COMPANY PROFILE
Type: Public IDX:PGAS
Founded: 1965
Headquarters:Jakarta, Indonesia
Key People:Hendi Prio Santoso, CEO
Website: www.pgn.co.id
Hystory:
1859: Private Dutch company, Firma L.I. Enthoven established.
1965: State company, Perusahaan Negara Gas (PN-Gas) established
1984: PN-GAS converted into public service enterprise, Perusahaan Umum Gas Negara.
1996: Becomes a limited liability company with exclusive license to develop and distribute gas in Indonesia.
1998: 536km Grissik - Duri transmission pipeline completed.
2003: Listed on Indonesia Stock Exchanges, trading as ‘PGAS'.
Grissik - Batam - Singapore pipeline completed.
2006: South Sumatera - West Java (SSWJ) pipeline inaugurated by President of Indonesia and Prime Minister of Singapore.
Strategy: the construction of LNG Receiving Terminal and looking for new gas supplies
Type of Product:
a. Liquefied Natural Gas (LNG)
b. Compressed Natural Gas (CNG)
c. CBM is Coal Bed Methane gas (also known as CSM - Coal Seam Methane, or CSG - Coal Seam Gas)
PGN are specialists in the transportation and distribution of natural gas, connecting Indonesia's natural gas supplies with customers across the country.
PGN is building on foundations firmly established over many decades and evolving from a gas transmission and distribution company into an integrated energy solution provider, maximizing the utilization of natural gas to meet the ever increasing and ever more challenging demands of modern industry and society.
As the demand for clean, affordable energy continues to grow, PGN will continue to use its expertise and experience to secure new sources of energy to meet customers' long-term needs.
The Company’s Head Office is located at Jln. K.H. Zainul Arifin No. 20, Jakarta. To achieve responsive
sales target, the Company has divided its business areas into four Strategic Business Units (SBU), as
follows:
1. SBU Distribution Area I, Western Java Region,
2. SBU Distribution Area II, Eastern Java Region,
3. SBU Distribution Area III, Northern Sumatera Region,
4. SBU Sumatera‐Java Transmission.
RELATION BETWEEN COMPANY FINANCIAL CONDITION AND STOCK PRICE:
First of all we need to know what is financial condition and the stock price is. Financial Condition is The status of a firm's assets, liabilities and equity positions at a specific point in time, often described in a financial statement. And Stock price is the price of a single share of a number of saleable stocks of a company. Once the stock is purchased, the owner becomes a shareholder of the company that issued the share. To know the Financial condition , we need a a formal record of the financial activities of a business, person, or other entity. And it is a Financial Statement.
Investors are attracted to stocks of companies they expect will earn substantial profits in the future; because many people wish to buy stocks of such companies, prices of these stocks tend to rise. On the other hand, investors are reluctant to purchase stocks of companies that face bleak earnings prospects; because fewer people wish to buy and more wish to sell these stocks, prices fall.
When deciding whether to purchase or sell stocks, investors consider the general business climate and outlook, the financial condition and prospects of the individual companies in which they are considering investing, and whether stock prices relative to earnings already are above or below traditional norms. Interest rate trends also influence stock prices significantly.If we connect the financial condition and stock price in PGAS. Can be concluded that the financial terms of PGAS has a favorable record. So it is impacting on the stock PGAS.With the PGAS dar financial statements that demonstrate a good record. This makesthe investors attracted to plant a stake in the PGAS
CONCLUSION:
PT Perusahaan Gas Negara Tbk is a state-owned gas and energy company in Indonesia. Its core business is divided into two: the distribution of natural gas to industrial, commercial and residential customers and the commercial transmission of natural gas. To achieve its targets from the management of gas, the Company has divided its business area into four strategic business units (SBUs) for distribution and transmission which are based on the geographical area. PGAS have three sectors , they are gas transmission, telecommunications and construction. Perusahaan Gas Negara is the largest natural gas transportation and distribution company in Indonesia. The total length of distribution pipelines of the company is 3,187 km that serve around 84 million customers.
PT Perusahaan Gas Negara Tbk have a good financial support from the government and the public, it makes the PGAS become a great company and able to dominate the market in the gas sector in Indonesia. Although PGAS is a company that has a high financial risk but PGAS can still survive because of PGAS have a good the liquidity, efficiency and profitability value. Liquidity value here is means that the good ability of company to meet all the short-term obligation. Then for the efficiency value, the companies have good skill to use the assets efficiently to produce more profit and for profitability is ability to earning profit.
