(Adds results details, quote)
JAKARTA, Feb 27 (Reuters) - PT Astra International Tbk , Indonesia’s largest automotive distributor, on Tuesday posted a 25 percent increase in net profit for 2017, but fell short of estimates as its biggest segment underperformed.
Contribution from its automotive business were under pressure due to competition in car market, said Astra, whose business interests also include banking, mining and plantations.
Income from the segment fell 3 percent and its contribution to Astra’s total income fell to 47 percent in 2017, from nearly 61 percent in 2016, Astra said in a statement.
Astra reported 18.88 trillion rupiah ($1.38 billion) in net income last year, up from 15.16 trillion rupiah a year earlier. That came below average estimate of 19.50 trillion rupiah, according to 15 analysts polled by Thomson Reuters I/B/E/S.
Astra’s overall income was boosted its resources-related subsidiaries, such as PT United Tractors and palm plantation company PT Astra Agro Lestari, both of which benefited from a rebound in commodity prices.
Income from its financial businesses also helped Astra’s overall performance as Bank Permata, which 45 percent controlled by Astra, swung to a profit of 748 billion rupiah in 2017, from a loss of 6.5 trillion rupiah a year earlier.
“After recording an overall good performance in 2017, Astra Group is expected to continue benefiting from improving economic condition and stability in commodity prices, despite rising competition in car market,” Prijono Sugiarto, president director of Astra, said in a statement. ($1 = 13,670 rupiah) (Reporting by Fransiska Nangoy and Cindy Silviana; Editing by Gopakumar Warrier)