Jardine Strategic : PT Astra International Tbk 2020 Full Year Financial Statements

To: Business Editor

PT Astra International Tbk

2020 Full Year Financial Statements

25th February 2021

For immediate releaseThe following announcement was issued today by the Company's 75%-owned subsidiary, Jardine Cycle & Carriage Limited, which holds 50.1% of PT Astra International Tbk.

For further information, please contact:

Jardine Matheson Limited

Jonathan Lloyd

(852) 2843 8223

Brunswick Group Limited Ben Fry

(65) 9017 9886

PRESS RELEASE

25th February 2021

PT ASTRA INTERNATIONAL TBK (the Company or Astra) 2020 FULL YEAR FINANCIAL STATEMENTS

Highlights

• • Net earnings per share down 53% (before the gain on sale of investment in Permata Bank)

• • Car sales down 50% with a slight decline in market share, while motorcycle sales down 41% with increased market share

• • Increased loan loss provisions in the financial services business

• • Lower coal prices impacted heavy equipment sales and mining contracting volumes

• • Agribusiness benefited from higher crude palm oil prices

• • Strong balance sheet and funding position

"The revenue and net income of Astra group (Group) for the year declined due to the impact of the COVID-19 pandemic and efforts to contain it. The Group continues to operate in challenging conditions and uncertainty remains over the duration of the pandemic. We expect these conditions to continue for some time and it is too early to predict the impact of the pandemic on the Group's performance in 2021.

During these challenging and uncertain times, I would like to thank all our employees for their continued hard work, dedication and professionalism."

Djony Bunarto Tjondro

President Director

- more -

Group Results

The financial results for the year ended 31st December 2020 and 2019 and the financial position as at 31st December 2020 and 2019 have been prepared in accordance with Indonesian Financial Accounting Standards and audited in accordance with the auditing standards established by the Indonesian Institute of Certified Public Accountants.

PRESIDENT DIRECTOR'S STATEMENT

Performance

The Group's consolidated net revenue for 2020 was Rp175.0 trillion, a decrease of 26% compared with the previous year. Net income, including the gain from the sale of the Group's investment in Permata Bank was Rp16.2 trillion, 26% lower than 2019. Excluding this one-off gain, the Group's net income would have decreased by 53% to Rp10.3 trillion, primarily due to the impact of the COVID-19 pandemic and related containment measures which drove weaker performances by the Group's automotive, heavy equipment and mining, and financial services divisions.

Net asset value per share at 31st December 2020 was Rp3,845, 5% higher than that at 31st

December 2019.

Net cash, excluding the Group's financial services subsidiaries, was Rp7.3 trillion at 31st December 2020, compared with net debt of Rp22.2 trillion at the end of 2019, following the receipt of proceeds from the sale of the Group's investment in Permata Bank in May 2020. Net debt of the Group's financial services subsidiaries decreased from Rp45.8 trillion at the end of 2019 to Rp39.2 trillion at 31st December 2020.

A final dividend of Rp87 per share (2019: Rp157 per share) will be proposed at the Annual General Meeting of Shareholders of the Company to be held in April 2021. The proposed final dividend, together with the interim dividend of Rp27 per share (2019: Rp57 per share) distributed in October 2020, will bring the total dividend for the year to Rp114 per share (2019: Rp214 per share).

Business Activities

The Group's net income was lower in 2020 compared to that of the previous year. Net income attributable to shareholders of Astra by business division was as follows:

Automotive

Net income from the Group's automotive division decreased by 68% to Rp2.7 trillion, reflecting a significant drop in sales volume. After suffering a net loss in the second quarter, the automotive division saw a return to profitability in the second half of the year following a partial easing of the pandemic containment measures. Key points were as follows:

• • The wholesale market for cars declined by 48% to 532,000 units in 2020 (source: Gaikindo). Astra's car sales for 2020 were 50% lower at 270,000 units, reflecting a slight decline in market share. 16 new models and 18 revamped models were launched during the year.

• • The wholesale market for motorcycles declined by 44% to 3,663,000 units in 2020 (source: Ministry of Industry). Astra Honda Motor's sales decreased by 41% to 2,892,000 units, reflecting an increased market share. Five new models and 11 revamped models were launched during the year.

This is an excerpt of the original content. To continue reading it, access the original document here.