IDX Opens Voice Causes Net Profit And Daily Transactions 2023 Down

IDX (Photo: Antara)

JAKARTA - The Indonesia Stock Exchange (IDX) recorded revenue throughout 2023 of IDR 2.49 trillion, down 14.08 percent year-on-year (YoY) compared to the same period in 2022, which was IDR 2.90 trillion.

Meanwhile, the net profit for the year attributable to the owners of the IDX's parent entity throughout 2023 was IDR 573.28 billion, down 40.54 percent, when compared to 2022, which was IDR 964.27 billion.

The decline in IDX's revenue and profit cannot be separated from the average daily transaction (RNTH) of shares in 2023 of IDR 10.7 trillion or a decrease of 27 percent, when compared to 2022, which is IDR 14.7 trillion.

In addition, the frequency of daily transactions in 2023 reached 1.18 million transactions, down 9.7 percent compared to the end of 2022. The decrease also occurred in the average daily transaction volume at 19.8 billion shares, down 17.3 percent compared to the end of 2022.

The Composite Stock Price Index (JCI) reached the level of 7,272.797 in 2023, an increase of 6.2 percent from the position at the end of 2022. Meanwhile, the market capitalization value in 2023 was recorded at IDR 11,674 trillion, an increase of 23 percent compared to the position at the end of 2022, which was IDR 9,499 trillion.

President Director of the Indonesia Stock Exchange (IDX) Iman Rachman said, although the majority of transaction activities experienced a decline, some of these trade indicators still recorded new records, namely the highest market capitalization in 2023 which reached Rp11,762 trillion.

"In addition, there is also a record in terms of the highest daily transaction volume which reached 89 billion shares on May 31, 2023," he explained at the IDX GMS, Wednesday, June 26.

Iman explained that there are several factors that cause RNTH shares to fall in 2023. So that it will be a challenge to the IDX's revenue and net profit target in 2024.

"So if we look at the average IDX transaction at Rp12.1 trillion, it has not been achieved according to the target, but several things are also related to our targets, some IPOs and some of these fundraising are still positive," he said.

Iman explained the reason why daily transactions fell because this year, there was a momentum for the 2024 General Election in February, causing investors to wait and see first. Plus this year there are around 64 countries that will carry out elections, such as the United States (US), Russia, and India.

According to Iman, the next challenge is the global economic slowdown, such as the US inflation target which has not yet reached 2 percent. Thus, the Central Bank of the US Federal Reserve (The Fed) is still holding interest rates at the level of 5.25 percent-5.5 percent and only projects one cut this year.

"So we can see that the high interest rate of the Fed will continue so we see that investors will start switching to safe haven investment products. That is, they will run to a country with a higher return rate. This is also a challenge," he said.

In addition, Iman said that not only was there an economic slowdown in the US, the slowing down of China's economy caused by property issues was also a challenge for the stock market.

Therefore, Iman said that his party will continue to strive to increase the RNTH of shares in 2024 to achieve the target of the IDX this year.

"Although last year's Indonesia Stock Exchange achievement was in a lower net profit than 2022, we did not remain silent and continue to explore new potentials in terms of products, in terms of supply and how to increase the number of investors," he added.

For information in 2024, the IDX targets operating revenues to grow 11.86 percent to Rp1.45 trillion, while the net profit target is Rp259.44 billion. The target determination is based on the assumption that RNTH acquisition is Rp12.25 trillion this year. Meanwhile, the total IDX assets in 2024 are Rp6.56 trillion, an increase of 6.52 percent.