PT Pelita Samudera Shipping Tbk (“Company”, IDX code: PSSI), the first quarter of 2018 financial performance of the company providing integrated sea logistics and transshipment solutions achieved a significant financial increase compared to the first quarter of 2017 and exceeded first quarter of 2018 target. Coal transport and transshipment volume reached 9.6 million metric tons or increased by 55% from the first quarter of 2017 and exceeded first quarter of 2018 target by 27%. The volume achievement obtained from the tug and barge segment of 3.3 million metric tons and the Floating Loading Facility segment of 6.3 million metric tons.
From the first quarter of 2018 financial report unaudited, the Company posted revenues of US$16.2 million, increased by 60% from US$10.1 million in first quarter of 2017. The increase occurred in both segments, the tug and barge volume increased by 55% from 2.1 million metric tons in first quarter of 2017 and exceeded first quarter of 2018 target by 8%. The Floating Loading Facility volume increased by 55% from 4.1 million metric tons in first quarter of 2017 and exceeded the first quarter of 2018 target by 39%. Along with the higher volume transport and transshipment, the cost of revenue also increased by 12% from US$10.1 million in first quarter of 2017 to US$11.3 million in first quarter of 2018. The Company implemented sustainable efficiency in close monitoring on the diesel fuel and oil usage, fleet technical costs as well as repair and maintenance.
The Company recorded a comprehensive net profit of US$2.6 million, a significant increase by 347% from loss in the first quarter of 2017 at -US$1.06 million. The average fleet utilization rate is high at above 90% (February reached 96.5%) has been the operational excellence of the company. The vessels that have been purchased in 2017 will mostly be fully operational in 2018. Total assets increased by 4% from YTD December 2017 at US$101.8 million to US$105.9 million in the first quarter of 2018.
The first quarter of 2018 performance began with the positive achievement at the beginning of 2018 with major contracts obtained from major coal miners in Indonesia, one of which is PT Bukit Prima Bahari, a subsidiary of PT Bukit Asam Tbk as one of the largest state-owned energy companies in Indonesia. The contract is valued at approximately US$8.4 million which will expire in 2021, obtained through a tender for the loading and unloading of coal with Floating Crane to Vessel in one of Bukit Asam’s mining areas at Anchorage Tanjung Kampeh, Bangka Strait, South Sumatra. This winning bidding as one of the Company’s strategic business to expand into larger operational areas.
The Company which just held its first Annual General Meeting of Shareholders in May 2018 since becoming a public company in early December 2017, is very optimistic to target a volume increase above 10% from 2017 with the addition of new contracts, expansion into larger operational areas and vessels purchased in 2017 most of which will be fully operational in 2018. The operational cost reduction initiatives will continue to be implemented strictly.