Semen Baturaja Distributes 10,7 Billion Rupiah CSR Fund in 2020

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PALEMBANG – The Company of Semen Baturaja has coordinated the sustainable implementation of Corporate Social Responsibility (CSR) program in the regions around their operational plants, South Sumatra, and Lampung as proof of its social commitment and contribution.

Throughout year 2020, Semen Baturaja has distributed fund for TJSL program amounting to 3,9 billion rupiah and a number of 6,7 billion rupiah was also distributed through the Partnership and Community Development Program with largest sum of portions went to programs supporting the improvement of healthcare, education, and training as well as distribution of Partnership Program Funding for Small and Medium Enterprises.

The realization of the program in 2020 has reached 47% compared to 2019. All of the company’s social responsibilities that have been done so far include: natural disaster relief, education and training, healthcare improvement, facilities and infrastructures, religious facilities and nature’s conservation, and also contributions for Small and Medium Enterprises. 

Semen Baturaja also took its own initiative to provide positive contributions towards society, such as the improvement of economic, social, and environmental aspect. It did so in accordance to the company’s CSR vision of becoming a flexible company that is capable of maintaining good relation with stakeholders and society while also shaping itself as a community-centric company which continuous social empowerment.

During the ongoing pandemic of Covid-19 in 2020, every sector of society and industry has been impacted by economic depression. Semen Baturaja has responded by distributing food supplies and medical equipments and tools for medics along with people affected by the Covid-19 so as to ease their burden caused by this pandemic.

Furthermore, Semen Baturaja also coordinated with the TJSL Forum of Palembang city to distribute medical tools for the Task Force for Covid-19 Handling Acceleration of Palembang. The donations consisted of 1.250 pieces of medical mask, 50 pieces of APD, 5000 handscoons, google glasses, hand sanitizers, cloth mask, and food supplies.

As a token of concern of the company towards the medical workers who have been working tirelessly in handling the spread of Covid-19 virus, Semen Baturaja has redistributed some more medical necessities to the task force responsible in handling Covid-19 pandemic in the region of Ogan Komering Ulu (OKU).

In appreciation of Semen Baturaja’s supportive attitude towards medical workers, the company has received the “Initiative Urgent Response to Covid-19” award from Iconomics CSR Award 2020 as a form of medical Healthcare support within the cement industry category in December 2020.{}

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Quarter I/2021 Semen Baturaja Recorded Rise in Revenue

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PALEMBANG – The Cement Association of Indonesia has stated that the construction work of infrastructure and other strategic projects under the field of property have started to be worked within the new normal trend, the growth of cement demand in 2021has also shown a trend in raise. During the first quarter of 2021, domestic demand has seen a growth of 2,2%. With a positive performance achievement in 2020, the morale of the company’s management is soaring high come 2021. This is evidently shown from the growth volume achieved by the company of 21,5% during the first quarter of the year in comparison with the same period of last year.

The company of Semen Baturaja has consistently attempted to elevate financial performance by enacting efficiency program, such as: the optimizing of low calorie coal use, utilization of plant waste as a raw material substitute, optimizing of Baturaja II plant operation and efficiency of business cost. Other than that, the fixing of sewage and distribution system and also the strengthening of marketing information system all will push to increase the company’s sales volume.

With the implementation of these strategic initiatives, the company is able to make improvement upon its financial performance during the first quarter of 2021 with a raise of 20% in revenue when compared to last year. The continuation of strategic initiative on cost efficiency has also allowed reduction of the cost of goods sold by 21%, in comparison with last year’s of the same period until quarter one of 2021. Lastly, the net profit of the company has reached a positive 17,9 billion rupiah. The state of quarter one of 2021 is a direct contrast compared to the first quarter of 2020 where the company had financial loss. On another note, the company’s net cash flow remained stable with a value of 86,4 billion rupiah.

“The region of Sumatra has a positive cement growth with continuously improving demand in each month. Semen Baturaja as a cement manufacturer in Sumatra will continue to put effort in maintaining its sales growth in order to fulfill demands in South Sumatra, Jambi, Lampung, Bengkulu, and Bangka Belitung”, as stated by Semen Baturaja’s Marketing Director, Mukhamad Saifudin.

The company is confident that they will be able to reach sales target in this year of 2021. With the addition of strategic projects and ongoing infrastructure projects, Semen Baturaja is ready to provide high-quality cement products for the better of this country.{}

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Optimism towards 2021 Goals: Semen Baturaja Goes Digital, Ordering Cement Made Possible through Mobile Phone

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PALEMBANG – As of today, on 1 May, the company of Semen Baturaja has officially opened its e-commerce platform in tokopedia for easier access in cement purchasing transactions.

It is undeniable fact that society’s consumption lifestyle has shifted from conventional transaction into online purchasing. The apparent convenience from ordering online using mobile phone has allowed people to sit at ease while waiting for their bought item to arrive in their place.

The advancement of technology has encouraged society to make use of online shopping. Henceforth, Semen Baturaja has decided to open its own e-commerce official store in Tokopedia to provide easier access for general public in purchasing their products.

