KIJA’s 1H17 Revenue Increases 19%
PT Jababeka Tbk (“KIJA”) recorded a total consolidated revenue of Rp 1,615.6 billion in the first half of 2017, an increase of 19% compared to the same period of 2016. This growth was mainly driven by the Company’s Land Development & Property and Infrastructure business pillars, which saw revenue increase 20% and 19% year-on-year respectively. Land Development & Property was mainly driven by an increase in revenue contribution from Kendal, which increased nearly tenfold from Rp 29.4 billion in 1H16 to Rp 246.8 billion in 1H17 on the back of improved demand.
Over the same period, revenue contributions from the power plant, part of the Infrastructure pillar, increased 23% from Rp 619.9 billion in 1H16 to Rp 765.0 billion in 1H17 mainly because the power plant operated at full capacity in 2017 whereas most of 2Q16 the plant operated at half capacity because of a leakage in one of the boilers – which was fully repaired in August last year. Total recurring revenue from the Company’s infrastructure businesses (power, port, water) equals 61% of total revenue in 1H17, equal to 1H16.
Largely in line with revenue, the Company’s gross profit increased from Rp 553.0 billion in 1H16 to become Rp 626.4 billion in 1H17. At the same time, the Company’s consolidated gross profit margin decreased slightly; from 41% in 1H16 to 39% in 1H17. This reduction is mainly the result from a lower gross profit margin from the Land Development & Property pillar in 1H17 at 63%, compared to 77% in 1H16. This lower margin is mainly the result from more contributions from sales in Kendal, which on average have significantly lower margins compared to Cikarang. The Infrastructure pillar gross profit margin increased from 19% in 1H16 to 24% in 1H17, whereas the gross profit margin for the Leisure & Hospitality pillar increased from 43% in 1H16 to 47% in 1H17.
KIJA’s net income for the period as per 1H17 was recorded at Rp 218.9 billion; a decrease of 32% compared to the first half of 2016. This was mainly caused by a large net foreign exchange (forex) gain of Rp 158.8 billion in the first half of 2016, compared to only Rp 28.5 billion in the first half of 2017. Excluding such forex gains the Company’s net income for the period would have in fact increased 18% from Rp 161.9 billion to Rp 190.4 billion. These amounts are the sum of operational and financial forex gains/losses and gain/loss on our hedging contracts. The details of this can be found in the financial and other income and expense sections of our 1H17 financial report.
Largely in line with the Company’s revenue and gross profit, KIJA’s EBITDA in 1H17 reached Rp 500.2 billion, an increase of 18% compared to the Rp 422.8 billion achieved in the first half of 2016.
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P.S. Please access our 1H17 financial statements at IDXnet by accessing the following link: http://www.idx.co.id/StaticData/NewsAndAnnouncement/ANNOUNCEMENTSTOCK/From_EREP/201707/20170731150149-7582-0/Laporan%20Keuangan%20Konsolidasian%20KIJA%20Q2%20-%202017.pdf or via http://www.idx.co.id/en-us/home/listedcompanies/announcement.aspx and search for KIJA.
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KIJA’s 1H17 Revenue Increases 19%