Posted on 23 Jul 2010
State steel maker PT. Krakatau Steel said Thursday its net profit in the first half of 2010 more than doubled to Rp815 billion from throughout last year on rising demand amidst the robust domestic economy.
Last year, the company posted a net profit of around Rp400 billion, PT Krakatau Steel Vice President for Corporate Communication Wawan Hernawan said here on Thursday.
Given the surge in the first-semester profit, Wawan said he was convinced that the company could achieve its net profit target of Rp1 trillion for this year.
"I am very optimistic we can achieve the target particularly if we observe the current robust domestic economy," he said.
So far, the company had focused on marketing its products in the domestic market, he said.
"Most or 90 percent of our products is marketed at home and the rest is exported," he said.
The low export was mainly because PT Krakatau Steel was still unable to meet high demand from the domestic market, he said.
"Our steel products reach 2.5 million tons per year, well below China`s 600 million tons," he said.
The company exported steel merely to meet demand from its old customers. "Our current export policy is merely aimed at maintaining old customers," he said.