“We are making it convenient for consumers when shopping for Semen Baturaja’s products. One needs to only order through e-commerce and we will send cement to their place. We even give free of charge the cost of cement delivery and unloading”, said the Marketing Vice President, Tarida Tambunan.

Right now, Semen Baturaja is focused on the sales of Zak Portland Composite Cement (PCC) 50 kg which is a recommended product for necessities in building construction in general. PCC has the advantage of having lower heat hydration; making it easier to use for working while also capable of producing a denser and refined concrete surface and plaster. PCC cement also possesses a firm adhesion, compressive strength, and is waterproof.

Semen Baturaja has started its digital approach ever since it implemented advanced Enterprise Resource Planning (ERP) with a base of System Application and Product in Data Processing (SAP) previously on 2019. The system has been utilized by many renowned companies and Semen Baturaja followed suit in facing industrial revolution 4.0. Other than that, Semen Baturaja has also been preparing Bangun Sumatra application. This marketplace application sells construction materials with various features included in it, and it is being prepared to provide easier purchasing for consumers. The application is hoped to be launched and accessible for general public this year.

“We hope that by September 2021, the Bangun Sumatra application will have been ready to launch. This application will considerably help construction work processes and make it easier for people who wished to renovate or build their home by contacting us through smartphone” he added.

The challenge of Industrial Revolution 4.0 is spurring Semen Baturaja to brace itself in facing the growth of technology that has blurred the line between the physical, digital, and biological. Billions of people are connected through cellular tool possessing faster and indefinite processing power. Semen Baturaja is ready to expand the technological innovation that is capable of raising revenue amidst the industrial challenge and remains optimistic of being able to make a positive performance record in 2021.{}

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Semen Baturaja Reclaims Zero Accident in K3 20121 Award

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JAKARTA – Semen Baturaja has again claimed the Zero Accident award during K3 2021 Award during Work Safety Program Implemntation (Pelaksanaan Program Keselamatan Kerja in Indonesian, or K3) that was organized by the Minisrty of Labor of Republic of Indonesia.

The event was held both online and offline in Bidakara Hotel, Jakarta on Wednesday, 28 April. The awarding was received virtually by the Vice President of Safety, Security, Health, & Environment (VP SSHE), Jogy Alpha Mediarta Gumay.

The Palembang plant has managed to achieve recorded time of 6.012.776 hours of work with zero accident, started from 1 January 2011 until 31 December 2020. Panjang plant has reached a record time of 3.601.383 of work time with zero accident starting from 1 January 2012 until 31 December 2020.

The Zero Accident award is a form of K3 awarding that is given by government towards companies’ management team with successful implementation of the K3 program resulting in zero work accident during a certain period of time.

Within the last two years, Semen Baturaja has also acquired a similar award. The achievement of this Zero Accident is correlated with the Work Safety and Health Management System implemented by the company. Semen Baturaja will continue to maintain its commitment in the K3 implementation in each of its work environment.{}

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Semen Baturaja Recorded Positive Performance in 2020

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PALEMBANG – Indonesia Cement Association (Asosiasi Semen Indonesian in Indonesian, or ASI) has projected that in 2021 the domestic cement consumption will increase around 7-8%. It is also estimated that the clinker and cement export will also rise by 10%. The primary reason is suspected to be due to 47,3% increase of state revenue budget in 2021 for infrastructure amounting to 414 trillion rupiah and the growth of domestic economy is estimated to increase by 4-5%.

The sales volume of domestic cement throughout 2020 is listed as 62,5 million ton. In reference to ASI data, this economic realization declined by 10,7% yoy and it’s noted to be the lowest growth within the last 10 years.

When Covid-19 virus had spread globally, including in Indonesia, the country’s economic performance had declined and so did its economic growth. Until the end of 2020, the Covid-19 pandemic had caused Indonesia’s economic growth to decline by -2,07%.

“There were a lot of government projects that got delayed due to Covid-19 pandemic. Even so, there are still ongoing projects such as the construction of Indralaya – Prabumilih toll road, the Muara Enim – Lubuklinggau – Bengkulu toll road, and other projects that are being worked on can affect the cement consumption in Sumatra region” as explained by the Main Director of Semen Baturaja, Jobi Triananda Hasjim.

Facing such pressing situation, the company of Semen Baturaja was still able to make positive performance record throughout the year of 2020. The company maintained it performance through various strategic initiatives, some of which are: efficiency of business and production costs, fixing distribution system and organizing distributor. The company has pushed further to improve revenue through white clay sales. As a result, Semen Baturaja was able to significantly suppress cost of goods sold while also maximizing income with the record of 1,72 trillion rupiah and also improving EBITDA into 216,4 billion rupiah; an increase of 2% compared to 2019.

Other than that, the company has had diligently managed its cash flow while also setting priority of capital expenditure so it can successfully recorded Cash From Operation (CFO) of 393 billion rupiah at the end of 2020 and able EBITDA margin of 24%, far higher than the accomplishment in 2019 of 20%.

