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Page 1
ANNUAL PUBLIC EXPOSE - 2024
PT LOTTE CHEMICAL TITAN Tbk
Jakarta, 28 Juni / June 2024




                          1
Page 2
MATA ACARA
AGENDA

 PROFIL SINGKAT
 BRIEF PROFILE
 IKHTISAR KEUANGAN
 FINANCIAL HIGHLIGHTS   2




 TELAAHAN KINERJA
 PERFORMANCE REVIEW
 KEBIJAKAN STRATEGI
 POLICY & STRATEGY
 SESI TANYA JAWAB
 Q & A SECTION



                            2
Page 3
PROFIL SINGKAT
BRIEF PROFILE
                 1987                                         1990                                        2002                                         2006
Perusahaan didirikan dengan nama PT            Perusahaan     beroperasi   komersial         Pencatatan saham Perusahaan pada            Meraih Sertifikat ISO 9001:2000 atas
Indofatra Plastik Industri dengan              dengan kapasitas produksi terpasang           Bursa Efek Indonesia.                       terpenuhinya       Standar    Sistem
bidang usaha industri plastik.                 8.000 metrik ton per tahun.                                                               Manajemen Mutu.
                                                                                             Listing of Company’s shares on the
The Company was established under              The Company operates commercially             Indonesia Stock Exchange.                   Achieved     ISO    9001:2000   on
the name of PT Indofatra Plastik               with installed production capacity of                                                     Certificate for Quality Management
Industri and engaged in the plastic            8.000 metric tons (MT) per annum.                                                         System Standards.
industry.




                                2010                                                                2008                                                   2007
Perluasan bidang usaha dari produksi menjadi perdagangan besar             Perusahaan melakukan Penawaran Umum Terbatas I -                 Peningkatan    jumlah     kapasitas
(distributor utama) dan impor produk BOPP Film. Serta perusahaan           Penerbitan Hak Memesan Efek Terlebih Dahulu untuk                terpasang menjadi 38.000 metrik ton
melaksanakan proses penawaran tender atas saham Perusahaan                 mengakuisisi 3 Chemical Brothers Limited yang secara             per tahun.
yang dimiliki oleh publik dengan harga Rp. 132 sehubungan dengan           langsung dan tidak langsung memiliki 100% saham PT
masuknya Grup Lotte Chemical.                                              Lotte Chemical Titan Nusantara.                                  Increase in total installed capacity to
                                                                                                                                            38.000 MT per annum.
Expansion of business line from production to wholesale trading            The Company performed Limited Public Offering I -
(main distributorship) and importation of BOPP Film products. And          Issuance of Pre-emptive Rights to acquire Chemical
the Company performed a tender offering of Company's shares                Brothers Limited which directly and indirectly owns 100% of
owned by public at a price of IDR 132 in relation with acquisition by      PT Lotte Chemical Titan Nusantara’s shares.
Lotte Chemical Group.



                 2012                                            2013                                          2021                                            2023
 Penambahan jenis produk impor dan              Perubahan nama Perusahaan menjadi PT             Dalam rangka perampingan struktur           Melakukan aktivitas Turnaround yaitu
 distribusi   antara     lain Polietilena,      Lotte Chemical Titan Tbk dan mulai               Grup Perusahaan, Perusahaan saat ini        proses      inspeksi, perbaikan dan
 Polipropilena, dan Etilena.                    melakukan kegiatan impor dan distribusi          memiliki secara langsung saham LCTN         pemeliharaan menyeluruh atas semua
                                                produk Polietilena dan Polipropilena.            sebesar 99,85% (dilakukan di 2020).         fasilitas pabrik.
 The addition of import and distributed
 product      include      Polyethylene,        The Company changed its name to be PT            With the Group Company structure            Conduct Turnaround activity, which is
 Polypropylene, and Ethylene.                   Lotte Chemical Titan Tbk and starts              streamlining, the Company currently         comprehensive inspection, repair and
                                                importing and distribution of Polyethylene       owns directly 99,85% shares of LCTN         maintenance process to all plant facilities.
                                                and Polypropylene products.                      (done in 2020).



