Corporate Presentation April 2020 PT Semen Indonesia (Persero) Tbk. - - PowerPoint PPT Presentation

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Corporate Presentation

April 2020

PT Semen Indonesia (Persero) Tbk.

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Milestones

1. PT Semen Indonesia (Persero) Tbk., previously known as PT Semen Gresik (Persero)

• Tbk. WAS established on 7 August 1957.

2. Publicly listed in IDX since 1991. 3. Consolidated with PT Semen Padang (Persero) and PT Semen Tonasa (Persero) in 1995. 4. Acquired Thang Long Cement Company (TLCC) Vietnam in 2012. 5. Acquired PT Holcim Indonesia in 2019.

53 Million tones p.a of designed cement production capacity #1 largest cement producer in the ASEAN region 53% market share in Indonesia (Up to April 2020) 9 Integrated cement plants in 7 locations in Indonesia and 1 in Vietnam Facts

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SILOG

• Sea & Land Transportation
• Loading & Unloading
• Port Management
• Cement distribution,
• Other building

material distribution

Inbound Materials Clinker & Cement Production Transportation Distribution Downstream Business Others

UTSG

• Mining Contractors

(limestone & clay) IKSG

• Packaging from kraft &

woven , especially for cement packaging KSI

• GBFS
• GGBFS

SG,ST,SP, SBI*

• Clinker and Cement

production in Indonesia SII

• Cement & clinker

trading SIB, SBB**

• Ready Mix
• Precast

SMI

• Property
• Building management
• Preparation of cement

raw material mining. SIIB

• Investment

management (SBI) KIG

• Industrial estate

SISI

• IT services

TLCC

• Clinker & cemen production

in Vietnam

Notes: * Subsidiary under SIIB, ** Subsidiary under SBI

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Soekarwo

Chairman RUPS 22 Mei 2019

Hendrika Nora OS

Commissioner AGMS 30 April 2018

Nasarudin Umar

Independent Commissioner AGMS 31 March 2017

Mochamad Choliq

Independent Commissioner AGMS 30 April 2018

Lydia Silvanna Djaman

Commissioner AGMS 22 May 2019

Sony Subrata

Commissioner AGMS 23 January 2015

Astera Primanto

Commissioner AGMS 31 March 2017

Hendi Prio Santoso

President Director AGMS 15 September 2017

Doddy Sulasmono D

Director of Finance AGMS 15 September 2017

Adi Munandir

Director of Marketing & Supply Chain AGMS 30 April 2018

Benny Wendry

Director of Production AGMS 15 September 2017

Fadjar Judisiawan

Director of Business Strategy & Development AGMS 15 September 2017

Tri Abdisatrijo

Director of Engineering & Project AGMS 15 September 2017

Tina T Kemala Intan

HR & Legal Director AGMS 22 Mei 2019

Board of Commissioners Board of Directors

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Installed Capacity

2019

35.5 Semen Indonesia 25.5 Indocement 15.5 Solusi Bangun Indonesia (ex-Holcim)

8.7 Conch Cement Indonesia 7.7 Semen Merah Putih (Cemindo Gemilang) 7.4 Semen Bosowa 3.9 Semen Baturaja 1.8 Semen Garuda (Jui Shin Indonesia) 1.8 Semen Jawa (Siam Cement Group) 1.8 Semen Bima (PT STAR) 0.4 Semen Kupang 3.1 Others (non ASI members)

Design Capacity

113.1 MT (2019)

Production Volume

76.1 MT

Domestic Growth 0.34% Domestic Utilization

67%*

Domestic: 69.8 MT Export: 6.4 MT

*Based on Indonesia Cement Association recorded national capacity and production volume 2019

Total 2019: 113.1 Mio Ton

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source: Indonesia Cement Association source: Indonesia Cement Association

Bag cement still represent the largest portion of Indonesia cement consumption YTD April 2020

Domestic Sales in Java v.s. Outside of Java

18.9 21.5 24.6 25.3 26.2 27.5 28.2 28.9 30.5 30.9 21.9 26.5 30.3 32.6 33.7 34.5 33.4 37.4 39.0 38.9

