Nine Unilever’s Factory Expansion Worth IDR1.4Trn

Unilever Indonesia, Tbk (UNVR IJ), company’s based consumer goods business, expanding its plant production capacities  worth IDR1.4trn, from its capital spending budget totally IDR2trn. Its expansion to support company’s performance amid the economic condition, that are more stable than last year. The company’s projecting overall consumption goods market could grow between 5% up to 7%. By 2015, Unilever sales totaling IDR36.48trn, grew 5.7% from its previous year totaling IDR34.51trn. Whereas, its 1Q2016’s sales grew 6.1% to IDR9.98trn, compare to same period last year. On the other hand, to encourage its performance this year, the Company will release as many as 40 new product variants, with 3 of them has been released on 1Q2016. Until the end of 2016, the Company is projected to have nearly as many as 1,000 products.

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As for the rest of its capital spending budget worth IDR600bn, the Company used to complete a new headquarter’s construction in Bumi Serpong Damai, Tbk (BSDE IJ) area, Tangerang, Banten. In addition, most of the capital expenditure budget comes from internal cash, and about 15% up to 20% is a short term loan.

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