TEMPO.CO, Jakarta-PT Indofood Sukses Makmur (INDF) continues to increase its product marketing in foreign and domestic area by building three to four new factories this year.
Based on the press release from PT NH Korindo Securities, the four factories will focus on manufacturing instant noodles. However, it does not rule out the possibility that it will also be utilized for other Indofood business lines.
One of the factories located in Cirebon, West Java, has an enormous investment value of Rp400 billion, with three production lines. The number of lines can be adjusted with the needs of the production and can reach up to six lines.
“The management can at least prepare a minimum of Rp1.6 trillion in investment for the construction of those four factories,” Head of Research for PT NH Korindo Securities Reza Priyambada said in a statement on Monday, June 6, 2016.
The source of funding for the development of these factories will be derived from internal budget. The company has prepared a capital expenditure (capex) of Rp7.6 trillion.
The capex has dropped 15 percent compared to last year’s of Rp9 trillion. So far, the capex has absorbed about 18 percent or Rp1.37 trillion. The presence of the factories are expected to maintain the company’s performance.