PT United Tractors Tbk

Investor Bulletin, Fourth Quarter 2015

UT Recorded Consolidated Net Revenue of Rp 49.3 Trillion

Operational: The Company's consolidated net revenue during 2015 was decreased by 7% to Rp49.3
trillion, compared to Rp53.1 trillion in 2014. The continuance decrease of coal price has
Y.o.y Komatsu
led the Company to assess the carrying value of its coal mining properties and other non-
sales volume fell
current related assets, and recorded impairment loss in Q4 2015. The net impact of the
40%, coal
impairment loss charged to profit after tax attributable to owners of the parent was Rp2.6
production
trillion (2014: Rp1.5 trillion). These factors have led to a decrease in Company’s net
declined 4% and
profit, which was recorded at Rp3.9 trillion, down 28% from Rp5.4 trillion in 2014.
overburden Excluding the impact of non-cash impairment loss recorded in relation to coal mining
down 5%, while properties and other non-current related assets, the Company recorded net income of
coal sales Rp6.4 trillion (2014: Rp6.9 trillion) or 7% lower.
volume
decreased 18% Construction Machinery segment recorded Komatsu sales volume fell by 40% to 2,124
units from 3,513 units. On the other hand, after sales services revenue increased by 2% to
Financial: Rp6.1 trillion. Overall, revenues from Construction Machinery segment reached Rp13.6
Consolidated trillion or decreased by 9%. Mining Contracting business segment, through PT
revenue was Pamapersada Nusantara (PAMA) recorded a decrease in net revenue by 9% to Rp30.5
Rp 49.3 trillion, trillion, as well as a decrease in coal production by 4% to 109.0 million tons, with
with net income overburden removal down 5% to 766.6 million bcm. Mining business segment also
of Rp 3.9 trillion recorded a decrease by 18% to 4.6 million tons, with net revenue declined by 18% to
Rp3.8 trillion.

Overall, revenue contribution from Mining Contracting, Construction Machinery, Mining,

and Construction Industry was 62%, 27%, 8%, and 3% respectively.

In Rupiah billion 12M 2015 12M 2014 Y/Y%

Exchange rate (Rp/US$) 13,795 12,440 11%

Revenue Breakdown
Construction Machinery 13,629 14,983 -9%
Mining Contracting 30,545 33,493 -9%
Mining 3,817 4,666 -18%
Construction Industry 1,357
Total Revenue 49,347 53,142 -7%
Gross Profit 11,702 12,070 -3%
Gross Profit Margin 23.7% 22.7% 4%
Profit for the year 2,792 4,832 -42%

Net Income* 3,853 5,362 -28%

Earnings Per Share (Rp) 1,033 1,437 -28%

Note: Net Income is profit after tax attributable to owners of the parent

February 25, 2016

Page 1
 CONSTRUCTION MACHINERY
Performance Overview

As of December 2015, Komatsu sales volume fell by 40% to 2,124 units, lower
compared to the sales volume in 2014 of 3,513 units. However, Komatsu is still
ranked as market leader in heavy equipment with 36% domestic market share
Komatsu sales (according to internal market research). The decrease in sales of heavy
volume was 2,124 equipment was felt nation-wide and this condition was reflected in market
units, with 36% volume of heavy equipment in Indonesia which was down from 8,867 units in
market share 2014 to 5,912 units in 2015 (source: internal market research). In line with
decreasing demand in mining sectors, sales volume of other UT’s distributed
brands such as UD Trucks was declined from 171 units to 77 units, while
Scania products was decreased from 365 units to 246 units.

Revenue was On the other hand, the revenue of product support increased by 2% to Rp6.1
Rp 13.6 trillion, trillion, due to the need to maintain the life cycle of heavy equipment. Overall,
decreased 9% total revenue of Construction Machinery business segment in 2015 recorded a
decrease by 9% to Rp13.6 trillion, compared to Rp15.0 trillion in 2014.

