Press Release – Financial Performance Q1 2020 PT Jababeka Tbk (bilingual)


PT Jababeka Tbk (“KIJA”) recorded a total revenue of Rp 473.7 billion for the first quarter of 2020, a decrease of 19% compared to the first quarter of 2019.
The Company’s Land Development & Property pillar saw revenue decrease 29% to become Rp 119.6 billion in 1Q20, from Rp 169.4 billion in 1Q19. This decrease was mainly caused by a reduction of sales of developed land plots from Rp 110 billion in 1Q19 compared to Rp 35.1 billion in 1Q20, whereas all other land development and property sub-segments saw an increase in 1Q20 compared to the same quarter of 2019.
Please note that the Company is preparing its financial statements in compliance with PSAK 72, which means that the Company recognizes the property’s revenue when the control of the goods is transferred to the customer. This means that the Company no longer recognized revenue of property by means of percentage of completion.
The Infrastructure Pillar revenue decreased 16% to become Rp 333.5 billion for the first three months of
2020, compared to Rp 395.1 billion over the same period of 2019. The main reason for this was a decrease
in revenue from Bekasi Power by Rp 52.5 billion as the power plant operated less in 1Q20 compared to
1Q19 due to more Reserve Shutdown on the request of PLN. Recurring revenue from the Infrastructure
pillar contributed 70% to total revenue in the first quarter of 2020, compared with 68% in 1Q19.
KIJA’s Leisure & Hospitality pillar posted a 2% increase in revenue to become Rp 20.6 billion in the first quarter of 2020.
The Company’s gross profit decreased by 27% to become Rp 162.6 billion in 1Q20, versus Rp 222.0 billion a year earlier. At the same time, KIJA’s consolidated gross profit margin for the first quarter of 2020 was recorded at 34%, compared to 38% in the same period of 2019. The lower gross profit margin was mostly caused by a lower margin from the Real Estate & Property pillar, which was caused by product mix; less contribution from higher margin developed land products. The Infrastructure gross profit margin improved from 21% in 1Q19 to 23% in 1Q20, whereas the Leisure & Hospitality gross profit margin slowed from 28% in 1Q19 to 26% in 1Q20.
KIJA booked a net loss of Rp 759.8 billion in the first quarter of 2020, compared to a net profit of Rp 74.3 billion in 1Q19. The main reason for this difference is caused by the impact of foreign exchange (forex) movements as the Company booked a forex loss of Rp 699.1 billion (translation loss) in 1Q20 compared to a forex gain of Rp 56.9 billion in 1Q19.
The Rupiah depreciated from Rp 13,901 per 1 US Dollar at the start of the year to Rp 16,367 at closing on 31 March 2020. The Company has hedged US$ 200 million notional from its US$ 300 million bonds outstanding up to an upper strike of Rp 15,997. The unhedged portion of US$ 100 million and the fact that the Rupiah weakened to a level above the upper strike is the main reason for the large forex loss. Furthermore, our mark-to-market values on our hedging contracts are provided in US Dollar currency and with a weakening Rupiah these values in US$ currency become less, particularly because the USD-IDR forward at the time of maturity of the hedging contracts is used as a basis.
Given where the USD-IDR is at the time of releasing this (around Rp 14,200-14,400 per 1 US Dollar) a great chunk of the forex loss above would be recuperated.
In terms of EBITDA, 1Q20 recorded Rp 119.0 billion compared to Rp 187.6 billion in 1Q19, largely in line with the reduction in gross profit in absolute amount.
For more information, please contact:
Corporate Secretary
Muljadi Suganda
E: muljadi@jababeka.com
P: 572 7337 ext 678
Investor Relations
Tim Beekelaar
E: tim_beekelaar@jababeka.com
P: 572 7337 ext 565
Press Release – Financial Performance Q1 2020 PT Jababeka Tbk (bilingual)