Bakrie's Issuer, BNBR Earns IDR 348.31 Billion Net Profit In 2023

Share illustration (Photo: dock. Antara)

JAKARTA - PT Bakrie & Brothers Tbk (BNBR) recorded a operating profit of IDR 348.31 billion throughout 2023. This figure increased by IDR 116.38 billion or 50.18 percent compared to the same period in the previous year which amounted to IDR 231.93 billion.

This is reflected in net income of IDR 3.75 trillion throughout 2023, up year on year of IDR 132.79 billion or 3.66 percent compared to the same period in 2022 of IDR 3.63 trillion.

"This achievement is the result of good synergy among a number of strategic business units, especially in the manufacturing sector as well as information technology," said President Director & CEO of PT Bakrie & Brothers Tbk, Anindya Novyan Bakrie quoting Antara.

After issuing the financial report for the 2023 financial year, Anindya said the increased net income came from the increase in PT Bakrie Metal Industries (BMI) Group's revenue of Rp49.3 billion and PT Multi Control Nusantara (MKN) of Rp102.3 billion.

In addition, the company also recorded EBITDA (income before interest, tax, depreciation, and amortization) of IDR 446.04 billion in 2023 an increase of IDR 121.51 billion or 37.44 percent of the figure in the previous year of IDR 324.52 billion.

BNBR Finance Director Roy Hendrajanto M. Sakti added that currently the Company's balance sheet posture is much leaner and healthier. Especially with the completion of the derivative obligation to Glencore amounting to US $ 854.7 million or equivalent to Rp. 13.1 trillion.

With this debt settlement, the company's debt to equity ratio became much better and healthier than Rp12.08 trillion or 10.44x in the previous year, to Rp589.27 billion or 1.67x in 2023.

"Thus, the Company's balance sheet conditions will become leaner and healthier so that it is hoped that in the future BNBR can accelerate faster than before," said Roy.

New Business

A subsidiary of the Company engaged in the electric vehicle industry PT VKTR Mobility Technology Tbk. (VKTR) in early 2024 has succeeded in establishing strategic cooperation by forming a joint venture with the Salim Group entity, PT IMG Sejahtera Langgeng, a subsidiary of the Indomobil Group to boost the adoption of electric vehicles (EV) in Indonesia.

In addition, VKTR through a joint venture company called PT VKTR Sakti Industries (VKTS), in Magelang, Central Java, in early 2024 has also begun to ground the construction of the first Completely Knock Down (CKD) commercial electric vehicle facility in Indonesia.

VKTR has also completed the production of 8 units of electric bus brand BYD type D9 high floor which is used by one of the paper companies in Indonesia as a mode of transportation between employees.

Moreover, BNBR is also accelerating the development of new renewable energy infrastructure, which was developed through a subsidiary of PT Bakrie Power, namely PT Helio Synar Energi (Helio). After successfully developing the Roof Solar Power Plant (PLTS) facility, at the PT Braja Mukti Cakra (BMC) factory, Helio will also soon build a Roof PLTS in factories and other operational facilities in the Bakrie Group with a larger capacity.

"Through Helio, the company specifically works on environmentally friendly EBT power generation projects and becomes a future trend," said Anin.

BNBR also started a new business through PT Modulu Sustainability Indonesia (Modula), which invests in 3-dimensional printing construction technology (3DCP) sub-sectors, joint ventures with COBOD International from Denmark owned by world leading companies such as GE (USA), Cemex (Netherlands), Holcim (Switzerland) and Peri (Germany). Modula is a new business opener for BBI subsidiaries who have been in charge of the building materials industry and provide alternatives in building construction with fast, advanced and environmentally friendly technology.

With the development of these new businesses, the Company proves its commitment to always improve performance, both in industries that have been occupied, as well as in the sustainable industry and green energy, which is currently being developed.