                                                                                                                                                                                            3
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PROFILE SINGKAT MANAJEMEN PERSEROAN
BRIEF PROFILE COMPANY MANAGEMENT
   Dewan Komisaris                                  Direksi
Board of Commissioners                         Board of Directors




                                    4


       PARK HYUN CHUL                              JANG SEON PYO
       KOMISARIS UTAMA                             DIREKTUR UTAMA
   PRESIDENT COMMISSIONERS                        PRESIDENT DIRECTOR




                               RUDI REPELITA                           CALVIN WIRYAPRANATA
                                 DIREKTUR                                   DIREKTUR
                                 DIRECTOR                                   DIRECTOR

    HENDANG TANUSDJAJA
     KOMISARIS INDEPENDEN
   INDEPENDENT COMMISSIONERS
                                                                                             4
Page 5
KEPEMILIKAN SAHAM
SHARE OWNERSHIP

                        LC
                         25,31%


                       LCC
                         75,86%


                      LCTH                 LC       : Lotte Corporation
                                           LCC      : Lotte Chemical Corporation
                                           LCTH     : Lotte Chemical Titan Holding Berhad
                         100,00%           LCTISB   : Lotte Chemical Titan International Sdn. Bhd
                                   5
                                           LCTTBK   : PT Lotte Chemical Titan Tbk
                                           LCTN     : PT Lotte Chemical Titan Nusantara
                      LCTISB
                         92,50%

              7,50%
   PUBLIC             LCTTBK
                                   0,15%


            99,85%



                      LCTN



                                                                                                    5
Page 6
MATA ACARA
AGENDA

 PROFIL SINGKAT
 BRIEF PROFILE
 IKHTISAR KEUANGAN
 FINANCIAL HIGHLIGHTS   6




 TELAAHAN KINERJA
 PERFORMANCE REVIEW
 KEBIJAKAN STRATEGI
 POLICY & STRATEGY
 SESI TANYA JAWAB
 Q & A SECTION



                            6
Page 7
IKHTISAR KEUANGAN
FINANCIAL HIGHLIGHTS
Laporan Laba Rugi | Statement of Profit (Loss)                                                         Dalam Jutaan USD / In Million USD
                                                                                  2023         2022
                                       2023         2022            2021           VS           VS
                                                                                  2022         2021
Pendapatan Bersih                     376,2         473,9           412,1      (21%)            15%                           Net Revenue
Beban Pokok Penjualan                 369,8         459,4           388,5      (20%)            18%                     Cost of Goods Sold
Laba Kotor                              6,4         14,5            23,6       (56%)           (39%)                          Gross Profit
Beban Operasional                      11,7         12,2            14,3      (4,2%)           (15%)               Operational Expense
Laba (Rugi) Usaha                      (5,2)         2,3             9,2      (325%)           (75%)             Operating Profit (Loss)
Laba (Rugi) Sebelum Pajak              (1,1)         3,1      7     12,2      (136%)           (74%)            Profit (Loss) Before Tax
Laba (Rugi) Bersih                     (0,4)         2,9             9,6      (114%)           (70%)                      Net Income Loss
EBITDA                                  0,1          7,5            20,1       (99%)           (63%)                              EBITDA
Laba (Rugi) Bersih Per 1.000 Lembar                                                                        Net Income (Loss) Per 1.000
Saham – Satuan Penuh
                                       (0,1)         0,5             1,7      (114%)           (70%)              Shares – Full Amount


Laporan Jumlah Saham | Statement of Number of Shares
                                         2023                                     2022                                 2021
        Pemegang Saham
         Shareholders          Jumlah Saham     Kepemilikan        Jumlah Saham          Kepemilikan    Jumlah Saham          Kepemilikan
                             Number of Shares   Ownership         Number of Shares       Ownership     Number of Shares       Ownership
LCTISB                        5.148.902.750       92,5%            5.148.902.750           92,5%        5.148.902.750           92,5%

PUBLIC
(< 5% OWNERSHIP EACH)
                               417.511.250        7,5%              417.511.250             7,5%         417.511.250             7,5%

TOTAL                         5.566.414.000      100,0%            5.566.414.000           100,0%       5.566.414.000           100,0%


                                                                                                                                             7
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IKHTISAR KEUANGAN
FINANCIAL HIGHLIGHTS

