Performance of SOEs under Danantara is proof of Prabowo government's positive performance

Illustration of state-owned enterprise performance. (AI)

JAKARTA - The positive performance of a number of State-Owned Enterprises (BUMN) throughout the first half of this year is one of the most highlighted achievements of the government of President Prabowo Subianto. The BUMN consolidation and transformation program run by Danantara since its inception has begun to show concrete results. This is reflected in the surge in net profit in almost all strategic sectors of BUMN.

Managing Partner of the BUMN Research Group LM FEB UI Toto Pranoto said that positive performance was seen in the top BUMN which showed stable performance.

"In my opinion, solid performance is still shown by blue chips SOEs which have long been the driving force for total SOE revenue and profit. For example, Himbara's performance in the banking sector, the mineral and mining sector, the telco sector and Pertamina," said Toto in Jakarta.

He further assessed that the performance of SOEs under Danantara still has the potential to skyrocket. This is in line with the steps of streamlining SOEs which encourage the efficiency of the number of state-owned companies to be more effective and efficient.

Toto said that improving SOEs' performance needed to continue to be driven through the streamlining or structuring and consolidation of state-owned enterprises.

"My hope is that the process of streamlining SOEs can be accelerated so that performance improvements can be implemented faster," he said.

Based on the financial statements for the first semester of 2026 compared to the same period last year, PT Timah recorded the most dramatic profit growth among other SOEs. The red plate mining company recorded a net profit of IDR 2.71 trillion, jumping 804.7 percent from the previous IDR 300 billion. This is a strong signal that the company, which had been doubted for its performance, is now really rising under the direction of Danantara's transformation.

PT Pupuk Indonesia also recorded brilliant performance with a very significant net profit of Rp8.51 trillion or grew 253 percent compared to Rp2.41 trillion in the first semester of 2025.

In the cement sector, PT Semen Indonesia recorded a 196.5 percent increase in profit, from Rp65.24 billion to Rp193.46 billion, giving a positive signal for the sustainability of the national construction and infrastructure sector.

Meanwhile, PT Agrinas Palma Nusantara grew 150 percent with a profit of Rp890 billion. This achievement confirms the success of the consolidation of the strategic plantation sector which is now under the management of SOEs.

Solid growth was also seen in the financial services and logistics sectors. PT Pegadaian posted an 84.6 percent increase in profit to IDR 6.59 trillion, followed by PT Pelindo which grew 60.4 percent to IDR 2.57 trillion. PTPN IV PalmCo also recorded brilliant performance with an increase of 54 percent to IDR 3.23 trillion and Bank Tabungan Negara (BTN) grew 40.8 percent to IDR 2.40 trillion.

Bank Mandiri as one of the largest state-owned banks in Indonesia also recorded a 24.3 percent profit growth to Rp30.41 trillion. This record shows that transformation is not only felt by small-medium scale SOEs, but also giant financial institutions that are already established.

Furthermore, PT Pertamina Geothermal Energy recorded a 15.5 percent profit growth to 79.61 million US dollars, which strengthened Indonesia's position in the development of clean energy.

A number of SOEs that had previously suffered losses managed to reverse the situation this semester. PT Krakatau Steel, which has long been a symbol of a burden in the SOE sector of works and heavy industry, managed to get out of a loss of around IDR 1.74 trillion to a profit of around IDR 150 billion to IDR 185 billion.

The same thing happened to PT Kimia Farma, which turned from a loss of IDR 135.61 billion to a profit of IDR 54.07 billion. Both turnarounds are considered symbolically important, given that they are often considered as a representation of structural problems that have plagued SOEs for years.

This series of achievements provides strong economic capital ahead of the second year of President Prabowo's administration. The government is considered to have concrete evidence that structural reforms to SOEs, ranging from the consolidation of hundreds of entities under one umbrella Danantara to the enforcement of operational discipline and governance, are not just discourse, but policies that have shown measurable results.