JPFA – Increasing performance due to rising selling prices

JPFA – Increasing performance due to rising selling prices Japfa Comfeed Indonesia (JPFA) posted revenue of IDR27.6 tn (+14.5% yoy) and net profit of IDR1.47 tn in 1H24. This performance increased due to the increase in ASP. In addition, the operating profit margin of feed was above 7% for the last 7 quarters with a contribution of almost 50% of total revenue. DOC's ASP is also increasing by 29% yoy with a market share of 24% in Indonesia. JPFA also strengthened its mid-downstream facilities in Tangerang, Banten through technological upgrades at Commercial Farm and PT So Good Food by running a closed cage system that reduces the poultry mortality rate to below 1%. Moreover, JPFA strengthens its processed meat products business such as sausages, milk and nuggets. Until June 2024, PT So Good Food has operated a fifth nugget production line for the development of new products, such as Mac and Cheese Chicken Nuggets. The utilization rate of sausage and nugget production facilities is in the range of 60-70%. Over the past year, JPFA's total production capacity has increased with value added frozen meat by 55% yoy, frozen sausages by 125% yoy and dairy products by 28% yoy. (Source : Kontan)