• 5.0%

0.0% 5.0% 10.0% 15.0% 20.0%

• 10.0

20.0 30.0 40.0 50.0 60.0 70.0 80.0

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Outside Java Java Growth

source: Indonesia Cement Association

34.2 39.2 44.1 45.7 46.9 47.5 46.8 49.4 50.8 51.0 11.1 6.6 8.8 10.8 12.2 13 14.5 14.8 16.9 18.8 18.7 3.8

• 15.0%
• 10.0%
• 5.0%

0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% 10 20 30 40 50 60 70 80 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 1Q '20

Cement demand growth was dominated by the growth of bulk cement to support infrastructure projects

Bag Vol Bulk Vol Growth Bag Growth Bulk Bulk Portion

in million ton in trillion IDR in million ton

75,14% 24,86% BULK BAG

86 114 146 184 178 290 317 388 410 415 419

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

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YTD April 2020

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53,4% 25,6% 5,9% 3,6% 3,0% 3,0% 1,7% 2,0% 1,4% 0,4% SMGR (SMIG + SBI) INTP Conch Bosowa Merah Putih Baturaja Jui Shin Siam Cement STAR Semen Kupang Market Share

source: Indonesia Cement Association

FY 2019 YTD April 2020

53,0% 25,5% 6,7% 3,1% 2,9% 2,6% 2,2% 2,1% 1,5% 0,3% SMGR (SMIG + SBI) INTP Conch Bosowa Merah Putih Baturaja Jui Shin Siam Cement STAR Semen Kupang Market Share

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Semen Indonesia Group Sales Volume Industry

source: Indonesia CementAssociation * Total Group (SMGR) January 2019 excluding SBI sales volume ** One small player not updated yet in April 2020

2020 2019 YoY (%) 2020 2019 YoY (%) 2020 2019 YoY (%) Semen Indonesia (include SBI) Domestic 2,490,257 2,750,342

• 9.46%

2,419,221 2,516,121

• 3.85%

10,291,515 10,034,501 2.56% Export 389,072 277,489 40.21% 440,869 325,285 35.53% 1,461,477 1,153,970 26.65% 2,879,329 3,027,832

• 4.90%

2,860,091 2,841,406 0.66% 11,752,992 11,188,471 5.05% TLCC Domestic 153,670 131,508 16.85% 133,444 117,301 13.76% 437,165 369,547 18.30% Export 65,450 2,033 3119.00% 66,722 87,300

• 23.57%

239,151 240,450

• 0.54%

219,120 133,541 64.08% 200,166 204,601

• 2.17%

676,316 609,997 10.87% Total Group (SMGR)* 3,098,449 3,161,373

• 1.99%

3,060,256 3,046,007 0.47% 12,429,308 11,798,468 5.35% MARCH APRIL Year to Date DESCRIPTION 2020 2019 YoY (%) 2020 2019 YoY (%) 2020 2019 YoY (%) Jakarta 288,471 252,376 14.30% 200,709 226,995

