Elnusa Receives USD388 Million Contract in Upstream Oil and Gas Services

Jakarta, 25th November 2016 – PT Elnusa Tbk. (“ELNUSA”), one of the national leading providers of energy services, deliver the company’s performance results during the third quarter in 2016 and business development update in public expose held at the Indonesian Stock Exchange, today.

Since oil and gas activity has not fully recovered and the oil prices are still low, reduction of work in the Oil and Gas Upstream Services cannot be avoided, mainly in the drilling services and wireline logging. However, as an integrated oil and gas services company which has the advantage of positioning and diversification, Elnusa remains confidence toward the future of the company’s business. The result of this diversification remains visible from the seismic services, maintenance operation and logistic distribution services, which this year became the backbone of the business on a consolidated basis.

Throughout this year until September 2016, Elnusa already received a total contract worth USD388 million from upstream oil and gas services, which being worked for the next few years. Refer to those values, 57% of the new contracts obtained in this year worth USD77 million are from the operation & maintenance service contract and become the major contributor.

This year, land seismic services have performed well with growth of 8% from 3D seismic project in West Java and almost completed. For the next year, Elnusa has also been prepared to do seismic work in several areas, including East Java, Central Kalimantan and South Sumatra.

Marine seismic services, which is inactive in the past few years, are ready to resume operation through Elnusa latest investment in the seismic vessel called “ELSA Regent”, one of which is a 2D seismic project in the Java Sea. Elnusa is optimistic to see a tremendous opportunity to develop a marine seismic in Indonesia since there are many national oil and gas reserves in the deep sea that can be worked optimally. It is also in line with the Indonesian government to prioritize national capacity, which currently only a few national companies who have competence in the field of marine seismic services and only a handful of Indonesian-flagged seismic vessel working in Indonesian sea.

In addition to the existing business, this year Elnusa also started to explore several new business opportunities, including the development of flare gas. One of the solutions and services that can be provided by Elnusa is the solution to process the flare gas into electricity using a gas engine generator set, fueled by gas flare. This is in line with the Indonesian government program to reduce gas emissions, the Zero Flaring program by Pertamina and addressing the challenges of oil and gas production cost efficiency.

In terms of financial performance, until the end of September 2016, Elnusa’s revenue declined by 3.7% to Rp2.5 trillion worth compared to the same period of the previous year which was worth Rp2.6 trillion. The decline in net profit worth Rp178 billion is attributed to the decrease in operating profit were also burdened by the impact of foreign exchange loss worth Rp22 billion, where it is inversely proportional to the previous period. “However, achievement of positive performance is maintained in operating profit and EBITDA grew more than 13% as a result of the effectiveness and efficiency at the operational level”, said Budi Rahardjo, Finance Director of Elnusa.
Budi added, “On the other hand, the strategy of slim and ideal by using partial debt repayment method to optimize balance sheet is visible to the long-term interest bearing debt and decreased by the end of September 2016 worth 89.2% to Rp40 billion to help Elnusa reduce the financial burden along the trimester of this year. “***

2016 Public Expose PT Elnusa Tbk

Jakarta, 25 November 2016. PT Elnusa Tbk (Ticker code: ELSA) held Public Expose at Indonesia Stock Exchange, Jakarta. Elnusa is highly confident to take the advantage of positioning and diversification as integrated energy services. Seismic services, operation & maintenance, and distribution & logistics services become the backbone of business on a consolidated basis

First Half Performance in 2016 Elnusa Net Profit Increase to 9%

Jakarta, 26th September 2016 – As one of the leading national provider of energy services, PT Elnusa Tbk. (“ELNUSA”) reports the Company’s performance during the first semester in 2016 with highly positive profit growth.

Continuing the great achievement as in the previous quarter, Elnusa has successfully recorded performance  of the middle of 2016 with net profit growth of 9.2% and reached Rp145 billion , compared to the same period of previous year which only Rp133 billion , despite the Company’s operating income contracted 5.1% Rp1.7 trillion  in this period.

“The current condition of global economy and the oil price has not been stable enoughto resultin decreasing our revenues, but with our good business managementenabled us to withstand even relatively better than other companies in the oil and gas industry nationwide”, said Budi Rahardjo, as the Financial Director in Elnusa.

In this industry, the efficiency of the cost structure into a strategy that cannot be avoided in dealing with any situations. Elnusa has been able to suppress the cost revenue by 8.0% and resulting an increase in gross profit by 9.7% to Rp324 billion While operating income jumped 35.8% to Rp232 billion due to a decrease in operating expenses by 35.0%, and also resulting an EBITDA increase of 23.6% to Rp377 billion. Gross margin, operating income and EBITDA also improved to respectively 18.9%, 13.6% and 22.0% in the first half of 2016.

Budi added, “The Nature of differentiated business in Elnusa also gives us distinctive advantages, while throughout the middle of 2016’s declining business activity of our drilling and oilfield services can be offset by the growth of our seismic services, distribution services and logistics as well as other supporting business which managed by Elnusa subsidiaries that contributed significantly to the Company’s business as a whole “.