 Laporan Posisi Keuangan | Statement of Financial Position                         Dalam Jutaan USD / In Million USD

                                                               2023         2022
                               2023      2022        2021       VS           VS
                                                               2022         2021
  Aset Lancar                  94,7      119,3        117,2    (21%)        1,8%                Current Assets
  Jumlah Aset                 182,7      192,2       183,0    (5,0%)        5,0%                   Total Assets
  Liabilitas Lancar            69,7      78,8         70,9     (12%)        11%             Current Liabilities
  Jumlah Liabilitas            75,7      84,7         78,4     (11%)        8,1%               Total Liabilities
                                                 8

  Ekuitas                     106,9      107,5       104,6    (0,5%)        2,7%                           Equity




 Laporan Rasio Keuangan | Statement of Financial Ratio
                                                                       2023     2022
                                       2023          2022     2021      VS       VS
                                                                       2022     2021
 Rasio Lancar                          136%          151%     165%     (15%)    (14%)             Current Ratio
 Liabilitas Terhadap Aset              41%           44%      43%      (2,7%)   1,3%            Debt To Assets
 Laba (Rugi) Bersih Terhadap Aset      (0,2%)        1,5%     5,2%     (1,7%)   (3,7%)      Return On Assets
 Laba (Rugi) Bersih Terhadap Ekuitas   (0,4%)        2,7 %    9,1%   (3,1%)     (6,4%)       Return On Equity

                                                                                                                       8
Page 9
MATA ACARA
AGENDA

  PROFIL SINGKAT
  BRIEF PROFILE
  IKHTISAR KEUANGAN
  FINANCIAL HIGHLIGHTS   9




  TELAAHAN KINERJA
  PERFORMANCE REVIEW
  KEBIJAKAN STRATEGI
  POLICY & STRATEGY
  SESI TANYA JAWAB
  Q & A SECTION



                             9
Page 10
TELAAHAN KINERJA
PERFORMANCE REVIEW
                                                                               2023         2022
                                            2023      2022           2021       VS           VS
                                                                               2022         2021

Volume Produksi (KMT)                       331       361            320      (8,4%)        13%                 Production Volume (KMT)

Volume Penjualan (KMT)                      345       366            328      (5,7%)        12%                         Sales Volume (KMT)

Margin Spread (USD/MT)                      142       164            201       (13%)       (18%)                 Margin Spread (USD/MT)

Biaya Konversi (USD/MT)                     129       126       10
                                                                     149       2,4%        (15%)               Conversion Cost (USD/MT)

400                 (KMT)                                 (USD/MT)                     Definisi | Definition
             361                366
                                      345                                              MARGIN SPREAD
350                331    328
       320                                                                             Selisih antara harga jual dengan biaya bahan baku utama
                                                                                       (feedstock).
300                                                                                    The difference between selling price and feedstock.

250                                                                                    BIAYA KONVERSI | CONVERSION COST
                                                                                       Total biaya produksi, selain dari biaya bahan baku utama.
                                              201
200                                                                                    Total production costs, exclude feedstock cost.
                                                    164
                                                          142        149               Bahan Baku Utama | Feedstock
150
                                                                           126 129     Ethylene, Butene, Hexene.

100

 50

 -
      Production Volume     Sales Volume      Margin Spread      Conversion Cost
                              2021     2022    2023                                                                                                10
Page 11
TELAAHAN KINERJA
PERFORMANCE REVIEW

                        PENDAPATAN | REVENUE
Pendapatan menurun sebesar 21,0% dibandingkan                   (Jutaan/Million USD)

tahun 2022.
Faktor utama disebabkan oleh volume penjualan
dan harga rata-rata penjualan untuk produk yang             473,9
diproduksi sendiri mengalami penurunan selama
2023 masing-masing sebesar 5,7% dan 15,8%.          412,1
                                                                         376,2
                                    11

Revenue decrease by 21,0% compared to 2022.

The main factors were due to sales volume and
average selling price for own product decrease by
5,7% and 15,8% during 2022.




