PT Bakrie & Brothers Tbk (BNBR) managed to achieve a net income of Rp3.62 trillion throughout the year 2022. Year-on-year (yoy), this number grew by 52.16% compared to the previous year, which was recorded as Rp2.38 trillion. The company also recorded a business profit of Rp231.9 billion, or an increase of Rp211.2 billion (1,010.5%) compared to 2021, which is Rp20.7 billion. The good news was revealed in the company’s financial report for the 2022 financial year that was published on Friday, March 3, 2023.

“This positive performance is the result of a number of strategic projects that we run together with our business units. The manufacturing sector is one of the main contributors, apart from the automotive sector which includes revenue from the sale of electric buses by VKTR,” said President Director and CEO of PT Bakrie & Brothers Tbk, Anindya Novyan Bakrie.

The increase in net income of Rp. 1.24 trillion is mostly derived from the improvement of business performance throughout the year 2022. In the automotive sector, the new business unit of PT VKTR Teknologi Mobilitas (VKTR) which deals in the electrification industry is able to achieve revenue of Rp. 147 billion, while another unit, PT Bakrie Autoparts (BA) booked Rp. 154 billion, PT Braja Mukti Cakra (BMC) was Rp. 151 billion and PT Bina Usaha Mandiri Mizusawa (BUMM) was Rp. 20 billion. “The field of steel pipe manufacturing is the main contributor to our revenue increase this year, namely from PT Bakrie Pipe Industries (BPI) Rp. 994 billion, and PT South East Asia Pipe Industries (SEAPI) Rp. 76 billion,” said Finance Director, Roy Hendrajanto M. Sakti explained.

In the future, this positive performance will continue to be improved considering that the company is currently seriously working on a number of projects, among others the electric bus and electric motorcycle project that was specially developed by PT VKTR Teknologi Mobilitas, the new and renewable energy project (EBT) that was carried out by PT Helio Synar, and the development of 3-dimensional printing construction technology industry by PT Modula Tiga Dimensi.

New Business

At the beginning of 2023, the Company through PT VKTR Teknologi Mobilitas (VKTR) will continue to expand its product range, apart from the electric bus commercial vehicle that was launched last year. In addition, together with PT Transportasi Jakarta (Transjakarta), VKTR will also launch 22 new electric buses after previously 30 units have been operating since the beginning of 2022.

In addition to developing buses and electric motorcycles, BNBR Group together with Envision Group and Glencore are also seriously continuing the plan to build cooperation in the field of environmentally friendly industry (net zero industrial park). Later, the parties together will explore the development of EBT projects, including the utilization of wind, solar, green ammonia and green hydrogen, as well as the series of downstream uses; as well as energy storage system development.

BNBR Group is also trying to build an integrated electrification of transportation, as well as an EV battery ecosystem in Indonesia. The network will consist of batteries for EV, EV-Bus, EV-Car, EV-Motorcycle, EV-Infrastructure, and battery recycling. BNBR also plans to build a complete battery supply chain capacity from upstream to downstream, which will be implemented by applying strict ESG protocols.

In the field of renewable energy, PT Helio Synar, a subsidiary of PT Bakrie Power, which is also under the umbrella of BNBR, is currently preparing to install solar panels at PT Braja Mukti Cakra (BMC) and PT Bakrie Pipe Industries (BPI). This solar panel installation project is BNBR’s commitment to continue the energy transition towards a green industry in the BNBR Group environment.

Meanwhile, through PT Modula Tiga Dimensi (Modula), the company invests in the subsector of 3-dimensional printing construction technology (3DCP), in partnership with COBOD International, which is known as one of the leading 3DCP industry players in the world and has disrupted the technology of the global construction industry. Modula is expected to be one of the pioneer companies providing this new technology, especially in the segment of the building and housing construction industry in the Indonesian market.

Business Units Performance

Several business units of BNBR managed to score good achievements. PT Bakrie Pipe Industries (BPI) for example, was able to record a revenue of Rp 2.06 trillion, or 93.1% increase compared to last year’s revenue of Rp 1.06 trillion. BPI’s income increased with the increase in demand from the general market amounting to Rp. 578.5 billion, from Rp. 706 billion last year to Rp. 1.28 trillion this year and also followed by an increase in orders from the oil and gas sector amounting to Rp. 415.5 billion (Rp. 361.5 billion in the previous year) to be Rp777 billion this year).

The income of PT Bakrie Autoparts (BA) Group increased by 38% from Rp. 679 billion in the previous year to Rp. 934.7 billion this year. This happened mainly because of the increase in sales volume. This increase comes from wholesale ATPM, especially Mitsubishi & Hino, as well as the spare parts market in connection with the 0% PPNBM policy stimulus until September 2022. The demand for casting products also increased due to the impact of demand for Euro-4 category products and export demand for one of Mitsubishi’s best selling products. namely MPV Xpander.