Jardine Matheson : PT Astra International Tbk 2016 First Quarter Financial Statements

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To: Business Editor 26th April 2016

For immediate release

PT Astra International Tbk 2016 First Quarter Financial Statements

The following announcement was issued today by the Company's 75%-owned subsidiary, Jardine Cycle & Carriage Limited, which holds 50.1% of PT Astra International Tbk.

For further information, please contact: Jardine Matheson Limited
Neil M McNamara	(852) 2843 8227
Brunswick Group Limited Karin Wong	(852) 3512 5077

26th April 2016 PT ASTRA INTERNATIONAL TBK 2016 FIRST QUARTER FINANCIAL STATEMENTS Highlights

• Net earnings per share down 22% to Rp 77

• Automotive markets moderately weaker

• Higher loan loss provisions at Permata Bank

• Komatsu heavy equipment sales fell 35%

P a g e 1

PRESS RELEASE

"The Group continued to experience soft automotive demand and weak commodity prices, with a further deterioration in corporate credit quality at Permata Bank. Trading conditions are expected to remain challenging."

Prijono Sugiarto President Director

Group Results

Period ended 31st March
2016 Rp bn	2015 Rp bn	Change %
Net revenue	41,887	45,187	(7)
Net income*	3,112	3,992	(22)
Net earnings per share	77	99	(22)
As at 31st March 2016 Rp bn	As at 31st December 2015 Rp bn	Change %
Shareholders' funds**	104,775	102,043	3
Rp	Rp
Net asset value per share**	2,588	2,521	3

* Net income is profit attributable to owners of the parent i.e. Astra International shareholders.

** Shareholders' funds and Net asset value per share are based on equity attributable to owners of the parent.

The financial results for the three months ended 31st March 2016 and 2015 as well as the financial position as at 31st March 2016 have been prepared in accordance with Indonesian Financial Accounting Standards and are unaudited. The financial position as at 31st December 2015 has been prepared in accordance with Indonesian Financial Accounting Standards and audited in accordance with the auditing standards established by the Indonesian Institute of Certified Public Accountants.

PRESIDENT DIRECTOR'S STATEMENT Overview

The Group experienced lower revenue within heavy equipment and mining, and agribusiness, together with a reduced net revenue contribution from Astra's Toyota sales operations following the implementation of the restructuring to a two-tiered distribution model. Profitability declined primarily due to a reduced contribution from heavy equipment and mining, financial services, information technology, and automotive.

Performance

The Group's consolidated net revenue was down 7% at Rp 41.9 trillion, while net income was 22% lower at Rp 3.1 trillion.

The Group's net asset value per share of Rp 2,588 at 31st March 2016 was 3% higher than at the end of 2015.

Net cash, excluding the Group's financial services subsidiaries, was Rp 3.1 trillion, compared to net cash of Rp 1.0 trillion at the end of 2015. The Group's financial services subsidiaries had net debt of Rp 42.0 trillion, compared to Rp 44.6 trillion at the end of 2015.

Business Activities

Net income attributable to Astra International's shareholders by business segment for the period is as follows:

Net Income Attributable to Astra International
Period ended 31st March
2016 Rp bn	2015 Rp bn	Change %
Automotive	1,580	1,621	(3)
Financial Services	641	1,191	(46)
Heavy Equipment and Mining	442	983	(55)
Agribusiness	333	124	168
Infrastructure, Logistics and Others	82	36	128
Information Technology	34	37	(8)
Attributable Net Income	3,112	3,992	(22)

Automotive

Net income from the Group's automotive businesses decreased by 3% to Rp 1.6 trillion.

Overall automotive demand softened slightly during the period, although a general reduction in discounts has seen some margin improvement.

The wholesale market for cars fell by 5% to 267,000 units. Astra's car sales were 7% lower at 127,000 units, with its market share decreasing from 49% to 48%. The Group launched two new models and five revamped models during the period.

The wholesale market for motorcycles decreased by 6% to 1.5 million units. Astra Honda Motor's domestic sales were slightly reduced to 1.1 million units, resulting in its market share increasing from 68% to 72%. Astra Honda Motor launched two new models and seven revamped models during the period.

Astra Otoparts, the Group's component business, saw net income fall by 8% to Rp 81 billion, due to a lower contribution from its OEM manufacturing business on higher operating costs.

Financial Services

Net income from the Group's financial services businesses decreased 46% to Rp 641 billion. Increased earnings at Federal International Finance and Toyota Astra Financial Services were more than offset by a decline in the contributions from its other financial services interests, in particular Permata Bank.

The consumer finance businesses saw an increase in the aggregate amount financed by 4% to Rp 16 trillion, including balances financed through joint bank financing without recourse. The car- focused Astra Sedaya Finance reported net income 27% lower at Rp 213 billion, whereas Toyota Astra Financial Services recorded net income 10% higher at Rp 80 billion. Motorcycle-focused Federal International Finance's net income was up 23% at Rp 393 billion, benefiting from improved market share and product diversification.

The aggregate amount financed through the Group's heavy equipment-focused finance operations increased by 16% to Rp 1 trillion. Surya Artha Nusantara Finance, a company focused on small-medium heavy equipment financing, reported net income 47% lower at Rp 20 billion.