Lippo Cikarang reported 47 percent year-on-year increase in earnings at Rp 2.2 trillion ($154 million) in 2018. (Photo courtesy of Lippo Cikarang)

Lippo Cikarang Posts 503% Increase in Net Profit at Rp 2.2t in 2018‎

MARCH 12, 2019

Jakarta. Township developer Lippo Cikarang last week released its financial report for the 2018 fiscal year that ended on Dec. 31.

The company reported earnings of Rp 2.2 trillion ($154 million), 47 percent higher than the corresponding period in 2017, while gross profit shot up by 98 percent to Rp 1.3 trillion.

Lippo Cikarang's net profit increased 503 percent to Rp 2.2 trillion following the Rp 2.4 trillion deconsolidation of Mahkota Sentosa Utama.

Income from residential homes and apartments, which made up 42 percent of total revenue, meanwhile declined 17 percent to Rp 935 billion, while revenue from industrial and commercial stood at Rp 934 billion, making up 42 percent of total revenue.

The company's recurring income increased to Rp 340 billion last year from Rp 285 billion in 2017, contributing 16 percent of total revenue.

Total assets declined to Rp. 8.6 trillion at the end of 2018, from Rp 12.5 trillion a year earlier.

"The 2018 results exceeded our expectations, although the Indonesian housing market was not as robust this year. We are confident, as Lippo Cikarang has a few ongoing projects that will bolster growth in the coming years," said Simon Subiyanto, the company's president director.

The developer handed over 1,271 apartment units worth Rp 1.1 trillion in three towers – Irvine, Westwood and Pasadena – in its Meikarta CBD Orange County township in Bekasi district, West Java, earlier this year. The company said this demonstrates its continuing commitment to its customers.

The Jakarta Globe is affiliated with the Lippo Group.