Strengthening the balance sheet also be our focus today,because of the strong balance sheet will also impact the Company’s durability and profitability. This act is reflected in the interest bearing debt at the end of June 2016 reduced by 34.4% to Rp485 billion, which contributed reducethe financial burden of Elnusa throughout the 6 month period in 2016.

Elnusa fundamentals are still solid and reflected the performance of the first quarter of 2016 were also appreciated by the sharp rising of ELSA stock from mid-January 2016 that reached up to Rp446 as per closing trading session of 23 September 2016, This semester ELSA also even had reached the price levels at Rp620 in June 2016.

 

Invitation of AGMS PT Elnusa Tbk 28 April 2016

The Board of Directors of PT Elnusa Tbk (hereinafter referred to as the “the Company”) having domicile in Jakarta hereby invites the Shareholders to attend the Annual General Meeting of Shareholders (“AGMS”) to be held on:

  • Day/date : Thursday, 28 April 2016
  • Time : 14.30 WIB – to the end
  • Place : Udaya Room – Graha Elnusa 1st Floor Jl. TB Simatupang Kav 1B South Jakarta

With agenda of AGMS as follows:

  1. The approval of the Annual Report 2015 including the Supervisory Report of the Board of Commissioners and ratification of the Financial Statements ended 31 December 2015.
  2. The determination of the use of the Company’s Net Profit for Fiscal Year 2015.
  3. The determination of Tantiem for the year 2015 and Remuneration for the year 2016 for members of the Board of Directors and Board of Commissioners.
  4. Appointment of Public Accountant to perform the audit on the Company’s financial statements for Fiscal Year 2016.
  5. Approval of changes to the Board of Management of the Company.

Explanation of each meeting agenda is as follows:

  1. 1st to 4th agenda are the agenda of the AGMS in accordance with the provisions of the Articles of Association and Law No. 40 of 2007 on Limited Liability Company.
  2. 5th agenda is the agenda concerns to the change of composition of the Company’s Management following a member of the Board of Commissioners who will have completed one (1) period of his tenure and there is also a request of resignation from President Director of the Company in accordance with a resignation letter received by the Company dated March 2, 2016.

Note:

  1. The Shareholders entitled to attend the AGMS are those registered in the Register of Shareholders on 5 April 2016 and or the owners of the balance of the company’s shares in the sub-account of securities of PT Kustodian Sentral Efek Indonesia at the close of stock trading at the Indonesia Stock Exchange on 5 April 2016.
  2. a. The shareholders of the company or their proxies who would attend the meeting shall be requested to submit copy of Identity Card (KTP) or other identification before entering the meeting room. b. The legal entity shareholders are requested to bring with them the copy of the most recent Articles of Association of the Company and the latest composition of the Management. c. The shareholders whose shares are included in the collective custody of PT Kustodian Sentral Efek Indonesia are requested to bring Written Confirmation for Meeting (KTUR) which can be obtained from Securities Company or Custodian Bank where the shareholders open their account.
  3. The Shareholders who do not attend the Meeting may be represented by proxy, provided that the members of the Board of Directors, the Board of Commissioners and employees of the Company cannot act as a proxy of shareholders in this meeting.
  4. Proxy forms can be obtained during working hour at the Company’s Share Registrar (BAE) Office PT Datindo Entrycom, Puri Datindo – Wisma Diners Club International Annex, Jl. Sudirman Kav. 34 Jakarta 10220.
  5. Meeting materials are available and can be obtained through the Company’s website (www.elnusa.co.id) or at the Head Office of the Company during working hour at the address PT Elnusa Tbk, Corporate Secretary, Graha Elnusa 16th Floor, Jl. TB Simatupang Kav. 1B South Jakarta if requested in writing by the Company’s shareholders.
  6. For the regularity of the meeting, the Shareholders or their legal proxies are requested to be present at the meeting place for registration not later than 30 (thirty) minutes before the meeting begins.

Jakarta, April 6, 2016

PT ELNUSA Tbk

Board of Directors

Performance of 2015: Fundamental of ELNUSA Still Remained Steady in 2015

Jakarta, February 25, 2016 – PT Elnusa Tbk. (“ELNUSA”), one of the national leading providers of energy services, reported the Company’s performance throughout the year 2015 with positive achievements.

Year of 2015 was marked by fairly heavy industry challenges related to oil and gas activity downtrend due to declining world oil prices. Amid these conditions, by doing all best efforts to increase efficiency and effectiveness through changes in work methods and continuous innovation as well as the development of the business and penetration to new markets, the Company managed to suppress the decreasing revenue as low as possible and still booked profit growth. So along the turbulent year in 2015, the Company posted revenues of Rp3.7 trillion or fell 10.6% over the previous year.