                                                    2021    2022         2023
                                         11
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TELAAHAN KINERJA
PERFORMANCE REVIEW

                               PROFITABILITAS | PROFITABILITY
Laba Usaha mengalami penurunan sebesar 325% pada tahun 2023
                                                                                                       (Jutaan/Million USD)
dibandingkan 2022. Hal ini terutama disebabkan oleh penurunan signifikan
rata-rata margin spread antara harga jual polyethylene (PE) dan bahan
baku utama sebesar USD 22 per metrik ton (USD 142 per metrik ton vs
USD 164 per metrik ton)                                                            9,6
                                                                             9,2
Faktor penyebabnya antara lain:
• Penurunan permintaan akibat perlambatan ekonomi global disertai inflasi
  yang tinggi menyebabkan pasar PE tertekan.
• Tambahan pasokan produk petrokimia dari pabrik baru
                                                    12
                                                       di regional yang
  semakin memperketat kompetisi.
• Peningkatan harga bahan baku Ethylene         akibat   permintaan   yang
  melonjak dari produsen polimer regional.
                                                                                                 2,9
                                                                                           2,3

Operating Profit decreased by 325% during 2023 compared to 2022. This
was mainly contributed by significant decrease in the average margin
spread between polyethylene (PE) selling price and feedstocks by
USD 22 per metric tons (USD 142 per metric tons vs USD 164 per metric        2021           2022              2023-0,4
tons).

The root cause are as follows:
- Decreasing demand due to global economic slowdown accompanied by
  higher inflation that put some pressure on PE market.
- Additional supply of petrochemical products from the new plant on the
  region that tighten the competition.                                                                       -5,2

- Soaring price of Ethylene due to rapidly increasing demand from regional          Operating Profit ( Loss)
  polymer producers.                                                                Net Income (Loss)
                                                          12
Page 13
TELAAHAN KINERJA
PERFORMANCE REVIEW

                           PRODUKSI | PRODUCTION
Kelompok Usaha mampu       menjaga   capaian    produksi                               (KMT)
tahunan diatas 300 KT.

Dengan performa perusahaan yang baik, konsistensi
capaian produksi dapat selalu dipertahankan. Pada
                                                                                361
kuartal ke-3 2023, perusahaan juga melakukan
Turnaround (penghentian total operasional pabrik)                 329                   331
                                                                         320
untuk mengoptimalkan kinerja operasi/produksi dengan
melakukan    inspeksi   menyeluruh,   perbaikan  dan       291
penggantian terjadwal pada beberapa peralatan dan
                                           13


sistem operasi sehingga diharapkan mampu berproduksi
secara maksimal.

The Group managed to maintain annual production
above 300 KT.

With good plant performance, production consistency
achievement could always be maintained. In the 3 rd
quarter of 2023, company conducted a Turnaround (full
shutdown to all plant operation) to optimize the
operational/production    performance  by   executing
comprehensive     inspection,   repair and     planned
replacement to some equipment and operating systems,
aiming to achieve maximum production capacity.             2019   2020   2021   2022   2023
                                               13
Page 14
TELAAHAN KINERJA
PERFORMANCE REVIEW

                          OPE RABILITAS | OPERABILITY
Perusah a an mencapai operabilitas * ) ( be rdas a rk an jam                                     (%)
beroperasi ) diatas 80% .

Penurunan d ari tahun sebelumnya d ise bab k an o le h                 92,5%
                                                                               90,7%   91,4%
perusah a an melak uk an Turn aro und se lama 1 bula n
pada kuartal ke-3 2023.                                                                        82,9%
                                                               80,0%

Catatan *) :
Perse ntase wa ktu operasion al dima na pab
                                         14 rik d ap at
beke rja normal sela ma ta hun be rjalan (se te la h
dikurangi waktu shutdown ).

Company managed to achieved operability*) (based
on running hours) above 80%.

The decrease from the previous year was due to a
one-month Turnaround conducted by the company In
the 3 rd quarter of 2023.

Notes *) :
Percentage of operational time that the plant can
operate normally during the year (net of with
shutdown time).
                                                               2019    2020    2021    2022    2023
                                                14
Page 15
TELAAHAN KINERJA
PERFORMANCE REVIEW

                  KOMPOSISI ON-SPEC | ON-SPEC PORTION
Perusahaan mampu menjaga capaian kualitas produk
                                                                                        (%)
diatas 98% selama 5 tahun berturut-turut walaupun
di tahun 2023 mengalami sedikit penurunan akibat
dari start-up produksi setelah Turnaround .
                                                      99,5%   98,8%   99,3%   99,2%   98,1%
Perusahaan mengutamakan kualitas produk guna
menjaga brand image yang baik dan kepuasan
pelanggan.
                                          15


Company managed to maintain product quality above
98% in 5 consecutive years, although in 2023, there
was slightly decrease due to production start-up
after the Turnaround.

