First Quarter 2015, DSNG Maintains A Gross Profit Margin Of 27%

JAKARTA, 29 APRIL 2015 — PT Dharma Satya Nusantara Tbk (DSNG) was able to maintain a gross profit margin of 27% in the first quarter of this year, despite a decline in CPO sales volume and lower crude palm oil (CPO) prices in the quarter.

In the first quarter of 2015, the Company posted a gross profit of Rp 272 billion. This was a drop of 20.2% from the Rp 341 billion reported in the same period last year. Nevertheless, the Company was able to maintain a consolidated gross profit margin of 27%, in line with the previous year.

The Company’s operating profit of Rp 169 billion in the first quarter of 2015 showed a decline of 17.8% from 2014.  The Company’s operating profit margin was maintained at 16.5%, or roughly in line with the previous year.

Deputy CEO of PT Dharma Satya Nusantara Tbk, Andrianto Oetomo, said in the first quarter of this year, both production and sales volumes decreased due to the drought in the first half of 2014.

The Company, however, was still able to maintain its efficiency as shown by the stable profit margins.

The Company’s EBITDA margin increased from 21.8% in the first quarter of 2014 to 23.9% in the first quarter of this year, even though the Company’s EBITDA of Rp 245 billion decreased by 9.1% compared to Rp 270 billion in the same period last year. The net profit for the first quarter of this year reached Rp 58 billion.

In the first three months of this year, the Company posted net sales of Rp 1.02 trillion, 17.3% lower compared to the same period last year, which reached Rp 1.24 trillion. The decline in net sales was due to the impact of the decline in production and sales volume of the Company’s CPO as well as lower selling prices.

For the first three months of 2015, production of fresh fruit bunches (FFB) fell by 1.4%. The Company’s CPO production reached 78.3 thousand tons, or 11.5% lower compared to the same period last year which reached 88.4 thousand tons. The average selling price of CPO in the most recent three months also fell to Rp 7.7 million per ton, compared to the average selling price of CPO first three months of last year of Rp 8.8 million per ton.

“We are optimistic in the second quarter, the Company’s production of FFB and CPO will improve. This improvement could be seen in March 2015, where production of FFB and CPO production were higher than those in March 2014,” said Andrianto Oetomo.

As of March 2015, DSNG total planted area reached 81,142 hectares. Of this amount, approximately 63,486 hectares are nucleus area, with an average age of 8.1 years.

ABOUT PT DHARMA SATYA NUSANTARA Tbk

 PT Dharma Satya Nusantara Tbk is a company engaged in the palm oil industry and wood processing industry. The Company was established on 29 September 1980.  The Company initially engaged in the timber industry. In the mid-1990s, the Company diversified its business into plantations and the palm oil industry in East Kalimantan. On June 14, 2013, the Company listed its shares on the Indonesia Stock Exchange, with ticker code DSNG. CONTACT INFORMATION: Paulina Suryanti Corporate Secretary PT Dharma Satya Nusantara Tbk Jl. Rawa Gelam V Kav. OR / 3B, Pulogadung Industrial Estate Jakarta 13930, Indonesia Phone: + 62-21-4618135. Fax: + 62-21-46834865 Email: corporate.communications@dsngroup.co.id