GIC-backed Bukalapak narrows losses as Q3 revenue jumps 58% to 484b rupiah

INDONESIAN e-commerce operator PT Bukalapak.com saw its third-quarter revenue jump 58 per cent year on year to 484 billion rupiah (S$46.1 million) while further narrowing its losses.

For the 9 months ended Sept 30, revenue was up 42 per cent to 1.3 trillion rupiah. Net loss was reduced by 19 per cent to 1.1 trillion rupiah, from 1.4 trillion rupiah a year ago.

In Q3, the company's total processing value (TPV) grew by 45 per cent year on year to 31.2 trillion rupiah, while 9M21 TPV increased by 51 per cent to 87.9 trillion rupiah.

In a statement on Tuesday (Nov 30), Bukalapak said its TPV growth has been supported by a 25 per cent rise in the number of transactions and a 21 per cent increase in the average transaction value between 9M20 and 9M21.

About 73 per cent of its TPV is from beyond the Tier 1 regions of Indonesia, where it continues to see strong growth in all-commerce penetration and digitising trends among offline micro retail stores.

It operates 2 key business units: Bukalapak Marketplace connects buyers and sellers, while Mitra Bukalapak - the company's main growth engine - serves mom-and-pop kiosks known as warungs.

On a yearly basis, Mitra's Q3 revenue contribution to the company rose from 19 per cent to 43 per cent.

Its total processing value (TPV) in Q3 surged by 129 per cent year on year to 16 trillion rupiah, while 9M21 TPV grew by 179 per cent to 40 trillion rupiah.

Bukalapak said it will continue to focus on its strategy to deliver positive and sustainable growth while managing its operational expenses.

Its 9M21 operating expense ratio to TPV came in at 2.7 per cent, compared to 3.9 per cent in the year-ago period.

Operating expenses in Q3 increased by 27 per cent year on year, while 9M21 operating expenses ticked up only 4 per cent as the company continued to launch new initiatives, it said.

Bukalapak went public in August after raising US$1.5 billion in Indonesia's biggest initial public offering.