Astra

• Record earnings boosted by economic recovery and unprecedented high commodity prices
• Strong performance across most businesses
• Car and motorcycle sales grow by 17% and 2%, respectively
• Net earnings per share up 51% at Rp753 (excluding fair value adjustments on investments in GoTo and Hermina)
• An enhanced final dividend of Rp552 per share will be proposed on the basis of unprecedented high coal prices in 2022
• Group capex and investment for 2022 doubles to Rp26.4 trillion

Astra delivered record earnings, with net profit under Indonesian accounting standards of Rp28.9 trillion, equivalent to US$1.9 billion, 43% higher than 2021. Excluding the net fair value loss on the group’s investments in GoTo and Hermina, Astra’s net profit of Rp30.5 trillion, or US$2.0 billion, was 51% higher than 2021.

A strong recovery in the Indonesian economy and higher commodity prices drove stronger performances from all of Astra’s businesses and in particular its infrastructure and logistics, heavy equipment and mining and automotive divisions.

Automotive

Net income from Astra’s automotive division increased by 33% to US$648 million, reflecting higher sales volume.

The wholesale car market increased by 18% in 2022. Astra’s car sales for that period were 17% higher, with market share relatively stable at 55%. The wholesale motorcycle market increased by 3%, while Astra Honda Motor’s sales increased by 2%, with sales growth limited by semiconductor supply issues, while market share remained relatively stable at 77%.

Astra Otoparts saw a 117% increase in profit compared to the previous year, mainly due to higher revenues from the original equipment manufacturer and replacement market segments.

Financial Services

Net income from the group’s financial services division increased by 22% to US$404 million, due to higher contributions from its consumer finance businesses, which saw a 21% increase in new amounts financed. The net income contribution from the group’s car-focussed finance companies increased due to larger loan portfolios, while the contribution from Astra’s motorcycle-focussed finance company, Federal International Finance, was higher due to larger loan portfolios and lower loan loss provisions.

General insurance company Asuransi Astra Buana reported a 12% increase in net income to US$80 million, mainly caused by higher investment and underwriting income.

Heavy Equipment, Mining, Construction and Energy

Net income from the group’s heavy equipment, mining, construction and energy division increased by 107% to US$850 million, mainly due to higher contributions from heavy equipment sales, mining contracting and coal mining, all of which benefitted from unprecedented coal prices.

United Tractors reported a 104% increase in net income to US$1,408 million. Komatsu heavy equipment sales rose significantly and revenue from its parts and service businesses was higher. Mining services contractor Pamapersada Nusantara recorded a higher overburden removal volume, while coal production was relatively stable. Agincourt Resources, 95%-owned by United Tractors, reported a decrease in gold sales.

General contractor Acset Indonusa, 82.2%-owned by United Tractors, reported a lower net loss of US$30 million. Net losses continued to be incurred mainly as a result of the continued slowdown of several ongoing projects.

Agribusiness

Net income from Astra’s agribusiness division decreased by 12% to US$92 million, largely due to lower crude palm oil sales volumes and production, which offset an increase in selling prices.

Infrastructure and Logistics

Astra’s infrastructure and logistics division reported a significant increase in net income to US$35 million, primarily due to improved performance in its toll road businesses. The group’s toll road concessions saw higher toll revenue during the period. Astra has 396 km of operational toll roads along the Trans-Java network and in the Jakarta Outer Ring Road. Serasi Autoraya’s net income increased by 19%, mainly due to an increase in vehicles under contract, despite a lower used car earnings contribution.

Information Technology

Net income from the group’s information technology division was 12% higher at US$5 million.

Property

The group’s property division saw a 10% increase in net income to US$9 million, primarily due to a higher occupancy rate in Menara Astra and the handover of units in the Arumaya development starting at the end of 2022.