For the first time the domestic defence industry successfully carried out submarine trials

PT PAL Indonesia (Persero) succeeded in implementing the First Trimming Test submarine Alugoro on 24 October 2019 at the submarine jetty of PT PAL Indonesia (Persero). This stage is crucial for testing the balance of submarines both on the surface and under the surface. The Alugoro submarine successfully qualified stability on the surface and during the dive. This test requires quiet water conditions and has a depth of between 15 and 18 meters.

The success of first Trimming Test submarine Alugoro is the first experience in Indonesia, considering that Alugoro submarine is the first submarine work by the nation that was built in PT PAL Indonesia (Persero), this activity is conducted by one During submarine life cycle which is the first test for diving before the test is conducted in the offshore sea. Alugoro submarines still have to undergo several other test stages such as Sea Acceptance Test (SAT) or test sailing in open water until Final Completion stage, before finally being able to fully operate (Comissioning).

Alugoro submarine development is a long-term investment of the country to have the highest technological mastery of marine equipment i.e. submarine, an investment that will be the legacy to the next generation of the nation. Not only the mastery of technology, PT PAL Indonesia (Persero) is also required to have the ability to build submarine works of the nation's children. At this stage, PT PAL Indonesia (Persero) proved to be able to answer the challenge with the production of Alugoro submarine and the next submarine-submarine.

BUMN has a duty as agent of change country namely Not solely conducting business processes, but also as a driving actor Change and development for the nation. The performance of BUMN especially industry Strategic, gaining attention because the presidential instruction Through the defence industry independence Must immediately be realized in line with the Minimum fulfillment of Essential Forces (MEF) Tni. PT PAL Indonesia (Persero) as one of the industrial ENTERPRISES Defense and as well as lead integrators With the mandate of UU No. 16 Year 2012 (article 11) and Policy Committee decision INDUSTR Idefence (KKIP) No. 13/2013 was appointed as the Lead Integrator of Alutsista Matra Sea (Kombatan ship).

The performance of PT PAL Indonesia (Persero) has significantly increased over the last three years.  This is demonstrated by the increase in the acquisition of orders or contracts recorded in the year 2016 of RP1, 1 trillion, increased to rp2, 2 trillion in the year 2017 and RP4, 1 trillion in the year 2018, and to date (November 2019) successfully Booked Contracts at RP8, 7 trillion. It shows the seriousness and commitment of management in the fulfillment of on quality, on time, and right price to the company's products and services. This success is supported by superior product development strategies and customer-oriented markets, and support restructuring in financial and information technology. In addition, management also actively revitalizes facilities and infrastructure, as well as transformation in the field of human capital.

Successful contract bookkeeping is on the rise of corporate sales. The end of the year 2016 recorded sales of Rp683 billion, doubled to Rp 1,250 billion in 2017, and rose to Rp 1.582 billion at the end of the year 2018. The increase in the above contracts also positively impacted the company's cash flow conditions projected to be Rp906,5 billion by the end of the year 2019.  The future cash flow projection shows excellent liquidity, this is evident from the cash flow received by the current company and the next 5 year projection displays positive numbers. It shows that the company is able to finance the company's operational needs, short-term loan payments, and long-term loans.

As a company whose shares are 100% owned by the state, PT PAL Indonesia (Persero) must record profits in addition to the role of agent of development. The performance of PT PAL Indonesia (Persero) was observed to have posted losses due to past expenses, in the year 2017 amounting to Rp45, 3 billion and increased to Rp304,1 billion in the year 2018. This happens at all not due to the company's operations, but the losses are affected by the interest expense of a restructuring loan caused by loans in the years 2005 to 2010, where the financing becomes problematic Due to the project termination on the contract of ships acquired between the year. The termination occurred due to external problems outside the control of PT PAL Indonesia (Persero) such as rising prices of world steel raw materials in 2008, as well as losses caused by deferred tax burden. The interest expense of loans to be borne averages reaches Rp82 billion per year, whereas deferred tax due to fiscal loss should be in the average book around RP58 billion per year over the last three years as a tax suspension in the 5 year period Past that is due today. Especially for the year 2018, the biggest contribution is net rate loss worth Rp136 billion due to weakening Rupiah exchange rate.

For the performance of PT PAL Indonesia (Persero) at the end of 2019 (Prognosa), the losses of the running year are projected to be suppressed to rp26 3 billion from Rp304,1 billion. Even outside of the non operating expenses above, the profit of business since 2017 showed positive results, and projected to reach Rp26,0 billion by the end of the year 2019.

The achievement of PT PAL Indonesia (Persero) as a construction company in the field of maritime industry and energy world class showed a positive trend by obtaining several new contracts. PT PAL Indonesia (Persero) has the capability to build various types of combatant warships such as speed boat missiles, offshore patrol vessel, light frigate, submarine, landing Platform Dock, hospital auxiliary vessel, and the generation of floating kettle/BMPP and offshore building/offshore platform.

Based on the explanation and description above, it can be concluded that the company has a good business continuity (going concern) including the movement of increased business profits, thus providing assurance that the company is able to finance Project execution well and complete timely and precise quality.