New contracts: Construction SOEs obtain Rp30 trillion
This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Bisnis Indonesia - Kontrak baru BUMN karya raih Rp30 triliun
11 July 2024
By Dionisio Damara
Bisnis, Jakarta – The new contract accumulation of construction state-owned enterprise (SOE) issuers, specifically PT Adhi Karya (Persero) Tbk (ADHI), PT PP (Persero) Tbk (PTPP), and PT Wijaya Karya (Persero) Tbk (WIKA), has surpassed a total of Rp30.02 trillion in the first half of 2024.
The new contract realisation of three issuers declined from Rp36.1 trillion in the first half of 2023. Therefore, the accumulated contract value of ADHI, PTPP, and WIKA decreased by 16.84% year-on-year (YoY).
PTPP Corporate Secretary Joko Raharjo said that, in the first half of this year, the company secured a new contract value of Rp9.65 trillion. This value decreased by 16.95% from Rp11.62 trillion last year.
“In early 2024, there was the elections issue. So, the situation in the first half is still conservative,” Joko said on Wednesday (10/7).
He said that, within the total new contract value in the first half of 2024, infrastructure projects still dominated with building projects following closely behind.
Meanwhile, WIKA logged a new contract value of Rp10.17 trillion in the first half of 2024. This amount reflects a decrease of 2.96% YoY from Rp10.48 trillion in the previous year.
WIKA President Director Agung Budi Waskito stated that the largest contributor of new contracts was the industrial segment, followed by the infrastructure, EPC, building, and property segments.
Based on the employer composition, most of WIKA’s new contracts came from SOEs and the government, implementing the monthly progress payment scheme.
According to him, the company will continue to grow by targeting various potential projects, especially those in the engineering, procurement, and construction (EPC) sector.
On the other hand, ADHI logged new contracts worth Rp10.2 trillion in the first half of 2024, which decreased from Rp14 trillion in the first half of 2024. The majority of these new contracts, accounting for 50%, were building projects, with water resources projects following at 32%
Adhi Karya Corporate Secretary Rozi Sparta revealed that the funding sources for the company’s new contracts in the first half of 2024 were primarily from the government, accounting for 66%. Meanwhile, private companies contributed 29%, while the remaining percentage was covered by SOEs and other sources.
