Matahari Reports Sales Of Rp7.2 Trillion & Net Profit Of Rp626 Billion In The First Half Of 2024

Photo: Dok/LPPF

Matahari Reports Sales Of Rp7.2 Trillion & Net Profit Of Rp626 Billion In The First Half Of 2024

Thursday, 25 Jul 2024

Today, Matahari ("the Company"; stock code: "LPPF") announced its financial results for the first semester of 2024, highlighting the impact of the challenging Eid period and the ongoing low consumer spending ability. Despite facing these challenges, the Company continues to make progress in executing its strategic plans.

Sales for this period amounted to Rp 7.23 trillion, down 2.2% compared to 1H23, equivalent to an SSSG of -2.8%. Gross Margin reached 34.9%, down from 35.4% in the same period last year, due to stock clearance at the beginning of the year. Earnings Before Interest Tax, Depreciation, and Amortization (EBITDA) amounted to Rp 988 billion, with a net profit of Rp 626 billion. Based on the first semester results, Management projects EBITDA for the fiscal year 2024 to be Rp 1.2 trillion.

Matahari continues to progress in its strategic plans, especially in terms of merchandising. The Company plans to increase productivity through expanding areas and adding product variations from its main consignment brands. Rebranding of exclusive brands is ongoing to attract more customers, and the in-house brand SUKO is ready to expand its reach to more outlets.

Matahari will continue to leverage influencers and social media to increase brand awareness. The Company also plans a major campaign in the second half of 2024 with a focus on building community and brand engagement.

Digital initiatives continue to advance with 58% of consignment vendors (CV) now joining the supplier platform. User experience is expected to improve with more CV product variations, live commerce, order fulfillment from stores, and better search features.

The Company has postponed the opening of new outlets for the second half of this year and will selectively open outlets only in high-quality malls.

The company remains focused on cost management. Negotiations on rent costs in the first half of this year have resulted in savings, supported by rent discounts and flexible lease agreements. Initiatives to improve workforce productivity have been planned for the second half of the year and are expected to yield positive results.