Tile Time
    Category: Entrepreneurs By : Sonya Angraini Read : 3340 Date : Monday, April 15, 2013 - 21:22:41

    Ahmad Zamroni / Forbes Indonesia

    PT Arwana Citramulia does one thing and does it well: it produces ceramic tiles. Tandean Rustandy founded the company in 1985, and has grown it into the second largest tile maker in the country and the 25th largest in the world. Being a bigger global player is one of the Tandean's goals. “It takes time and it will not be easy but it's not impossible,” says Tandean, 48, who holds the chief executive title. 

    For the moment, Arwana distributes 99% of its products in the local market. The 1% is exported to emerging markets such as Bangladesh, Cambodia, Pakistan and Sri Lanka. Despite his global ambition, Tandean feels Arwana will remain focused on the local market. Tiles may not sound exciting but it is a play on Indonesia's growing consumer market, with Indonesia's tile consumption about 1.2 square meters per person per year. While demand is higher in some countries—Cambodia's tile consumption is about 2 square meters per person per year—Indonesia has a larger population and thus much more potential. 

    Over the last five years, Arwana has posted an average 10% growth in revenue and 20% growth in net profit, and Tandean expects to do the same this year. Last year, the company hit Rp 1 trillion in revenue. The company went public in 2001 and its stock has increased by more than 1,000% in the last five years, some 300% just in 2012. Tandean was nominated last year as one of 10 finalists for the Entrepreneur of the Year award from professional services firm Ernst & Young, after having previously won Indonesian Young Entrepreneur of the Year in 2002.