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Senin, 07 Maret 2011

Krakatau Steel: Not Rated; Rp1,050; KRAS IJ Targets Targeting FY11F revenues to grow by 16% - DBS Vickers

KRAS targets revenues to grow by 16% to US$2.2bn in FY11F. In FY10, KRAS booked revenue of US$1.9bn with net profit reached of more than US$100m (preliminary). The company plans to increase sales volume by 12% from 1.9m tons in FY10 to be more thanexceed 2m tons in FY11F. Management is confident to of achieveing the this volume as they stated that sales until end of February 2011 has been fully booked. KRAS increased hot-roiled coils production target from 1.8m tons to 2m tons and cold-rolled coils from 400k tons to 450k tons. Total company capex in FY11F is US$450m including JV with Posco and power plant capacity expansion.

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