Triputra Group wants growth triple in 5 years

JAKARTA. Dubbed as one of the fastest-growing companies in the country, PT Triputra Investindo Arya, the holding company of an emerging diversified conglomerate, has set itself sky-high targets for years to come.

Founder Theodore “Teddy” Permadi Rachmat said he expected the Triputra Group — which has a number of subsidiaries — to see total sales of up to Rp 40 trillion (US$4 billion) by the year’s end, with profits before tax at around Rp 2.5 trillion.

“We want it to be double or triple,” Teddy said, in response to The Jakarta Post’s question about the group’s growth target in the next five to 10 years.

Operating in diversified sectors, agribusiness companies have contributed the most to Triputra. Crumb rubber processor Kirana Megatara and palm oil producer Triputra Agro Persada contributed to a combined 50 percent of the company’s total earnings.

Meanwhile, trading and services businesses — which are run through transportation company PT Adi Sarana Armada, Honda motorcycle dealer Daya Adicipta Mustika, motorcycle retailer Daya Motor and logistics sub-holding Puninar Logistics — contributed around 35 percent. Manufacturing contributed around 14 percent and coal mining around 6 percent.

Kirana Megatara is a promising business, with a sales value touching $1.2 billion in 2010 and increasing to around $2 billion a year earlier, according to Teddy in his book titled Pembelajaran T.P. Rachmat (T.P. Rachmat’s learning).

Kirana Megatara holds majority shares in five business units, including PT Putra Katingan Pratama,
PT Anugerah Alam Persada, PT Tisma Perdana Mandiri, PT Kilau Getah Kemuning and PT Panen Subur Abadi.

“In developing Kirana Megatara, we are also improving its smallholders,” Teddy said, adding that the company was working on facilities to supply seeds to smallholders.

As part of its oil palm expansion, Triputra Agro is expecting to plant around 40,000 hectares per year. Operating in West, East and Central Kalimantan as well as in Jambi, Sumatra, Triputra will likely have a 250,000 hectare area planted for oil palm by the year’s end, Teddy told the Post.

Currently, the company, which was established in 2005, has a 175,000 hectare area dedicated to cultivating valuable palm plants, according to its website.

As his business grows, Teddy said it was unlikely the group would expand outside its current operations.

“I don’t think we will evolve [into different areas]. We have chosen the business. We will focus on making what we have now bigger,” said the father of three.

Of all the units under the Triputra Group, only Adi Sarana Armada has been listed on the Indonesia Stock Exchange (IDX). Teddy said Triputra Agro Persada may follow floating on the bourse.

“All will go public one day. There is no disadvantage in going public. The company will get money, practice good governance and give flexibility for minority shareholders,” Teddy said. (Raras Cahyafitri/The Jakarta Post)