PT Lippo Karawaci Tbk ((PTLKF)) has held its Q3 earnings call. Read on for the main highlights of the call.
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The recent earnings call for PT Lippo Karawaci Tbk painted a mixed picture of the company’s financial health. While there were notable achievements in revenue growth and deleveraging, challenges persisted in the hotel and health care segments due to external factors and budget constraints. The real estate segment, however, showed promising potential with significant sales and future opportunities.
Strong Year-on-Year Revenue Growth
The company reported an impressive 74% increase in revenue for the first nine months of 2025, reaching IDR 5.51 trillion. This robust growth underscores the company’s ability to capitalize on market opportunities and drive financial performance.
Lifestyle Segment Stability
The lifestyle segment demonstrated stability with revenues hitting IDR 994 billion and an EBITDA increase of 21%. Mall visitor growth was recorded at 6-7%, with occupancy rates improving by 5 percentage points to 84%, reflecting strong consumer engagement.
Successful Deleveraging Initiative
PT Lippo Karawaci Tbk successfully reduced its net interest expenses from IDR 765 billion to IDR 175 billion, showcasing its commitment to a stronger balance sheet through effective deleveraging strategies.
Improved Debt Maturity Profile
The company improved its debt maturity profile by refinancing syndicated loans and securing a loan from BTN, which reduced the cost of funds by about 60 basis points, enhancing financial flexibility.
Real Estate Segment Achievements
The real estate segment achieved marketing sales of IDR 4 trillion, reaching 64% of the full-year target. With a significant land bank available, the company is well-positioned for future development and growth.
Hotel Revenue Decline
Hotel revenue experienced a 6% decline, with EBITDA falling by 24%, primarily due to government budget cuts impacting events, highlighting the segment’s vulnerability to external economic factors.
Challenges in Health Care Segment
Despite overall improvements, the health care segment faced challenges from external events such as demonstrations and flooding, which impacted revenue by IDR 49 billion, indicating areas needing strategic focus.
Slight Decrease in Statutory Revenue
Statutory revenue was approximately IDR 6.5 trillion, slightly lower than the previous year, attributed to Siloam’s consolidation in 2024, reflecting a need for strategic adjustments.
Forward-Looking Guidance
CFO Fendi Santoso provided forward-looking guidance, highlighting that marketing sales for the real estate segment reached IDR 4 trillion, 64% of the full-year target of IDR 6.25 trillion. The company’s revenue saw a 74% increase, totaling IDR 5.51 trillion, while EBITDA rose by 4% to approximately IDR 843 billion. The lifestyle segment maintained stable revenue, and the healthcare sector posted a 3% revenue increase year-on-year, with an EBITDA of IDR 2.08 trillion.
In summary, PT Lippo Karawaci Tbk’s earnings call revealed a company navigating through mixed economic conditions with a focus on growth and financial stability. While challenges remain in certain segments, the overall sentiment was positive, driven by strong revenue growth and strategic financial management.