JAKARTA – PT Lippo Karawaci Tbk (LPKR), a real estate and mall operator, posted a net profit surge of more than 31 times in 2024, despite a 32% year-on-year (yoy) decline in revenue.

According to its latest financial report, LPKR recorded revenue of IDR 11.5 trillion in 2024, a steep drop from IDR 16.9 trillion in 2023.

This decline was primarily due to the reduced contribution from the healthcare segment, particularly following the deconsolidation of PT Siloam International Hospitals Tbk (SILO) in June 2024.

LPKR divested a portion of its shares in SILO last year and now holds only a 29.09% stake in the hospital operator.

However, revenue from the real estate segment grew by 14% to IDR 5.03 trillion, while the lifestyle segment (malls and hotels) saw a 13% increase to IDR 1.4 trillion.

“LPKR achieved FY24 pre-sales of IDR 6.01 trillion, reaching 112% of its FY24 pre-sales target,” the management stated in its Public Exposé document last week (28/3). Real estate sales were dominated by landed houses, followed by shophouses and high-rise apartments.

Meanwhile, lifestyle segment revenue was driven by mall revenue (+22%) at IDR 682 billion and hotel revenue (+11%) at IDR 497 billion, with occupancy rates remaining stable at 69%.

With solid operational performance and the SILO divestment, LPKR’s net profit soared by 3,006% to IDR 18.75 trillion in 2024.

“Our focus on operational improvements, financial discipline, and delivering value to customers has translated into solid performance across our property, healthcare, and lifestyle businesses,” said John Riady, Group CEO of Lippo Indonesia, in an official statement on Friday (28/3). (ZH)