The efficiency and effectiveness efforts supported with the transformation of the Company’s working methods and innovation might be seen from the declining in the percentage of cost of revenue of 81.99% in the previous year to 80.96% in 2015. The gross margin grew from 18.00% to 19.04%, while the operating income margin and EBITDA margin grew into a 12.45% and 19.56%. The Company’s profitability remains in stable position due to inseparable contribution from the Company’s subsidiary mainly PT Elnusa Petrofin which engaged in the distribution and energy logistics services which remained  good profitability in the current condition.

The Company’s net income fell 11.84% from Rp426 billion to Rp375 billion in 2015. However, if the net income did not consider the gain on sale asset in 2014 which amounted up to Rp87 billion, the net income in 2015 still grew 10.92 % with net income margin grew from 8.01% to 9.94%.

ELNUSA balance sheet structure shown steady position of cash which reached up to Rp935 billion and cash from operation amounted to Rp424 billion. Bearing debt position of the end of 2015 stood at Rp740 billion, which meant that ELNUSA has still in net cash position that shown remarkable condition which was not owned by other oil and gas companies in the industry today.

Based on the achievement in 2015, showing that the fundamental of ELNUSA still relatively steady compared to other competitors in the national oil and gas industry. Year of 2016 would be more challenging for all oil & gas players domestically and globally. However, supported by good track records as well as the right strategic planning, ELNUSA may well face the challenging awaiting in the next year.

Replacement of Public Accountant for Fiscal Year 2015

In order to implement the regulation of Financial Services Authority (OJK) No: 31/POJK.04/2015 dated December 16, 2015 on Disclosure of information or material facts by the Emiten or Public Company, we hereby to inform replacement of Public Accountant.

In accordance with the decisions of the Annual General Meeting of Shareholders of the Company and Decree of the Board of Commissioners (BoC) regarding BoC Decree on appointment of Public Accountant (KAP) for audit financial statement of PT Elnusa Tbk for Fiscal Year 2015, the Company has appointed the Public Accounting Purwantono, Sungkoro and Surja – Ernst and Young as a public accounting to audit the financial statements of the Company and its subsidiaries for the fiscal year ended on December 31, 2015. For information that the Company had cooperation with the Public Accountant Tanudiredja, Wibisana & Partners – PricewaterhouseCoopers (“PwC”) for the fiscal year 2011-2014.

ELNUSA Received The Mahakam Award

Jakarta, February 17, 2016. PT Elnusa Tbk (ELNUSA), a leading energy services company in Indonesia for the third time received The Mahakam Award for category of Safety Performance of High Risk Contract > 400,000 Man-Hours in HSE Communication Forum 2016, held yesterday by Total E&P Indonesie (TEPI) at Novotel Hotel, Balikpapan, East Kalimantan. This was a prestigious event in oil and gas industry for all TEPI partners, working in the Mahakam block area. ELNUSA had previously achieved this award in 2013 and 2014.

ELNUSA’s Operation Director, Bambang H. Kardono, in his speech stated that “The Mahakam Award is an evidence of external recognition for safety performance of ELNUSA. For ELNUSA, safety is mandatoriy attached as corporate culture and part of operational excellence commitment in all projects executed by ELNUSA. We highly appreciate TEPI for its support and trust in ELNUSA to contribute our best services in Mahakam block areas for more than 25 years “. ***

Pefindo has Assigned “idA+” Ratings to ELNUSA

Jakarta,  12 Februari 2016 – Proudly we convey to all of shareholders that ELNUSA has been assigned “idA+” with “stable” company outlook by PEFINDO, a well reputable credit rating agency in Indonesia. This rating is valid from 28 January 2016 to 1 December 2016 and reflects ELNUSA’s strong presence in oil & gas service industry, wide diversified oil & gas support, and strong liquidity position. The rating may be raised along with ELNUSA’s future business development and financial performance growth.

This is to validate that ELNUSA is still considered as one of the strongest oil & gas service player in Indonesia. Through proven track record in deliverables and safety for over 45 years, ELNUSA has gained trust and credibility from major oil & gas partners and loyal customers to support ELNUSA’s business continuity in the future.

COMPANY ANNOUNCEMENT: Elnusa Revenue Estimation 2016

Dear Respected Shareholders,

The beginning of 2016 has been in the shade with industry’s sustainability turmoil. Nonetheless, we, as the management of Elnusa are still confident facing these challenges refer to our existing  on-hand contract amounted to Rp5,6 trillion which could be monetized approximately Rp3,0 trillion in 2016. We believe, with our balance sheet strength and our credibility on safety performance, project execution & productivity, we will be able to generate additional revenue and resulted to total projected revenue in 2016 not less than 2015 estimation, Rp3,7 trillion.

We highly value your trust to keep investing in our share, however  we also encourage you to make your own deep risk analysis before you take any decision whether to buy, sell or hold.

We as management, are taking all the necessary actions to deliver high value added to all shareholders.

Warm regards,

Management of Elnusa