DSNG Booked a 2022 Profit of Rp 1.21 Trillion, which Soared 63% Against 2021
JAKARTA, 1 March 2023 – PT Dharma Satya Nusantara Tbk (“the Company”, “DSNG”) recorded a 2022 profit of Rp 1.21 trillion, which rose by 63% against 2021 of Rp 739.6 billion, mainly driven by the increase of the CPO and wood product sales.
Throughout 2022, DSNG generated sales revenue of Rp 9.63 trillion, 35% higher than in 2021, of Rp 7.12 trillion. The palm oil segment contributed Rp 8.12 trillion, or around 84% of total sales. The revenue from palm oil increased by 40% against 2021 of Rp 5.79 trillion, following increased CPO sales volume and average selling price.
Meanwhile, the wood products business segment posted sales of Rp 1.52 trillion in 2022, 14% higher compared to 2021 of Rp 1.33 trillion, mainly due to the increase in both sales volume and average selling price of panel products.
The President Director of DSNG, Andrianto Oetomo, explained that the higher CPO price throughout 2022 and increased CPO sales volume mainly drove the Company’s financial performance growth in 2022. DSNG achieved a higher sales volume because the FFB’s production has gradually returned to normal after being affected by the El-Nino over the last 24 months.
“DSNG is enjoying the windfall from the rising palm oil price in 2022, which was the highest in history. In addition, the contribution from our wood product segment is also strong with the sales volume and selling prices improving following the construction sector resume at our export destinations post-pandemic,” he said when explaining the Company’s financial performance for 2022.
The Company booked an EBITDA of Rp 3.02 trillion in 2022, increasing by 56% from 2021 of Rp 1.94 trillion. The EBITDA margin improved to 31% from 27% in 2021. Meanwhile, the Core Profit in 2022 also significantly increased by 73% to Rp 1.32 trillion from Rp 761.8 billion in 2021.
Operational-wise, total FFB production reached 2.2 million tons, which increased by 14% from 2021. This higher FFB production has led to higher CPO production and sales volume of 640 thousand tons, respectively, in 2022. This achievement translated to an increase of roughly 17% compared to 2021. Moreover, DSNG’s CPO ASP in 2022 was higher by 21% at Rp 11.2 million per ton than in 2021 at Rp 9.2 million per ton.
Palm Kernel Oil (PKO) sales volume in 2022 also increased by 26% to 39 thousand tons compared to 31 thousand in 2021, with ASP higher by 6% to Rp 17.5 million per ton against 2021 of Rp 16.5 million per ton.
Meanwhile, DSNG’s wood product business also provided a solid contribution throughout 2022 following an improved operational performance, particularly for panel products. In 2022, panel sales volume increased by 6%, with the ASP jumped by 21% following a higher demand from Japan market and a mixed product strategy for value-added panel products.
As for the engineered flooring segment, sales volume declined marginally by 2% to 1,117 thousand m2 due to slower demand from Canada and US markets; but still enjoyed a 6% increase in the average selling price than the previous year.