2020FY Sales Grew Above Target to IDR2.9tn (39% YoY)

Sidoarjo, March 12th, 2021

Largest vertically integrated wooden products manufacturer in Indonesia, PT Integra Indocabinet Tbk (WOOD IJ) booked 20202FY (unaudited) net sales of IDR2.9tn or grew by 39% YoY which is above target of IDR2.6tn.

In 4Q20 alone, WOOD booked net sales of IDR1.08tn or grew by 44.3% QoQ and 48.9% YoY, which is the highest quarterly net sales ever. The significant growth in sales was mainly supported by the growing US market demand for both furniture and building components. The growing demands were due to trade war tariffs, anti-dumping and anti-subsidy duty on China furniture and building component products, and increasing suburban area housing sales in US.

2020FY net sales contributed mostly by export market with contribution of 81.6% while the other 18.4% from domestic market. Export market sales growth reach 72% YoY which mainly supported by the strong growth of US market sales that grew significantly by 96% YoY.

As of 28 February 2021, WOOD have received sales order of IDR1.8tn. In the beginning of the year, the Company received huge sales order, hence we should see the trend to keep continue in the coming months. From the sales order that the Company received, approximately IDR929bn scheduled for delivery in 1Q21 with around IDR600bn has been delivered and booked as revenue in 2M21. Therefore, the 2M21 revenue alone has surpassed historical 1Q revenue (1Q20: IDR482bn). The Company expect to see a strong 1Q21 revenue growth than its last year period in 1Q20.

In 2021, the Company target net sales to grow at least by 20% YoY by utilizing its installed capacity on both furniture (47,775cbm/year) and building component (345,060cbm/year) and expand its market share particularly on US market, the largest importer for both furniture and building component products.

About PT Integra Indocabinet Tbk:

Founded in 1989 in Sidoarjo, East Java, PT Integra Indocabinet Tbk is the largest vertically integrated wooden products manufacturer in Indonesia. Integra has established itself as the fastest growing furniture manufacturer with international and domestic accreditation. Integra promotes the use of sustainable resources and supports the livelihoods of local communities. The group employs over 2,500 team members across Indonesia.

For further information, please contact:
E-mail : corsec.integra@iil.co.id
Tel : (62 31) 891 0434
Website : www.integragroup-indonesia.com

This press release has been prepared by PT Integra Indocabinet Tbk (WOOD) and is circulated for the purpose of general information only. It is not intended for any specific person or purpose and does not constitute a recommendation regarding the securities of WOOD. No warranty (expressed or implied) is made to the accuracy or completeness of the information. All opinions and estimations included in this release constitute our judgment as of this date and are subject to change without prior notice. Integra disclaims any responsibility or liability whatsoever arising which may be brought against or suffered by any person as a result of reliance upon the whole or any part of the contents of this press release and neither Integra nor any of its affiliated companies and their respective employees and agents accepts liability for any errors, omissions, negligent or otherwise, in this press release and any inaccuracy herein or omission here from which might otherwise arise.

Forward-Looking Statements
Certain statements in this release are or may be forward-looking statements. These statements typically contain words such as “will”, “expects” and “anticipates” and words of similar import. By their nature, forward looking statements involve a number of risks and uncertainties that could cause actual events or results to differ materially from those described in this release. Factors that could cause actual results to differ include, but are not limited to, economic, social and political conditions in Indonesia; the state of the property industry in Indonesia; prevailing market conditions; increases in regulatory burdens in Indonesia, including environmental regulations and compliance costs; fluctuations in foreign currency exchange rates; interest rate trends, cost of capital and capital availability; the anticipated demand and selling prices for our developments and related capital expenditures and investments; the cost of construction; availability of real estate property; competition from other companies and venues; shifts in customer demands; changes in operation expenses, including employee wages, benefits and training, governmental and public policy changes; our ability to be and remain competitive; our financial condition, business strategy as well as the plans and objectives of our management for future operations; generation of future receivables; and environmental compliance and remediation. Should one or more of these uncertainties or risks, among others, materialize; actual results may vary materially from those estimated, anticipated or projected. Specifically, but without limitation, capital costs could increase, projects could be delayed and anticipated improvements in production, capacity or performance might not be fully realized. Although we believe that the expectations of our management as reflected by such forward-looking statements are reasonable based on information currently available to us, no assurances can be given that such expectations will prove to have been correct. You should not unduly rely on such statements. In any event, these statements speak only as of the date hereof, and we undertake no obligation to update or revise any of them, whether as a result of new information, future events or otherwise.