• 11.58%

985,371 981,803 0.36% Banten 237,565 269,064

• 11.71%

188,940 265,279

• 28.78%

918,695 1,078,125

• 14.79%

West Java 811,278 908,929

• 10.74%

734,140 840,151

• 12.62%

3,258,900 3,577,788

• 8.91%

Central Java 539,181 597,674

• 9.79%

633,857 619,438 2.33% 2,349,964 2,482,806

• 5.35%

Yogyakarta 70,799 138,971

• 49.05%

73,362 140,131

• 47.65%

300,468 526,147

• 42.89%

East Java 610,945 674,999

• 9.49%

580,989 625,598

• 7.13%

2,600,359 2,745,891

• 5.30%

Total Java 2,558,239 2,842,012

• 9.98%

2,411,997 2,717,591

• 11.25%

10,413,757 11,392,559

• 8.59%

Sumatra 1,054,701 1,042,230 1.20% 1,077,047 1,002,668 7.42% 4,242,916 4,244,611

• 0.04%

Kalimantan 299,715 355,122

• 15.60%

277,970 313,506

• 11.33%

1,284,207 1,387,892

• 7.47%

Sulawesi 448,418 464,926

• 3.55%

394,018 390,719 0.84% 1,730,782 1,726,549 0.25% Nusa Tenggara 295,415 323,918

• 8.80%

223,008 289,677

• 23.01%

1,066,701 1,206,968

• 11.62%

East Indonesia 160,785 138,004 16.51% 129,695 102,202 26.90% 679,110 531,260 27.83% Total Indonesia 4,817,272 5,166,212

• 6.75%

4,513,735 4,816,363

• 6.28%

19,417,474 20,489,840

• 5.23%

Export Cement 55,769 111,065

• 49.79%

19,300 115,052

• 83.22%

214,375 431,207

• 50.28%

Export Clinker 512,192 454,877 12.60% 568,819 543,441 4.67% 1,760,399 1,648,904 6.76% Total Export 567,961 565,942 0.36% 588,119 658,493

• 10.69%

1,974,774 2,080,110

• 5.06%

Grand Total** 5,385,233 5,732,154

• 6.05%

5,101,855 5,474,856

• 6.81%

21,392,247 22,569,950

• 5.22%

YEAR TO DATE AREA MARCH APRIL

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TUBAN PLANT Cap SI: 14,7 Mt/Yr Cap LHI : 3,6 Mt/Yr Port : 40.000 DWT INDARUNG PLANT Cap : 9,4 Mt/Yr

GP Dumai GP Gresik PP Lhoksumawe PP Malahayati PP Batam Tl Bayur Port PP Lampung PP Pontianak PP Samarinda PP Banjarmasin PP Balikpapan PP Bitung PP Palu PP Mamuju Biringkassi Port PP Makassar PP Kendari PP Sorong PP Ambon PP Banyuwangi PP Celukan Bawang

PANGKEP PLANT Cap : 7,4 Mt/Yr

PP Belawan PP Tj Priok PP Ciwandan SI PP Maluku Utara GP Ciwandan PP Bengkulu

REMBANG PLANT Cap : 3 Mt/Yr NAROGONG PLANT Cap : 6 Mt/Yr CILACAP PLANT Cap : 3,4 Mt/Yr

PP Lhoksumawe PP Belawan PP Pontianak PP Dumai PP Batam GP Kuala Indah PP Lampung GP Cigading PP Ciwandan SP

LHOKNGA PLANT Cap : 1,8 Mt/Yr

Source: Internal SMIG

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Q1 2020 Q1 2019 Chg YoY (a) (b) (a:b) Revenue 8,580 8,127 5.6% Cost of Revenue 5,876 5,913

• 0.6%

Gross Profit 2,704 2,214 22.2% Operating Expense 1,430 1,122 27.5% Operating Income 1,274 1,092 16.7% EBITDA 2,022 1,611 25.5% Finance Income (Cost) (552) (637)

• 13.4%

Profit Before Tax 713 454 56.9% Net Profit Attributable to Owners of Parent Entity 446 268 66.5% Margin Gross Profit Margin 31.5% 27.2% 4.3% Operating Profit Margin 14.9% 13.4% 1.4% EBITDA Margin 23.6% 19.8% 3.7% Net Profit Attributable to Owners of Parent Entity Margin 5.2% 3.3% 1.9% Ratios ROE 5.3% 3.4% 1.9% Net Debt to Equity 77.1% 82.8%

• 5.7%

Debt to EBITDA (x) 3.2 4.7

• 1.6

EBITDA/Interest (x) 3.7 2.4 1.3 in billion IDR

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26.948 26.134 27.814 30.688 40.368 8.580

