Railway SOE: KAI optimistic about surpassing Rp30 trillion in revenue
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 - BUMN perkeretaapian: KAI yakin pendapatan tembus Rp30 triliun
1 December 2023
By: Lorenzo A. Mahardhika
Jakarta - PT Kereta Api Indonesia (Persero) is optimistic about their revenue growing 20% until the end of this year to surpass Rp30.6 trillion. Meanwhile, their revenue in the previous year only reached Rp25.57 trillion.
PT Kereta Api Indonesia (Persero) Finance and Risk Management Director Salusra Wijaya said that the revenue growth potential was supported by the recovery that occurred after the Covid-19 pandemic. Currently, he said that people’s mobility has been improving after the pandemic.
Hence, he believes that more people will travel or go on vacation by train.
“At the end of this year, [revenue growth] might reach 15% to 20%. It is still not fixed,” he explained at Bisnis Indonesia Top BUMN Awards 2023 in Jakarta on Thursday (30/11).
Salusra is still reluctant about revealing KAI’s revenue forecast for the end of 2023. Based on KAI’s financial statements in 2022, during the year, the railway state-owned enterprise (SOE) logged a revenue of Rp25.57 trillion, which drastically increased compared to their revenue in 2021 that reached Rp17.91 trillion. Furthermore, PT KAI successfully obtained a profit of Rp1.78 trillion in 2022.
Based on the company’s financial statements in the first half of 2023, during the period, KAI logged a revenue of Rp14.25 trillion with a profit of Rp2.04 trillion.
So, KAI logged a current-year net profit of Rp826.98 billion in the first half of 2023, which increased from last year that reached Rp739.96 billion.
Salusra added that the company must also improve its internal cash performance. He said that KAI would optimise all their income segments, including cargo and passenger transportation.
“We have calculated it. The [financial] performance is great this year. Inshallah [God willing], it can be maintained next year,” he explained.
High-speed railway
Salusra also revealed that KAI had successfully paid off their debt from the cost overrun of Jakarta-Bandung High-speed Railway.
It is supported by KAI’s optimal financial performance.
“Inshallah, we can [pay off the loan for the high-speed railway],” he said.
Besides that, he explained that KAI was also supported by the government in paying off the loan. He said that the support was in the form of a state equity participation (PMN).
At the end of this year, KAI’s income has the potential to increase along with the start of the 2023/2024 Christmas and New Year (Nataru) transportation period. The railway SOE is ready to operate 34 additional trains during the period.
KAI Public Relations VP Joni Martinus explained that KAI added 31,856 seats on long-distance trains.
The additional trains will serve favourite routes, such as Jakarta-Solo, Jakarta-Surabaya, Jakarta-Malang, Bandung-Solo, and other routes.
He said that additional routes and classes have been added to accommodate people’s demand during the Nataru period.
Joni also mentioned that the state-owned company was also ready to optimise their additional income from non-transportation sectors, such as asset utilisation.
Besides revenue from transportation services as their main source of income, the company also generates revenue from asset leasing that is managed by the Non-transportation Commercial Unit, which is a unit under the Commercial Directorate.
“KAI will innovate to look for new income sources during and after the pandemic. They will also optimise the company’s assets, which is the third income pillar after passenger and cargo transportation,” Joni explained.
