Buyback or buyback of Trisula International's shares is up to 10% of the paid-up capital. The directors of clothing manufacturer JOBB and Jack Nicklaus are optimistic that this year it will get better.
Considering the impact of the Covid-19 pandemic, PT Trisula International Tbk (TRIS) plans to carry out a share buyback or buy back its shares in the capital market. This step was taken because the share price was deemed not to reflect the company's current performance.
The plan is for a share buyback of up to Rp 40 billion, including brokerage fees and other fees. The number of shares to be purchased is a maximum of 10% of the paid-up capital or a maximum of 314,144,380 shares. The proposal will be submitted at the Extraordinary General Meeting of Shareholders (EGMS), Thursday 27 May 2021.
The plan for an integrated apparel provider company is believed to have no impact on lowering income. In addition, management claims that there is no material negative impact on business performance, so that there is no change in the profit performance of the JOBB, Jack Nicklaus, UniAsia, Man Club and G2000 apparel manufacturers.
President Director of TRIS Santoso Widjojo said that the current condition was still filled with challenges. Even so, the subsidiary of PT Trisula Textile Industries Tbk (BELL) sees an opportunity to grow in the next year in line with economic improvements.
"We are optimistic that the economic condition will recover and provide better performance in the future," said Santoso.
As an illustration, TRIS's performance this year is still in transition to recover from the impact of Covid-19. Management said that the sales figure in the first quarter of 2021 increased 2.7% from the achievement at the end of 2020 to Rp 256.5 billion. Launching financial reports on the Indonesia Stock Exchange (IDX), on an annual basis or year on year (yoy), TRIS sales decreased 25% from IDR 344.4 billion in April 2020.
Meanwhile, the sales contribution from January to March 2021 tends to be balanced. As much as 50.8% of sales came from domestic, while exports amounted to 49.2%. To that end, TRIS continues to expand its domestic and global market share.
On the other hand, the issuer claims that the company's financial burden is showing better condition, with a decrease of 28.2% yoy. Thus, net profit for the current year for the first quarter of this year was recorded to slow 62 percent to Rp 2.9 billion compared to the same period last year, which was Rp 7.72 billion, quoted from the financial report.
Trisula International has a strategy to increase the flexibility of manufactured and marketed production. Including, making it based on market needs through innovation and product development.
In addition, the textile issuer will continue to evaluate and improve employee competencies. The hope is that these efforts will make a positive contribution to TRIS 'performance. Digital marketing platforms and active marketing strategies are also being enhanced to encourage brand awareness or public awareness of products and values to drive online sales.
"We will continue to innovate to make quality products to see long-term opportunities," said Santoso.
Launching RTI, TRIS shares closed with a 2.94% correction to the level of Rp 132 per share on Wednesday's trading (19/5).
