Wednesday, 03 June 2020

Garudafood AGMS & EGMS Discussing the Company's Performance in Fiscal Year 2019

Jakarta, 02 June 2020 – PT Garudafood Putra Putri Jaya Tbk ("Garudafood" or the "Company") held it's Annual General Meeting of Shareholders (AGMS) which was followed by an Extraordinary General Meeting of Shareholders (EGMS) at the Garudafood Head Office. The AGMS and EGMS were chaired by Hartono Atmadja (Commissioner) accompanied by Robert Chandrakelana Adjie and Fransiskus Johny Soegiarto (Directors). The meeting was held by observing the COVID-19 health protocol determined by the Ministry of Health of the Republic of Indonesia, namely by spraying disinfectants, implementing social distancing procedures in the rooms, and providing masks and hand sanitizers for the committee and meeting participants.

One of the agenda items in the Garudafood AGMS was the dividends (Rp.28 per share) which will be paid on 25 June 2020. Amidst the unfavorable economic conditions and intense competition in the food and beverage industry in 2019, the Company managed to book Rp 8,439 billion of sales or achieved a growth of 4.8% (Rp 390 billion) compared to 2018. Garudafood also recorded a 2.4% increase in net profit, i.e. Rp 436 billion in 2019.

“Our sales grew 4.8% in 2019 and our net profit also grew 2.4% from the previous year. From a geographical perspective, the Company's sales are still dominated by the domestic market (almost 95%) contributing to a growth of 5.7%. This shows that although Indonesia's economic growth declined to 5% in 2019, the people's purchasing power remains high and the inflation rate is also relatively low," said Paulus Tedjosutikno, Director of Garudafood. “With the support of conducive economic policies, Indonesia remains to be a very attractive market for the Company.”

In addition, the Company's Total Assets grew by 20.2%, or Rp 851 billion in 2019. The Company's Total Equity grew by 11.1% or Rp 276 billion. The Company successfully achieved a number of financial ratios in 2019, namely Current Ratio (1.5); Debt-to-Equity Ratio (0.4); Debt Service Coverage Ratio (2.6), and Debt-to-Ebitda Ratio (1.3).

Paulus Tedjosutikno added, "The company always strives to maintain and improve performance, including by routinely conducting market research to assess the impact of changes in products, prices, marketing promotions, changes in distribution channels, and others. In addition, the Company also remains committed to developing the information technology (IT) system to boost productivity in all business functions. This development is expected to accelerate business processes and increase the availability of the required information."

The Company continues to innovate in producing high-quality products that are acceptable to consumers, such as by launching a number of new product variants throughout 2019. In addition, the Company has also developed the first digital factory gallery in Indonesia, “Gery X-Quest”, located at the biscuit factory in Gresik, East Java. 

After the AGMS, the Company also held an EGMS reaching the decision to approve the ratification 'Corporate Core Values' implementation to serve as the foundation and reference in building the Company's culture as well as guidelines for every behavior and action of the Company, management, and employees. This will be implemented through all the regulations, decisions, and policies issued by the Company.