HEXA sees hopes in the reviving commodity price

PT Hexindo Adiperkasa Tbk (HEXA) hopes that the commodity price recovery would drive improvement in its performance after being crushed down throughout April 2020 until March 2021.

Corporate Secretary of HEXA, Listiana Kurniawati, claims that the increasing commodity price would drag HEXAs heavy equipment demands upward. The demand could come from the forestry, agro, or mining sector. In fact, the forestry sector still dominates HEXAs heavy equipment sales by 34%, followed by the agro sector of 32% and the mining sector of 11%. Additionally, the construction sector also brings in a contribution of approximately 21%.

Kurniawati mentions that one of HEXAs strategies to encourage its performance this year include developing the potential niche market, which is set to be the contractor plant machinery (CPM) package deliveries to the users. It could then be used to purchase HEXAs new heavy equipment units with an after-sales service as well as secondhand unit rental to be purchased (rent-to-buy). Kurniawati explains these terms to Kontan.co.id.

HEXAs net revenue massively shrinks 37.79% year-on-year (yoy) to USD 264.01 million in Q1 2021. In the same period, its net profit also plummets 33.41% yoy to USD 16.13 million.

 

Source:https://www.idnfinancials.com/news/39725/hexa-hopes-reviving-commodity-price