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Investor Daily - WIKA perlu terus lanjutkan pengerjaan proyek di 2024
2 January 2024
Jakarta, ID – Mirae Asset Sekuritas Senior Investment Information Nafan Aji Gusta said that PT Wijaya Karya Tbk (WIKA) needed to continue current projects and projects that will be worked on next year.
According to him, completing these projects will increase the company’s asset divestment opportunity in the future.
“For example, if the national strategic projects have been completed, WIKA’s opportunity to divest the assets will be wide open,” Nafan said in Jakarta yesterday as quoted by Antara.
Nafan said that WIKA’s decision to prioritise the use of cash for their working capital and to pay their partners could support the completion of the company’s projects.
He appreciates the company’s efforts to prioritise the use of cash for their working capital. Furthermore, he also stated that sukuk payment could be made or extended to maintain market trust.
“WIKA prioritising cash for working capital and to pay for vendors must be appreciated, but sukuk payment is also essential to increase the trust of investors,” Nafan said.
If the national economy continues to improve, Nafan thinks that asset divestment will be increasingly easier. So, it can support the company’s plans in the future.
“Usually, national economy stability can increase capital inflow,” Nafan said.
Previously, WIKA Corporate Secretary Mahendra Vijaya said that the company would still focus on recovering its financial condition by maintaining the composition of government projects in 2024.
“We will continue to maintain the composition where government projects reach 70%. Before Covid-19, it only reached 30%. As for the rest, we will pursue projects from SOEs (State-owned Enterprises) that involve substantial capex and operate under a monthly progress payment [system],” Mahendra said.
He mentioned that the company’s priority to use cash for working capital and to pay partners was an important step to increase project production next year.
“The decision to maintain cashflow and to use it for working capital and to pay vendors is crucial to boost project production next year,” Mahendra said.
