GMF Shows Positive Performance in 2016

Cengkareng – Garuda Maintenance Facility Aero Asia (GMF) a Garuda Indonesia’s subsidiary
company whose work on aircraft maintenance repair and overhaul, shows its positive
performance on December 2016. GMF’s record $ 337M or 91,6% from its target with net profit
margin is $ 55.6 M equal to 120% from what’ve been planned.

On 2017, GMF is targeting to achieve $ 454 M on its revenue with $ 69 M on net profit margin.
President & CEO of GMF, Juliandra Nurtjahjo said that positive performance on 2016 and
target on 2017 is a fundament to its vision on 2020, to be Top 10 MROs in The World. “We
believe that target growth is a form of trust that shareholders hang on us,” he said. Regarding the challenge, GMF planned to expand its business to be launched on 2017. Business expansion is one of GMF’s grand strategy besides Human Centric and Technology Driven.

Availability becomes a concern for GMF caused by aircraft maintenance market growth
significantly. One of capacity enhancement will be on Batam. According to Juliandra, Batam
was chosen because its accessibility to Singapore which is aviation center in Asia. On October
2016, GMF becomes an officially bonded center. It brings an opportunity to GMF to expand the
bonded center in Batam. “We hope that development of aircraft maintenance facility could
bring many advantages in the future. Not only for GMF but also aviation industry, MRO and
Batam economic,” he said. Batam considered as a right place to expanding the business and
supported by the government.

That consideration defines the basis for terminated agreement with Bintan Aviation
An investment which been signed in December 2014. “The decision we take is because the
agreement has been expired, but no project was started yet,” he said. In addition to him, the decision is also regarding shareholders for both sides good.

As blueprint of expanding its business in Batam, GMF is also widely open an opportunity for
partnership. GMF has done a partnership with Merpati Maintenance Facility (MMF) for General
Aviation Maintenance in Eastern Indonesia, especially in Manado and Biak. “With strategic
partnership and optimal support from government, we optimize for capacity enhancement in
Batam and Eastern Indonesia could be done in 2017,” said Juliandra.