Dear Our Most Valued Shareholders and Stakeholders,
As a business entity that supports the development of the national logistics industry, PT Humpuss Intermoda Transportasi Tbk. is committed to take part in the economic recovery process following the Corona Virus Diseases 2019 (COVID-19) pandemic that affects every aspect of the economy greatly. Allow me to speak on behalf of all members of the Board of Commissioners to present to you the Corporate Annual Report for the Fiscal Year of 2022, especially from the point of view of the Board of Commissioners in carrying out its supervisory duty.
Specifically, the Board of Commissioners gives the highest appreciation to the Board of Directors ability in managing the Company according to its vision and missions, and also according to the strategy ang working program previously stipulated. The Board of Directors has responded to every challenge properly, especially when taking the opportunity in the developing maritime industry in order to make the Company keep on growing and developing. This is evident by the increase in the total number of ships, the expansion of market base from the government customer and state-owned enterprises to private customers, the establishment of strategic alliance with other companies in similar industry, and the continuation of business intensification and extensification program.
Internally, the Board of Directors keep improving its management process in many ways, such as: developing its human resources, developing its management information system and technology, improving the financial condition of the Company, expanding its investment financing or capital expenditure (capex) sources from banks, non-bank financing institution, bareboat charter contract with purchase option and planning fundraising through the capital market by conducting an Initial Public Offering (IPO) of its subsidiaries.
The Board of Commissioners commends the business prospect prepared by the Board of Directors as specified in the Annual Company Working Plan and Budget and the Five Years Business Plan document. During one of the joint meetings, the Board of Directors conveyed the business opportunities that should be taken and further considered. The Board of Commissioners have provided its consideration and recommendation according to its capacity.
The Board of Commissioners also fully supports the Board of Directors’ decision to set the target of making a 20% of Company growth to fulfill the shareholders’ aspiration by increasing revenue, increasing profit, and increasing total assets during the next 5 (five) years business plan period.
Specifically, the Board of Commissioners is supporting the Board of Directors in its effort to meet the business targets in 2023, where the Company projects performance growth optimistically with revenues able to grow 40% and net profit able to grow 7% compared to the realization in 2022.
The Board of Commissioners have conveyed many recommendations in relation to the Company managerial aspects in order to ensure that the Board of Directors will be able to meet targets and implementing every business plan successfully. The Board of Commissioners have submitted several recommendations:
1. Every policy, strategy and program should be prepared carefully by prioritizing the prudent or cautionary principle, risk management, and good corporate governance principles.
2. The Board of Directors should focus on the Company’s core business by honing its competitive edge in providing services (fleet and services), establishing strategic alliance with output market and input market (supplier, ship builder, and funding) within the Company’s business ecosystem.
3. Implementing both organic and inorganic development strategy.
4. Improving the capacity of human resources and management system holistically.
Opinion On Corporate Governance Implementation
As a publicly listed company with its shares listed in the Indonesia Stock Exchange, the Company has the interest to implement the good corporate governance principles which consisted of transparency, accountability, responsibility, independence, and fairness. These five principles become the basic foundation for the Company and other business entities in Indonesia to implement good corporate governance that complies with the applicable laws and regulations.
The Board of Commissioners regards the implementation of good corporate governance principles in the Company is keep on improving over time. The Board of Directors and its supporting organs are consistently developing its good corporate governance principles implementation especially to improve its compliance with the rules and regulations applied by the Indonesia Stock Exchange and the Financial Services Authority. The fact that the Board of Commissioners and the Board of Directors are assisted by various supporting organs shows how well the implementation of good corporate governance principles is in the Company. The harmonious cooperation between the Audit Committee under the Board of Commissioners and the Internal Audit division under the Board of Directors shows the seriousness of the Company in carrying out a fair and measured internal audit process.
The more important note in the good corporate governance implementation aspect is the fact that the Company has implemented risk management practice according to its core business and the latest trend in risk management. The Board of Commissioners also emphasizes the importance of internal control, starting from the first line of defense (operational activity) without having to wait for the audit process by the Internal Audit Unit. The Internal Audit Unit should not only supervising and monitoring activity, but it should also be able to act as a strategic partner that provides valuable feedback and added value to the Company
To all Shareholders, the Board of Commissioners is grateful for the confidence that you have given us. We are also thankful to all regulators and other stakeholders who have given a considerable amount of helps and supports. To all members of the Board of Directors, employees and crews, we at the Board of Commissioners are proud of you have achieved amidst the challenging and unfavorable conditions. Hopefully, all of these harmonious relationships will become the basis of the Company to move together to grow in a sustainable manner, and continue to provide added value to shareholders and all stakeholders.