State construction firm Wijaya Karya (WIKA) is another headache for the next administration. Big hole from huge loss of Rp5.84 trillion in the first nine months of 2023 has to be filled with Rp6 trillion of capital injection from the State Budget. Poor supervision from Jokowi administration has led to series of problems, including corruption. 

Shares of BSD City (BSDE), controlled by Widjaja Family, ended significantly lower by 5.13% on Tuesday (Apr 16) to make a market capitalisation of Rp19.6 trillion. On the other hand, shares of Pantai Indah Kapuk Dua (PANI), developer of PIK-2 township co-owned by Agung Sedayu and Salim Group, edged higher by 1.35% to make a market cap of Rp87.9 trillion. 

Toll operator Nusantara Infrastructure (META), co-owned by Salim Group, recorded a net loss of Rp233.74 billion in 2023, even though the company’s revenue increased significantly. This was mainly attributable to soaring costs and financial burden.

Bank Woori Saudara (SDRA), controlled by South Korean Woori Bank, is issuing 6.4 billion shares at Rp500 per share to raise Rp3.2 trillion to strengthen its capital structure. This is the second major fund raising by South Korean banks in Indonesia after Kookmin Bank (KB) did so for KB Bukopin last year.

The chance is there for Jokowi to end his last year in office with lower economic growth if tension between Iran and Israel escalates. Brent crude, benchmark for Indonesian Crude Price (ICP), has hovered above US$90 per barrel, and a further rally to above US$100 would force the government to make some substantial adjustment to the State Budget 2024.

Trials of the defendants in the case of alleged corruption related to PT Aneka Tambang Tbk (ANTM) are ongoing. Recently, the prosecutors read their demands for one of the most important defendants, namely the former Director General of Mineral and Coal at the Ministry of Energy and Mineral Resources, Ridwan Djamaluddin.

State pharmaceutical firm PT Indofarma Tbk (INAF) is having a rough time. In addition to a series of losses over the years, the company also faces legal issues. Within less than a year, Indofarma has faced three lawsuits demanding the company to restructure its debts (PKPU); the latest lawsuit was submitted last week by PT Foresight Global, a labor distribution/supply company.

The Asian Development Bank (ADB) estimates that Indonesia’s economic to grow by 5% this year and next year, with domestic demand continuing to drive growth and offset weaker contributions from net exports. Domestic consumption is projected to remain strong, while investment is likely to remain stable. This is reflected in consumer confidence trends and retail sales which are generally at pre-pandemic levels.

Shares of industrial estate developer Pakuwon Jati (PWON) gained 0.93% to Rp432 in April 5, 2024, to make market capitalization of Rp20.8 trillion. The stock, however, fell 2.26% this year. Investors seem to remain concern on earning prospect, as PWON only reported a 4.38% growth in revenue (Rp6.2 trillion) for 2023.

Waskita Karya (WSKT), Hutama Karya (PTHK), and Jasa Marga (JSMR) are three state companies tasked to build toll roads in the country ‘at all costs’. Unlike Waskita and Jasa Marga, the state EPC firm Hutama Karya has been poured with more than US$5 billion of ‘capital injection’ from the State Budget in the past few years.