BMTR : Global Mediacom

The company was founded in 1981 as conglomerate in several sectors include general trading, investment in broadcasting and media and etc. then the company established RCTI as the first private TV station in Indonesia. At recent the company seemed concern in media industry. It focused in three core of business that consists of content and advertising media, subscription based media and online media. The company almost succeeded in each segment and it has been as market leader in segments.

The three of free TV stations are mastering 31 % of total audience share in Indonesia. In 2014, the average audience share of RCTI, MNCTV and Global TV are 15.1 %, 9.6% and 6.3 % respectively. MCSKY has 74 % of total market share. Meanwhile, for segment of online media, We chat and Okezone are the market leader in each sector.

The key success person of the company is Mr. Hary Tanoesudibjo who was able to expand its business after monetary crisis of 1998. HT could capture the opportunity in the crisis and he could improve the company’s performance. HT had been appointed as the president of director of Global Mediacom. Furthermore, the president of commissioner had been filled by Mr. Rosano Barrack.

The company is owned by MNC Investama as it biggest shareholder with more than 55% share. MNC investama is an investment company that is owned by HT investment and development that is located in London, UK.

In 2014 the sales increased 6.4 % compared to sales in 2013. The biggest portion of revenue was contributed by advertising based media which were achieved its three free TV service include RCTI, MNCTV and  Global TV. In addition, the net profit of 2014 increased 25 % up compared to net profit of 2013. The increase of net profit was occurred due to the decrease of expense such as foreign exchange loss and finance charges and also the increase of revenue.

The company may focus to add its program from local content than advances the import program. The local program rose from IDR 2.102 billion in to IDR 2.981 billion. 

 

MNC INVESTAMA (BHIT)

Based on annual report, the company was established in 2^nd November 1989. Then 6 years after that, the company had done initial public offering on 1995. Later, in 1997, one year before the monetary crisis of 1998, the company conducted initial public offering with ticker code BHIT. During period of 1998-2012 the company did many corporate actions to expand its business.

In 2013, the company entered new business segment, property. It acquired 26.23 % share of MNC Land in that year to add its business portfolio. Other subsidiaries are global Mediacom (media), MNC Capital (securities and financial service) and etc.

Afterwards, in 2014, the company acquired ICB Bumiputera’s 39.88 % of total share. The acquisition added the business portfolio of the company. It consist of Bank financial institution, advertising media, online based media, subscribers based media, media shopping and content and channel.

Based on its financial statement the biggest contribution in 2014 was given by segment of advertising based media. It was more than 50 % of total revenue. Furthermore, subscriber based media which was more than 26 % of total revenue. Meanwhile, the highest growth segment in 2014 was online based media that was advanced more than 115 %. The revenue of bank financial institution was only less than 1 % of total revenue.

The net profit of 2014 increased sharply more than 194 % compared to net profit in 2013. The net profit hike was occurred by the decrease in foreign exchange loss. In 2013 the loss of foreign exchange loss was 1,549,475 million rupiah and it was much higher compared to foreign exchange loss in 2014 that was only 340,567 million rupiah.

The key success factors of advertising based media segment are its TV stations and its shows in premium time. Global Mediacom supervised several FTA TV stations include Global TV, RCTI, MNCTV. The three of TV stations have 31 % of total audience share in Indonesia. Another FTA TV is iNews TV that was launched in 2015. The Global Mediacom as its subsidiary is also leading in pay-TV segment. It has oke-vision and TOP-TV.

Social media as trend setter

The feature content of RCTI were 7 manusia harimau, Tukang Bubur naik haji “the series”, jilbab in love,kita nikah yuk and catatan harian seorang istri. Furthermore, the future content of MNC and Global TV were Boboi boy, adit & Sopo Jarwo and talent search program. The story in its content is influenced by the trending topic in social media. That step is expected able to increase the audience share. Few of the artists had been recruited based on the social media. The people who is appeared or discussed in such forum at social media in many times or people who has a resemblance with those people usually were interesting to be taken.

Famous in social media may possibly be as an advantage in entertainment industry.

