Kalbe Farma Profile
Kalbe Farma Profile
Kalbe Farma Profile
Company Profile
Kalbe Farma (KLBF) was established in 1966 in a humble garage house in North Jakarta by six
siblings: Khouw Lip Tjoen, Khouw Lip Hiang, Khouw Lip Swan, Boenjamin Setiawan, Maria
Karmila and F Bing Aryanto.
Kalbe’s vision is to become dominant in the health business in Indonesia and become a player in
the global market with strong brands, increased through good management and advanced
technology. Kalbe’s mission is to improve health for a better life. The main values of Kalbe are
integrity, a strong collaboration, innovation, agility and give their best to consumers.
There are many factors that support, stimulate and accelerate the progress of Kalbe. Basically
there are 4 keys to success that makes Kalbe capable of achievement, namely (1) innovator
product variety, (2) a solid marketing strategy, (3) strong commitment to Research and
Development and (4) human resources are reliable.
For over 40 years, the company has been aggressively expanding its business, both organically
and through strategic acquisitions, to become a provider of integrated health care solutions. It
acquired Dankos Laboratories in 1977, Bintang Toedjoe and Hexpharm Jaya in 1985, Woods’
brand and Saka Farma Laboratories in 1997, as well as Sanghiang Perkasa in 1993.KLBF has
also been active in research and development (R&D) for leading-edge generic drug formulations,
as well as developing innovative consumer and nutritional products.
Through strategic alliances with international partners, KLBF has also started to support several
successful R&D ventures working on cancer drugs, stem cells and biotechnology research. The
company established the Stem Cell and Cancer Institute in 2007. KLBF also entered the business
of medical device trading by establishing Renalmed Tiara Utama in 2008.
The company listed the shares of its subsidiaries, Igar Jaya and Dankos Laboratories, on the
Indonesia Stock Exchange in 1989. KLBF itself and its subsidiary Enseval Putera Megatrading
conducted their initial public offerings in 1991 and 1994, respectively. Today, KLBF has become
the largest-publicly listed pharmaceutical company in South-east Asia with market capitalization
of nearly $6bn. KLBF businesses are grouped into four major segments: prescription
pharmaceuticals, consumer health, nutritionals, and distribution and packaging. In Indonesia,
KLBF maintains coverage of over 70% of general practitioners, 90% of specialists, 100% of
hospitals and 100% of pharmacies for the prescription pharmaceuticals market, as well as 80%
for the consumer health and nutritional markets.
Development Strategy
In the prescription pharmaceutical segment, Indonesia’s expanded National Healthcare Insurance
programmers should exert a positive impact on KLBF unbranded generic products. However,
margins on unbranded generic products are thin. To compensate for this, KLBF has assigned
more effort into developing oncology products; we expect this will contribute approximately 5-
10% to the segment revenue by 2016. In the consumer health segment, energy drinks (Extra
Joss) and ready-to-drink products will continue to drive top line growth. New over-the-counter
products, such as Hydro Coco, Original Love Juice and Bintang Toedjoe Masuk Angin, should
also continue to enjoy robust growth in 2015. In the nutritional segment, growth will come from
new product launches such as Zee, Fitbar and Dive, along with top-selling products like
Morinaga, Prenagen and Diabetasol. In the distribution and packaging segment, we see great
challenges emerging from stricter regulations from the government, along with increasing
integration with clients’ distribution chains.
On December 16, 2005, Kalbe Management has successfully completed a merger with Dankos
and PT Enseval (“Enseval”) into one company in order to create a publicly listed pharmaceutical
company and the largest in Southeast Asia. This merger will provide opportunities for the future
of Kalbe in improving the efficiency and effectiveness. Mergers involving PT Enseval as super
holding and three subsidiaries listed on the JSE – Kalbe Farma Laboratories (DNKS), Farma
(EPMS) – as well as forming a company truly integrated. Horizontally, Kalbe “new” offer a
range of products is much broader, ranging from various forms of drug and health food to
supplements and energy drinks. Vertically, they do activities from procurement of raw materials,
finished product manufacturing, marketing, to sales and distribution.
Kalbe have long experience and in terms of financial, Kalbe revenues increased approximately
18% per year.
Kalbe Management has experienced personnel, including former director general BPOM in
developing, producing, marketing and selling healthcare products and pharmaceuticals. Equipped
with a solid team and good cooperation between departments internally and close relationships
with partners, PT. Kalbe Farma Tbk increasingly established itself in the ranks of big companies
in Indonesia.
In the production, Kalbe has 7 GMP (Good Manufacturing Practice) that have an international
standard with 2 additional GMP still under construction. Kalbe’s commitments in this regard
have been recognized through a series of test results certification department. All production
facilities owned subsidiary of Kalbe and has obtained ISO 9001 certification, while Kalbe, PT
Laboratories Tbk. (“Dankos”) and PT Kalbe also gained certification of ISO14001 and OHSAS
18001/SMK3 (Health Management Systems and Safety). Kalbe and Dankos have consistently
maintained a very satisfactory achievement in the application of the principles of Good
Corporate Governance, namely the number five and number two among all the companies listed
on the Bursa Efek Jakarta in 2005.
In the distribution, Kalbe have 6000 sales force personnel to 1 million outlets across Indonesia.
Sustained a fairly complete business structure, namely a distribution company and a hospital
network that carries the brand Families and Partners International Partners, including school
nurses.
Kalbe’s corporate governance structure follows the Law of the Republic of Indonesia No. 40
Year 2007 regarding Limited Company (Law of Limited Company). The structure consists of the
General Meeting of Shareholders (GMS), the Board of Commissioners and the Board of
Directors. This structure is set to ensure systematic implementation of Kalbe’s GCG principles
and clear definition of roles and responsibilities. In carrying their duties, the GMS, Board of
Commissioners and the Board of Directors are guided by the transparency, accountability,
responsibility, independency, and fairness principles to ensure the sustainability of the
Company’s business by taking into account the interests of all shareholders.