Rp 14,983
Rp 13,629

3,513 Komatsu Sales Volume

By Sectors (in units)
Domestic Market Share FY 2015
2,124

Source: Internal Market Research

February 25, 2016

Page 2
 MINING CONTRACTING
Performance Overview

Pama coal The Company operates its Mining Contracting business through PT Pamapersada
production was Nusantara (PAMA). In 2015, PAMA was able to maintain 48% revenue market
109.0 mio tons, share (source: internal market research).
declined 4%,
with overburden As of December 2015, PAMA recorded a decrease in net revenue by 9% to
removal of 766.6 Rp30.5 trillion, compared to Rp33.5 trillion in 2014. This performance was the
mio bcm, or result of decreasing target of coal production, which was 109.0 million tons,
down 5% compared to 113.5 million tons in 2014, while overburden removal was down
from 806.4 million bcm to 766.6 million bcm.
Revenue was
Rp 30.5 trillion,
down 9% Coal and Overburden Removal

mio ton mio bcm

MC Revenue (Rupiah billion)

February 25, 2016

Page 3
 COAL MINING
Performance Overview
The Company’s Mining business segment was operated by PT Tuah Turangga
Agung (TTA).
Coal sales volume
reached 4.6
As of Desember 2015, total coal sales volume decreased by 18% to a total of 4.6
million tons, million tons, compared to 5.7 million tons in 2014. This has caused a decrease in
down 18% revenue of Mining business segment by 18%, from Rp4.7 trillion to Rp3.8 trillion.

Considering the continuance decrease of coal price, the Company has reviewed
the carrying value of coal mining properties and other non-current related assets.
Revenue was The Company recognized impairment loss amounted to Rp4.7 trillion (2014:
Rp 3.8 trillion, Rp2.7 trillion) included non-controlling interest and deferred tax. The net cost of
decreased 18% mining properties and other non-current related assets impairment was imposed
to the Company’s profit after tax attributable to the parent entity, which
amounted to Rp2.6 trillion.

February 25, 2016

Page 4
 CONSTRUCTION INDUSTRY
Performance Overview

The Construction Industry business unit was represented by PT Acset Indonusa

Revenue was
Tbk ("ACST"), which was acquired in 2015 with 50.1% share ownership. ACST
Rp1.4 trillion.
is a public company and listed in the IDX since 2013.

Until December 2015, ACST booked net revenue of Rp1.4 trillion and net profit
of Rp42 billion. This year performance was mainly driven by lower new contract
obtained in 2014 which was only Rp616 billion. However, during 2015, ACST
New contract has been awarded new contracts as much as Rp3.1 trillion, an increase of 400%
was Rp3.1 compared to full year 2014. Among others, at the moment ACST holds contracts
trillion. for Thamrin Nine project, West Vista apartment, Indonesia 1 project, Astra Biz
Centre at Bumi Serpong Damai, toll gate Mojokerto – Kertosono and renovation
of toll gate Cilegon Barat.

For further information:

Investor Relations
Attn. : Ari Setiyawan
Ph. : 62 21 2457 9999 Ext.18048
Fax : 62 21 460-0655
E-Mail : [email protected]
http://www.unitedtractors.com

February 25, 2016

Page 5
 PT UNITED TRACTORS Tbk and SUBSIDIARIES
Jl. Raya Bekasi Km. 22 - JAKARTA 13910
Phone (021) 24579999
Rate Rp/US$: 31/12/2015 = 13,795 and 31/12/2014 = 12,440

CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2015 AND 31 DECEMBER 2014 CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(expressed in million of Rupiah, unless otherwise stated) FOR THE PERIODS ENDED 31 DECEMBER 2015 AND 2014
ASSETS LIABILITIES AND STOCKHOLDERS' EQUITY (in million Rupiah, except earning per share)
31/12/2015 31/12/2014 31/12/2015 31/12/2014 2015 2014