• 0,1%
• 3,0%

6,4% 10,3% 31,5% 5,6%

• 10,0%

0,0% 10,0% 20,0% 30,0% 40,0% 50,0%

• 5.000

10.000 15.000 20.000 25.000 30.000 35.000 40.000 45.000

2015 2016 2017 2018 2019 1Q 2020 Revenue Revenue Growth 10.646 9.856 7.960 9.331 12.714 2.704 39,5% 37,7% 28,6% 30,4% 31,5% 31,5%

20,0% 25,0% 30,0% 35,0% 40,0% 45,0% 50,0% 55,0% 60,0%

• 2.000

4.000 6.000 8.000 10.000 12.000 14.000

2015 2016 2017 2018 2019 1Q 2020 Gross Profit Gross Profit Margin 7.473 6.962 4.904 6.577 8.699 2.022 27,7% 26,6% 17,6% 21,4% 21,5% 23,6%

10,0% 20,0% 30,0% 40,0% 50,0% 60,0%

• 1.000

2.000 3.000 4.000 5.000 6.000 7.000 8.000 9.000 10.000

2015 2016 2017 2018 2019 1Q 2020 EBITDA EBITDA Margin 4.521 4.522 1.621 3.079 2.392 446 16,8% 17,3% 5,8% 10,0% 5,9% 5,2%

0,0% 5,0% 10,0% 15,0% 20,0% 25,0% 30,0% 35,0% 40,0% 45,0% 50,0%

• 500

1.000 1.500 2.000 2.500 3.000 3.500 4.000 4.500 5.000

2015 2016 2017 2018 2019 1Q 2020 Net Profit Net Profit Margin

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Thank You

IMPORTANT NOTICE THIS PRESENTATION IS NOT AND DOES NOT CONSTITUTE OR FORM PART OF, AND IS NOT MADE IN CONNECTION WITH, ANY OFFER FOR SALE OR SUBSCRIPTION OF OR SOLICITATION, RECOMMENDATION OR INVITATION OF ANY OFFER TO BUY OR SUBSCRIBE FOR ANY SECURITIES NOR SHALL IT OR ANY PART OF IT FORM THE BASIS OF OR BE RELIED ON IN CONNECTION WITH ANY CONTRACT, COMMITMENT OR INVESTMENT DECISION WHATSOEVER. This presentation includes forward-looking statements, which are based on current expectations and forecast about future events. Such statements involve known / unknown risks uncertainties and other factors, which could cause actual results to differ materially from historical results or those anticipated. Such factors include, among others:

• economic, social and political conditions in Indonesia, and the impact such conditions have on construction and infrastructure spending in Indonesia;
• the effects of competition;
• the effects of changes in laws, regulations, taxation or accounting standards or practices;
• acquisitions, divestitures and various business opportunities that we may pursue;
• changes or volatility in inflation, interest rates and foreign exchange rates;
• accidents, natural disasters or outbreaks of infectious diseases, such as avian influenza, in our markets;
• labor unrest or other similar situations; and
• the outcome of pending or threatened litigation.

We can give no assurance that our expectations will be attained. DISCLAIMER The information contained in this report has been taken from sources which we deem reliable. However, none of PT Semen Indonesia (Persero) Tbk and/or its affiliated companies and/or their respective employees and/or agents make any representation or warranty (express or implied) or accepts any responsibility or liability as to, or in relation to, the accuracy or completeness of the information and opinions contained in this report or as to any information contained in this report or any other such information or opinions remaining unchanged after the issue thereof. We expressly disclaim any responsibility or liability (express or implied) of PT Semen Indonesia (Persero) Tbk, its affiliated companies and their respective employees and agents whatsoever and howsoever arising (including, without limitation for any claim, proceedings, action, suits, losses, expenses, damages or costs) which may be brought against or suffered by any person as a result of acting in reliance upon the whole or any part of the contents of this report and neither PT Semen Indonesia (Persero) Tbk, its affiliated companies or their respective employees or agents accepts liability for any errors, omission or mis-statements, negligent or otherwise, in the report and any liability in respect of the report or any inaccuracy therein or omission therefrom which might otherwise arise is hereby expresses disclaimed.

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@semenindonesia Semen Indonesia Semen Indonesia @semenku