Indorama profit declines 18%

Polyester fiber and resin producer PT Indo-Rama Synthetics Tbk reported substantial drop in net sales revenue of 19% to US$237 million. 

Export sales declined 22% to US$141 million, while local sales down by 13% only. The biggest drops were in the polyester and PET resin segments.

Meanwhile, its cost of goods sold declined 19% in the same period, resulting in significantly lower gross profit. The company managed to cut its operating expenses by 22%, but its operating profit still declined by 15% to US$3.84 million. 

Lucky that the company's interest expenses declined to US$3.67 million. As a result, Indorama booked net profit of US$1.29 million in H1 2009, declined 18% from the same period last year.

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