Indonesia's Construction Sector Continues its Booming Expansion
Nine Indonesian construction companies that have released their financial results over the first six months of 2013 show a combined net profit of 849 billion (USD $83.2 million). State-controlled Wijaya Karya (Wika) still leads the ranking in terms of net profit. Interestingly enough, another state-controlled company, Adhi Karya, posted the largest YoY percentage growth in net profit (135.6 percent). Lastly, state-controlled Pembangunan Perumahan is second-largest company in terms of largest net income in Semester I-2013.
These financial figures are evidence of the profitability of state-linked companies as the government has been busy to spur infrastructure development through a series of mega-projects which include the New Priok Port in Jakarta and the Kuala Namu airport in Medan. Central government funds in the State Budget (APBN) for Indonesia's infrastructure development have increased in recent years because of the implementation of the Masterplan for Acceleration and Expansion of Indonesia's Economic Development (MP3EI) in 2011. This plan foresees large investments in the country's much-needed infrastructure development.
Net Income Semester I-2013:
| IDR Billion |
Growth YoY |
|
| Wijaya Karya |
280.33 | 55.7% |
| Pembangunan Perumahan |
143,48 | 121.2% |
| Total Bangun Persada | 99.58 | 18.4% |
| Nusa Raya Cipta | 91.07 | 120.1% |
| Adhi Karya | 68.44 | 135.6% |
| Waskita Karya | 56.63 | 53.3% |
| Jaya Konstruksi Manggala P. | 38.64 | -1.0% |
| Nusa Konstruksi Enjiniring | 37.40 | 106.9% |
| Acset Indonusa | 33.45 | 98.4% |
| Total | 849.02 | 66.4% |