Indonesia: Bukalapak’s Q3 revenue rises 86% to 898b rupiah on lower cost base

INDONESIAN e-commerce company Bukalapak on Monday (Oct 31) posted an 86 per cent growth in revenue to 898 billion rupiah (S$81.3 million) for the third quarter ended Sep 30.

This comes as the company shifted its focus on generating revenue from a lower cost base, and contribution from its online-to-offline business segment Mitra Bukalapak rose up to 53 per cent in Q3, from 43 per cent in the same period last year.

The group’s nine-month revenue also nearly doubled to reach 2.6 trillion rupiah, a gain of 92 per cent from Q3 2021.

Bukalapak’s total processing value (TPV) for the quarter grew 32 per cent to 41.3 trillion rupiah and 74 per cent of this came from outside the Tier 1 regions of Indonesia, where the company said continues to see strong growth in all-commerce penetration and digitizing trends among offline micro retail stores.

Meanwhile, nine-month net profit for the retail group also swung into the black at 3.6 billion rupiah, a reversal from the 1.1 billion rupiah in losses last year.

The group’s adjusted earnings before interest, taxes, depreciation, and amortization (Ebitda) stood at 327 billion rupiah in the third quarter, which is an improvement in the adjusted Ebitda ratio to TPV from -1.1 per cent of TPV in Q3 last year to -0.8 per cent of TPV in Q3 2022.

“Now that the company is confident that the business case is established, Bukalapak will re-focus on growing the top line, whilst continuing to deliver a positive contribution margin,” said the group in a press statement.

Shares of Bukalapak were trading 0.7 per cent or 2 rupiah lower at 274 rupiah as at the midday lunch break on Monday.