“Semen Baturaja is able to show its responsibility as a State-owned Business Enterprise by maximizing income amidst the middle of Covid-19 pandemic. We have a more optimistic view of year 2021 thanks to the acceleration effort to recover domestic economy which is hoped to be able to push for the infrastructural sector growth that will serve as the main sector of cement industry”, he lastly added.{}

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PT Semen Baturaja (Persero) Tbk’s Commitment to the Implementation of Good Corporate Governance (GCG) Regarding the Prohibition of Requesting or Receiving Gratuities in 2021

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Semen Baturaja Achieved Honor in Indonesia Enterprises Risk Management Award-IV-2021

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JAKARTA – Semen Baturaja has achieved the award for 4th Best Indonesia Enterprises Risk Management within the category of Public Company – Basic Materials – Raw Goods in Cement Industry sector during the prestigious competition of Indonesia Enterprise Risk Management Award-IV-2021 that was held by the Economic Review magazine on Friday, 9 April virtually through Zoom Meeting. The award was received virtually by the Vice Preseident Corporate Secretary of Semen Baturaja, Doddy Irawan.

The IERMA IV 2021 award was given to companies with proven excellence in implementing risk management. The award has proven that the company of Semen Baturaja is committed in implementing proper risk management.

In the future, Semen Baturaja will continue to innovate further in terms of the risk management socialization method periodically as a way of improving the risk awareness culture towards all of its employees.{}

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Semen Baturaja Supports Small and Medium Enterprises through Memorandum of Understanding Signing

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PALEMBANG – The Company of Semen Baturajais one among 8 Domestic Investment companies of South Sumatra province that has signed off Memorandum of Understanding with the regency’s Small and Medium Enterprises that was held on Thursday, 8 April at Hotel Alts, Palembang.

The signing was formally opened by the Governor of South Sumatra, Herman Deru, the Head of Investment and One-door Integrated Services (Dinas Penanaman Modal dan Pelayanan Terpadu Satu Pintu in Indonesian, or DPMPTSP) of South Sumatra, Dra. Hj. Megaria, M.Si., and the Director of Region IV Unit for Investment Implementation Handling of Capital Investment Coordinating Board of Indonesia (Badan Kordinasi Penananam Modal in Indonesian, or BKPM), Yos Harmen.

The Memorandum was signed by the Vice President of Procurement of Semen Baturaja, Taufik, witnessed directly by the Governor of South Sumatra.

The purpose of this collaboration is to implement one of the government’s programs through BKPM and DPMPTSP in order to push and develop partnership investment with Small and Medium Enterprises by way of cooperation among large companies.

As one of the State-owned Business Enterprises in South Sumatra, Semen Baturaja is ready to improve investment and building business partnership with Small and Medium Enterprises.{}

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Announcement of the Auction 16th March 2021

The committee procurement of Goods & Services PT Semen Baturaja (Persero) Tbk will held the auctions, for the company that are interested can be follow the auction with an explanation as follows:

To join this auction, please click on this eproc link.

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Semen Baturaja Signed Collaborative Utilization of Limestone, Gypsum, Fly Ash, and Bottom Ash with Huadian Bukit Asam Power

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PALEMBANG – The Company of Semen Baturaja has collaborated with the company of Huadian Bukit Asam Power (HBAP) in the utilization of Limestone, Gypsum, Fly Ash, and Bottom Ash. The signing of the Memorandum of Understanding was done by the Marketing Director of Semen Baturaja, Mukhamad Saifudin, and the Vice Director of Huadian Bukit Asam Power, Dody Arsadian, situated in the main branch office of Semen Baturaja Manufactory in Palembang on Tuesday, 16 March.

The signing of the memorandum between the State-owned Business Enterprise with the mutual company of China Huadian Hongkong Co Ltd (CHDHK) and Bukit Asam Tbk (PTBA) was done as one of the parties affiliated in the utilization of Gypsum, Fly Ash, and Bottom Ash as a potential product of the development of Mulut Tambang’s Steam-based Electricity Generator of South Sumatra-8 with the capacity of 2×600 MW in Muara Enim regency.

“This collaboration is a synergistic form of both companies to improve competitive quality that is crucially required in order to face the ever competitive industrial environment through the opportunity of creating new revenue stream or cost transformation. Semen Baturaja will make use of Fly Ash and Bottom Ash for cement production process generated by the South Sumatra-8 Steam Based Electricity Generator” as stated by Saifudin. The memorandum will last for two years starting from 2 March 2021 until 1 March 2023. During the partnership, Semen Baturaja will provide limestone to HBAP to be used as a necessary material for the Flue Gas Desulfurization (FGD) process.

“The company of Huadian Bukit Asam Power will also provide Gypsum required as a raw material for manufacturing process in Semen Baturaja. This cooperation is mutually beneficial for both parties, particularly in terms of maximizing the potential of both companies” he added.

Fly Ash and Bottom Ash can be properly processed during the production Portland cement naturally by improving its quality and durability. Ever since 2019, Semen Baturaja had already synergized with PUSRI in utilizing Fly Ash and Bottom Ash. Regarding the collaborative usage of Limestone, the company has stated that they will be ready to supply the Limestone demand of HBAP, citing that SMBR has the capability of producing Limestone qualifying the required standard of specification of HBAP’s processing operation.{}

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