Company takes product quality as the highest
concern in order to maintain good brand image and
customer satisfaction.




                                                      2019    2020    2021    2022    2023


                                               15
Page 16
TELAAHAN KINERJA
PERFORMANCE REVIEW

        NILAI DAN VOLUME PENJUALAN | SALES AMOUNT AND QUANTITY
                                 2023                    2022                    2021
                                                                                                     Qty            Qty
                        USD                     USD                     USD                      2023 VS 2022   2022 VS 2022
                                  KT     %                KT     %                  KT     %
                       Million                 Million                 Million
 Domestik | Domestic    348      319    93%     435       336   92%     366         291   89%       (5,0%)          16%

 Ekspor | Export         27       25    7%       38       29    8%       45         36    11%       (14%)          (20%)

 Jumlah | Total         375      344    100%    473       365   100%    411         327   100%      (5,7%)          12%

 * TIDAK TERMASUK PENJUALAN SCRAP DAN PENDAPATAN KOMISI | EXCLUDE SALES OF SCRAP AND COMMISSION INCOME


Ringkasan Penjualan                              16

Pada tahun 2023 kelompok usaha mencatat volume penjualan yang lebih rendah dibandingkan tahun
sebelumnya. Hal ini disebabkan karena adanya dinamika di pasar (tingkat permintaan dan penawaran),
ditambah dengan kegiatan Turnaround pada kuartal ke-3 2023 yang menghentikan proses produksi. Kelompok
usaha, dalam keterbatasan yang dialami, tetap berusaha mempertahankan pangsa pasar dengan
memaksimalkan penjualan terutama di pasar domestik. Serta kelompok usaha tetap berkomitmen untuk
memberikan produk dan pelayanan terbaik kepada pelanggan.

Sales Summary
In 2023, the group experienced a decrease in sales volumes compared to the previous year. This was due to
market fluctuation (supply and demand), amplified by turnaround process in the 3 rd Quarter of 2023, which
temporarily stop the production. Despite these challenges, the group remained focused on maintaining its
market presence by maximizing sales, particularly in the domestic market. And also the group remained
dedicated to delivering high-quality products and services to its customers.




                                                                16
Page 17
MATA ACARA
AGENDA

 PROFIL SINGKAT
 BRIEF PROFILE
 IKHTISAR KEUANGAN
 FINANCIAL HIGHLIGHTS   17




 TELAAHAN KINERJA
 PERFORMANCE REVIEW
 KEBIJAKAN STRATEGI
 POLICY & STRATEGY
 SESI TANYA JAWAB
 Q & A SECTION



                             17
Page 18
STRATEGI BISNIS
BUSINESS STRATEGY




   MANUFACTURING                             FINANCIAL
                                                  18
                                                                      COMMERCIAL
 Biaya Produksi lebih terkontrol       Efisiensi Biaya             Mengoptimalkan pendapatan
 Controllable manufacturing cost       Cost Efficiency             Penjualan
                                                                   To optimize sales revenue
 Meningkatkan efisiensi proses         Efektivitas Kepatuhan
 Increase process efficiency           Compliance Effectiveness    Meningkatkan konsistensi
                                                                   persediaan
 Operasi pabrik yang stabil dan aman   Memperkuat Kontrol Aset     To improve supply consistency
 Sable and safe plant operation        Strengthen Assets Control
                                                                   Harga yang bersaing
                                                                   Price competitiveness

                                                                   Meningkatkan pangsa pasar
                                                                   To increase market share