CURRENT ASSETS CURRENT LIABILITIES NET REVENUE 49.347.479 53.141.768

Cash and cash equivalents 15.413.210 10.059.803 Trade payables:
Trade receivables: - Third parties 13.234.357 11.822.385 COST OF REVENUE (37.645.186) (41.071.359)
- Third parties 11.391.542 13.032.934 - Related parties 172.735 143.020
- Related parties 88.169 79.655 Non-trade payables: GROSS PROFIT 11.702.293 12.070.409
Non-trade receivables: - Third parties 393.767 560.529
- Third parties 462.558 404.785 - Related parties 86.111 98.503 Selling expenses (557.949) (649.200)
- Related parties 227.355 69.301 Taxes payables: General and administrative expenses (2.558.012) (2.565.903)
Inventories 8.328.331 7.770.086 - Corporate income taxes 529.568 471.884 Impairment loss (5.255.287) (2.743.575)
Project under construction - Other taxes 367.164 285.620 Other expenses (313.553) (148.494)
- Third parties 300.720 - Accruals 1.368.316 1.008.030 Other income 1.015.431 334.156
- Related parties 11.581 - Customer deposits Finance income 396.017 432.086
Prepaid taxes: - Third parties 508.273 125.498 Finance costs (323.654) (277.755)
- Corporate income taxes 668.286 509.860 - Related parties 31.870 - Share of net profit of associates and jointly controlled entities 87.460 55.016
- Other taxes 1.198.036 851.089 Deferred revenue 245.455 278.611
Advances and prepayments 469.920 252.286 Employee benefit obligations 173.675 180.549
Other investments 700.000 550.000 Short-term bank loans 23.750 23.209 PROFIT BEFORE INCOME TAX 4.192.746 6.506.740
Current portion of long-term debt: Income tax expense (1.400.307) (1.674.691)
Total Current Assets 39.259.708 33.579.799 - Bank loans 586.288 744.729
- Finance leases 401.903 430.523
- Other borrowings 123.954 80.232 PROFIT FOR THE YEAR 2.792.439 4.832.049
NON-CURRENT ASSETS Current portion of other long-term financial liabilities 33.099 41.433
Non-trade receivables - related parties 89.250 101.533 Derivative financial instruments - 3.061 OTHER COMPREHENSIVE INCOME/(EXPENSE)
Restricted cash and time deposits 262.501 233.072 Items that will not be reclassified to profit or loss
Advances 184.353 17.546 Total Current Liabilities 18.280.285 16.297.816 Remeasurement of employee benefit obligations (11.115) (25.740)
Investments in associates and Related income tax 2.285 8.795
jointly controlled entities 498.712 447.289 NON-CURRENT LIABILITIES
Other investments 1.438.217 1.107.650 Deferred tax liabilities 1.028.533 1.945.110 (8.830) (16.945)
Fixed assets 12.659.736 13.625.012 Provision 88.993 73.565
Mining properties 4.858.944 9.148.551 Employee benefit obligations 1.560.322 1.351.819 Items that will be reclassified to profit or loss
Investment properties 52.746 50.899 Long-term debt, net of current portion: Exchange difference on financial statements translation 740.109 102.601
Deferred exploration and - Bank loans 228.480 734.738 Hedging reserves 2.434 5.740
development expenditures 376.843 364.229 - Finance leases 862.836 583.874 Change in fair value of available for sale financial asset (71.775) 20.700
Production mining assets 297.931 392.630 - Other borrowings 56.147 - Share of other comprehensive income of associates
Deferred charges 146.063 208.750 Deferred Revenue 53.782 - and joint ventures, net of tax 1.442 597
Goodwill 439.767 - Other long-term financial liabilities 305.696 790.210 Related income tax (144.005) (29.205)
Deferred tax assets 1.150.628 1.029.817
Total Non-current Liabilities 4.184.789 5.479.316
Total Non-current Assets 22.455.691 26.726.978 528.205 100.433
TOTAL LIABILITIES 22.465.074 21.777.132
Other comprehensive income for the year, net of tax 519.375 83.488
EQUITY
Equity attributable to owners of the parent TOTAL COMPREHENSIVE INCOME FOR THE YEAR 3.311.814 4.915.537
Share capital:
Authorized capital 6,000,000,000 ordinary shares, issued PROFIT AFTER TAX ATTRIBUTABLE TO:
and fully paid capital 3,730,135,136 ordinary shares, with - Owners of the parent 3.853.491 5.361.695
par value of Rp 250 per share 932.534 932.534 - Non-controlling interest (1.061.052) (529.646)
Additional paid-in capital 9.703.937 9.703.937 2.792.439 4.832.049
Retained earnings :
- Appropriated 186.507 186.507 TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO:
- Unappropriated 25.061.126 24.186.741 - Owners of the parent 4.275.920 5.427.954
Hedging reserve 163 (1.662) - Non-controlling interest (964.106) (512.417)
Investment fair value revaluation reserve 101.241 173.016 3.311.814 4.915.537
Exchange difference on translating financial statements
in foreign currencies 2.282.537 1.780.239 EARNINGS PER SHARE (expressed in full Rupiah) 1.033 1.437
Difference due to acquisition of non-controlling interest
in subsidiaries (348.323) (348.123)

37.919.722 36.613.189 Jakarta, Februari 26, 2016

PT UNITED TRACTORS Tbk
Non-controlling interest 1.330.603 1.916.456 S.E. & O