Jakarta. Department store operator Ramayana Lestari Sentosa has targeted sales to rebound by up to 8 percent to Rp 8.6 trillion ($647 million) this year, banking on recovering economic growth boosting demand.
The company will also convert stores under the Spar retail brands in collaboration with Dutch multinational retailer Spar International, which is expected to further boost sales.
Last year, Ramayana's turnover shrank 2 percent to Rp 8 trillion, in line weakening consumer's purchasing power.
"The sales will grow this year. That is reflected in double digit sales growth in January, compared to the same month last year," said Aloysius Santosa, Ramayana's corporate secretary on Wednesday (02/03).
Ramayana plans to convert 25 stores into Spar supermarkets, adding to the 15 stores the company converted last year.
"The conversion increases fresh products sales. Now it contribute to 30 percent of our sales, from just 6 percent previously," Aloysius said.
The company has set aside Rp 400 billion for capital expenditure this year, which include three new shopping centers and two stand-alone Spar supermarket.
Ramayana's share rose 6.5 percent on the first trading session on Thursday at Indonesia Stock Exchange, outperforming 0.4 gain in the benchmark index.