                                                                                                   18
Page 19
KEBIJAKAN MANAJEMEN
MANAGEMENT POLICY




                      19




                           19
Page 20
FOKUS TERKAIT ESG
CONCERN TOWARDS ESG




                                         20



      P EOP LE E DUCATION A ID COMMUNITY E NVIRONME N T
  Kelompok Usaha memiliki tujuan untuk menciptakan keharmonisan di antara
  stakeholders dan juga sebagai bentuk tanggung jawab untuk senantiasa menjaga dan
  meningkatkan kualitas Ekonomi, Sosial, dan Lingkungan yang kami wujudkan dalam 5
  Pilar Utama ESG (Environment, Social, Governance) dengan program P.E.A.C.E

  The Group has a goal to create harmony among stakeholders as a form of responsibility
  to always maintain and improve the quality of the Economy, Social and Environment
  which we embody in the 5 Main Pillars of ESG with the P.E.A.C.E program


                                                                                          20
Page 21
FOKUS TERKAIT ESG
CONCERN TOWARDS ESG


               • Berkontribusi pada sejumlah program yang mendukung
                 masyarakat seperti bantuan CATOR untuk pengangkutan
                 sampah domestik.
               • Contributes to a number of programs that support the
                    community such as Donate Three Wheel Vehicle          for
                    Accommodation Domestic Garbage.

               • Menyediakan makanan tambahan untuk Ibu Hamil risiko
                 tinggi yang bekerja sama dengan Puskesmas Gerogol.
               • Provide additional food for
                                           21
                                              high risk pregnant woman, in
                    collaboration with the Gerogol Health Center.


                • Memberikan bantuan alat sekolah kepada anak yatim
                  piatu, Menyediakan bahan bangunan untuk sekolah,
                  Memberikan komputer layak pakai dan memberikan
                  beasiswa untuk anak kurang mampu yang
                  berprestasi.
                • Provide stationaries for orphan, Provide material for
                     school, donation ex used computer and scholarship
                     for smart underprivileged children.




                                                                                21
Page 22
FOKUS TERKAIT ESG
CONCERN TOWARDS ESG
              • Memberikan bantuan Pipa untuk pengeboran sumur
                di Desa Gerem.
              • Donation PVC Pipe for water drilling in Gerem
                Village.




               • Kelompok Usaha memberikan kontribusi untuk
                 peningkatan taraf hidup dan kesejahteraan
                 masyarakat melalui kegiatan donasi berupa
                 sembako dan keperluan rumah
                                          22   tangga.
               • The Group contributes to improving the standard of
                    living and welfare of the community through
                    donation activities in the form of groceries and
                    household needs.



               • Memasang instalasi Solar Photovoltaic (PV) untuk
                 menurunkan emisi karbon.
               • Installed a Solar Photovoltaic system to reduce
                    carbon emissions.

               • Mengkonversi pengunaan forklift bertenaga LPG
                 menjadi elektrik.
               • Converted forklifts from LPG-driven to electric.
                                                                       22
Page 23
MATA ACARA
AGENDA

 PROFIL SINGKAT
 BRIEF PROFILE
 IKHTISAR KEUANGAN
 FINANCIAL HIGHLIGHTS   23




 TELAAHAN KINERJA
 PERFORMANCE REVIEW
 KEBIJAKAN STRATEGI
 POLICY & STRATEGY
 SESI TANYA JAWAB
 Q & A SECTION



                             23
Page 24
TERIMA KASIH
THANK YOU
          24

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Names mentioned 19 people and organisations named in the text · linked when the evidence is strong

linked org LOTTE CHEMICAL TITAN Tbk p.1 ×14
linked — Lotte Chemical. p.3 ×3
linked person PARK HYUN CHUL p.4
linked person JANG SEON PYO p.4
linked person RUDI REPELITA p.4
linked person CALVIN WIRYAPRANATA p.4
linked person HENDANG TANUSDJAJA p.4
possible org Bursa Efek Indonesia p.3
unresolved org Indonesia Stock Exchange p.3
unresolved org PT Indofatra Plastik p.3
unresolved org Chemical Brothers Limited p.3
unresolved org Brothers Limited p.3
unresolved org PT Lotte Chemical Titan Nusantara’s p.3
unresolved org Lotte Corporation p.5
unresolved org Lotte Chemical Corporation p.5
unresolved org Lotte Chemical Titan International Sdn. Bhd p.5
unresolved org PT Lotte Chemical Titan Nusantara LCTISB p.5
unresolved — LCTISB p.7
unresolved person Hamil p.21

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