JAKARTA (Yosefardi) – PT Astra International Tbk (ASII) allocates capital expenditure (capex) of Rp20 trillion for funding its business expansion this year.
In 2013, the company only spent Rp12 trillion capex. This year’s capex is the biggest in Astra’s business journey.
Astra will focus expanding its three main business segment this year, automotive, infrastructure, and agribusiness.
Astra allocates Rp4.3 trillion for agribusiness, Rp5 trillion for automotive excluding Rp12 trillion for building factories. It also allocates Rp7 trillion for funding Astra tower project.
Astra booked net profit of Rp4.73 trillion in the first quarter of 2014, grew by 9.7% from the corresponding period of 2013, thanks to strong performance of agribusiness and mining division.
Automotive and infrastructure reported weaker performance, while financial services posted 5.1% decline in profit before tax.