Case no.434/PDT.G/2011/PN.JKT/SEL

HS sued BCA (Karawang branch), BCA headquarters, president director of BCA, Citibank NA Indonesia, MNCSV and president director of MNCSV. HS filed a lawsuit against defendants because of his personal information had been illegally given, used and disseminated. 

Board of commissioners and Board of directors

SCBD

The company was founded in 1987 at Jakarta, it is operating in various businesses which consist of real estate, hotel, construction and etc. the company is owned by Jakarta international hotels and property as its highest share holder. It develops 45 ha of land on sudirman central business district. The key person who leads the company is Mr. Santoso Gunara who has been appointed as president director. Meanwhile the president of commissioner is Mr. Tommy Winata who is one of the tycoons in business of property at Indonesia.

The property investments of the company in SCBD are pacific place mall, one pacific place and graha sampoerna. In the future the company plan to build new five start hotel in SCBD, it is called as Alila suites. The company has a BOT agreement with Bukit Lentera Sejahtera. The hotel will be given to the company 25 years after the issuance date of construction building permit. BOT means build, operate and transfer, BLS will build, operate and after that transfer to the company. 

The strategic location of its property is one of its key success factors. It is located in the center of business of Jakarta, the capital city of Indonesia. The price of real estate, rental and office management and hotel rate are commonly high compared to other location.

The biggest contribution of revenue in 2014 was from real estate segment, it was more than 50 % of total revenue. In 2014 the sales decreased more than 65 % due to decline of real estate income.  Higher revenue in 2013 was derived because of the sale of land in SCBD to prima bangun investama amounted to 1,888,392,000 thousand rupiah. Other its business segments consist of telecommunication service and hotel were decreased 10 % and increased 12 % respectively. In 2014 there was new income segment, construction; its contribution to revenue was 0.04 % of total.

In 2014 the gross profit margin declined compared to gross profit margin in 2013. The decline may be occurred as the government had deregulated its regulation especially in LTV and tax. At recent, government plans to do several relaxations of regulations in property segment. Deregulation is made for advancing the growth of property segment. 

ABM INVESTAMA: ABMM

The company was founded in 1970 by the hamami’s family. In that year they established Trakindo Utama, sole authorized dealer of Caterpillar in Indonesia. Then in 2011 the holding company of the group, ABM investama was acquired by the Velle Verde pte Ltd, a company located Singapore that is owned by the Hamami’s Family. Through that acquisition, Velle Verde pte ltd acts as the biggest shareholder. In the same year, ABM investama did initial public offering in Indonesia Stock Exchange.

According to annual report the company and its subsidiaries operate in contractor and mining service, power engine rental, logistic and vessel rental, side service division and remanufacturing and manufacturing.

In 2014 the sales declined 6.9 % compared to sales in 2013, the downturn was occurred as the global coal price in 2014 fell compared to its price in 2013. On other hand import of coal in china has also decreased. In 2014, the net profit was negative due to impairment loss of mining property that was amounting to more than USD 67 million. The net profit margin in 2013 was 0.27 %.

Meanwhile the cash cycle in 2014 seemed better than 2013, the gross profit margin was also slightly improved from 31 % in 2013 to 34 % in 2014. In 2015 the company may experience better profit margin if there will be no a big impairment loss on mining property.

The biggest contribution of revenue in 2014 was from mining contractors and coal mining segment that was contributing more than 58 % of total sales. The second biggest segment was resulted from power engine rental.       

The key person of the company, Achmad Ananda Djajanegara, seemed concern to government priority in building 35,000 power plants. Through its subsidiary in power plant segment the company plan to participate in building new power plant to increase energy supply. Sewatama was able to increase its market share in Independent Power Plant as government support the private sector to invest in IPP sector to provide people with electricity. In 2014 the company succeeded in completion of diesel power plant project in Bali Island and Medan city.

Law that regulates mineral and coal mining activities is UU minerba, this law imposes the mining company a duty to supply the domestic markets. This regulation also imposes the company that owns mineral concession to build processing and refinery facilities. This law is also implementing such limitation of exploration area and production activities. As a result of this, there are particular risks in doing business in mineral and coal mining such as no available buyer at domestic, capability to build refinery or smelter and decrease of reserves.

The company seemed capable to face challenge in this business includes UU minerba.