Tire producer PT Gajah Tunggal Tbk (GJTL) managed to record net profit growth over the past year.

Based on the company's financial statements, GJTL's net profit rose 19.05% to Rp320.37 billion. In the previous year, the company recorded a net profit of Rp269.11 billion.

Despite its increasing net profit, it turned out that the company's revenue last year was not good enough. Gajah Tunggal pocketed an income of Rp13.43 trillion or a decrease of 18.61% from the previous year.

Export-related party sales contributed Rp2.89 trillion, and local related parties contributed Rp28.90 billion, then local third parties contributed Rp8.27 billion, and third-party export sales amounted to Rp2.37 trillion.

The decline in revenue caused GJTL's cost of goods sold to drop 22.11% to Rp10.76 trillion from the previous year, which reached Rp13.14 trillion. The company recorded a gross profit of Rp2.67 trillion or a slight decrease of 4.30% from 2019, amounting to Rp2.79 trillion.

Also, GJTL succeeded in reducing sales expenses from the original Rp1.03 trillion to only Rp725.34 billion. The company also managed to cut its financial burden from Rp872.87 billion in 2019 to Rp745.95 billion last year.

Gajah Tunggal received Rp102.74 billion in the other profit post, from the previous year only Rp15.40 billion. When examined, the gain on derivative financial instruments contributed Rp37.12 billion, followed by a net income on financial assets classified as FVTPL of Rp17.66 billion and others Rp28.84 billion.

Until the close of 2020, Gajah Tunggal had total assets of Rp17.78 trillion or shrunk from 2019 of Rp18.85 trillion.