Bukalapak announces financial results, revenue up 35% in first half of the year

Recently, according to foreign media reports, Indonesian e-commerce giant Bukalapak released financial information in its first report since its initial public offering . The data showed that Bukalapak's revenue increased by 35% in the first half of the year and narrowed its losses. This was due to the surge in online shopping demand and the increase in residents' consumption desire caused by the raging coronavirus .

In addition, Bukalapak said in its financial report that its transaction volume has reached nearly US$4 billion, and its e-commerce market revenue increased by about 4% to US$37.1 million in the first half of the year . The company's Mitra business revenue increased by 77% to US$20.3 million , and Mitra remained the largest contributor to the group's revenue.

As of June this year , Mitra Bukalapak has partnered with more than 8 million roadside stores or warungs in Indonesia to promote Bukalapak 's online products offline . Meanwhile, revenue from its business-to-business procurement division fell 36% to $3.1 million in the first half of 2021 .

Tokopedia, which Bukalapak launched in late 2017, achieved overall revenue growth and narrowed its losses by 25% to $53.4 million during the reporting period. The company was able to achieve this by reducing its general and administrative expenses by 22% to $46.2 million. These savings were able to offset the company's larger cost of revenue, which jumped about 70% to $8.3 million during the period.

One reason for the increase in expenses was that the company increased its sales and marketing investment for its Mitra division by nearly 65%, spending $22 million in the first half of the year . Overall, Bukalapak's sales and marketing expenses during the period increased 14.6% year-on-year to $61.7 million.

Bukalapak went public in August after raising $1.5 billion in Indonesia's largest-ever IPO. Shares have been volatile as investors assess the company's prospects in Southeast Asia's fast-expanding but competitive e-commerce market. The stock surged 25% on its first day of trading , though it has since given up gains and was little changed in early trading Wednesday .

Currently, Mitra, which is owned by Bukalapak , is seeing strong growth. Using the Mitra Bukalapak app, store owners can order instant noodles and other goods when they are running low on stock, all delivered to their doorsteps. The Mitra platform also allows them to help customers who don’t have access to the internet and banking services pay their electricity bills and send money digitally.

“Indonesia offers strong growth momentum,” Oetomo said, adding that he believed the company’s valuation “remains at attractive levels.”

Bukalapak

income

Financial Report