Jasa Marga sees 4.8 trln rph 2011 revenues

Indonesia's biggest toll road operator, PT Jasa Marga, said on Thursday it expects 2011 revenues will grow 11 percent to 4.8 trillion rupiah ($533.24 million). 

The firm said its 2010 net profit was more than 1 trillion rupiah and revenues grew 17 percent to 4.3 trillion rupiah, as forecast in a Reuters report in October. The state-owned firm has allocated 6.2 trillion rupiah for capital expenditure in 2011, of which half is expected to be raised from bank loans or bonds, CEO Frans Sunito said. 

Jasa Marga, which has market capitalisation of about $2.58 billion and has seen its share price more than double in 2010, will start construction of at least three new toll roads on Java island next year, Sunito said. 

Indonesian government wants to build 800 kms (500 miles) of new toll roads by 2014, with a focus on the Trans-Java toll road. 

Indonesia's poor infrastructure is seen as both a deterrent to growth and an investment opportunity, but improvements have been held up by rows over compulsory land acquisition, an issue that is expected to ease with the passing of a new law next year.

The Indonesian Automotive Association (Gaikindo) sees domestic car sales rising 4 percent next year after sales of 720,000 units this year. Source: Reuters