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3 Main Profit Contributors for Jardine Cycle & Carriage Ltd

Jardine Cycle & Carriage Ltd  (SGX: C07) or Jardine C&C is a conglomerate with a diverse set of businesses that include automotive, financial services, heavy equipment and mining, agribusiness, information technology, infrastructure, logistics and others.

Given the complexity of its business, it is useful for investors to have a good overview of the major businesses within Jardine C&C.

In this article, we will learn more about the three main profit contributors of Jardine C&C’s profitability in 2016.

Overview of 2016 underlying profitability

Source: Jardine C&C 2016 Annual Report

Astra

Astra is Jardine C&C’s Indonesia subsidiary which contributed about 71% towards 2016 underlying profitability.

This is a diverse business with interests across industries like automotive, financial services, heavy equipment, agribusiness and others.

Astra is also listed on the Indonesia Stock Exchange, with a 49.9% minority shareholder interest.

Direct Motor Interests

The Direct Motor Interests segment sells cars mainly in Singapore, Malaysia and Myanmar under the Cycle & Carriage banner, as well as through Tunas Ridean in Indonesia and Truong Hai Auto Corporation in Vietnam.

Here, Vietnam accounted for the biggest underlying profitability in 2016 at 56%.

Other interests

Last but not least, Jardine C&C has interests in two smaller businesses, namely Siam City Cement and Refrigeration Electrical Engineering, under its other interests.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Lawrence Nga doesn’t own shares in any companies mentioned.