by December 2023 and Plant 4C in 2024. His company also targets a production increase in West Java. “We are doing this step by step. We believe our net income next year will proliferate at least IDR 700 billion,” he claimed.
ARNA is currently investing in Plant 5B, expending CapEx of IDR 300 billion. Meanwhile, the CapEx budget allocated this year amounts to IDR 150-160 billion for Plant 5C and IDR 10 billion for Plant 1, 2, and 4. (AM/ZH)