Conglomerate Mochtar Riady's Lippo Cikarang Revenue Increases 16.9 Percent To Rp765 Billion In Semester I 2022

Photo: Doc. Lippo Cikarang

JAKARTA - The income of property developer Mochtar Riady's conglomerate, PT Lippo Cikarang Tbk, increased by 16.9 percent in the first half of 2022 from Rp655 billion in the same period last year to Rp765 billion based on the financial results announced to the public.

"We have made good progress in terms of financial performance and pre-sales achievement in the first half of 2022. We hope that in the second half we can continue to build on this momentum to achieve our 2022 target," said CEO of PT Lippo Cikarang Tbk Rudy Halim in Bekasi, quoted from Antara, Thursday 11 August.

He explained that the increase came from landed house residential income of Rp. 394 billion, double the achievement in the first half of 2021 of Rp. 189 billion, as well as pre-sales of Rp. 641 billion, which is in line with the company's target this year of Rp. 1.45 trillion.

Then income from landed houses and apartments reached Rp466 billion, which contributed 60.9 percent of the company's total revenue. Meanwhile, revenue from the sale of industrial estates reached Rp. 83 billion or contributed 10.9 percent of the total revenue.

It also reported an increase in gross profit of 29.8 percent to Rp383 billion from Rp295 billion in the first half of last year. Gross profit from landed houses and apartments increased 37.7 percent to Rp221 billion due to increased sales of this segment.

"Gross profit margin increased from 45 percent in the first half of last year to 50 percent due to changes in the product portfolio that are more profitable, seeing a higher contribution from the sale of landed residential homes," he said.

Furthermore, the company's profit before tax and interest expense was reported at Rp. 266 billion, an increase of 52 percent from Rp. 175 billion in the same period last year. This increase was in line with the increase in revenue and gross profit as well as a decrease in operating expenses by 5.1 percent to Rp129 billion.

Pre-sales until June 2022 reached 44 percent of the company's target this year of Rp1.45 trillion, although business activity in the second quarter of this year was slower, due to the long Eid holiday and continued school holidays.

"Our landed residential product, which targets first-time homeowners, Waterfront Estates, led the total sales with a contribution of IDR 361 billion and 348 units were sold during the period," he said.

Meanwhile, land sales in industrial estates also showed good progress with the achievement of Pre-Sales of Rp149 billion, in line with improving business activities in the Cikarang area.