JAKARTA – PT Eastparc Hotel Tbk (EAST), the operator of Eastparc Hotel Yogyakarta, reported a 9.7% year-on-year (yoy) decline in net profit for 2024, attributed to weakened consumer purchasing power and rising operational expenses.

According to the 2024 Full Year Financial Report, EAST recorded revenues of IDR 102.9 billion as of December 2024, down 3.7% yoy from IDR 106.4 billion in December 2023.

This revenue decline was exacerbated by a 12.9% yoy increase in operating expenses, amounting to IDR 32.1 billion, and a significant 61.6% yoy rise in financial costs, reaching IDR 60.6 billion.

As a result, Eastparc Hotel's net profit reached only IDR 34.7 billion in December 2024, a decrease from IDR 38.4 billion at the end of 2023.

In its disclosure to the Indonesia Stock Exchange (IDX) today (11/2), EAST stated that weakening consumer purchasing power was one of the key factors behind the company's slower performance.

Eastparc Hotel's occupancy rate remained relatively stagnant, increasing only slightly from 97.72% in 2023 to 97.92% throughout 2024.

With consumer purchasing power yet to recover, EAST has set a moderate target for 2025, projecting revenue of IDR 95-110 billion, net profit of IDR 30-40 billion, and an average occupancy rate of 85-95% by December 2025.

Known for distributing dividends four times per fiscal year, EAST remains committed to maintaining a dividend payout ratio of 80-90% of net profit, or approximately IDR 27-31 billion. (ZH)