Highlights:
· 9M24 Sales were IDR 9.48 trillion
· Gross Margin for the period was 34.6%
· EBITDA was IDR 1,081 billion, and Net Income was IDR 622 billion
· Management maintains guidance of IDR 1.2 trillion EBITDA for FY24
Matahari ("Company"; stock code: "LPPF") today announced its financial performance for the first nine months of 2024, demonstrating progress on strategic initiatives and continued adaptation to Indonesia’s evolving market environment. Total sales for the period reached IDR 9.48 trillion, while the Company’s Gross Margin was relatively flat at 34.6%. EBITDA came in at IDR 1,081 billion, with Management reiterating its guidance for IDR 1.2 trillion by the end of the year.
The results reflect Matahari's focused approach on merchandising and branding initiatives to align with shifting consumer trends and its emphasis on streamlining operations. Strategic highlights include enhancements in merchandising, brand expansion, and store optimization. These initiatives are geared toward strengthening Matahari’s brand appeal across new customer segments while enhancing efficiency and long-term resilience.
|
Description (in billion IDR) |
9M 2024 |
9M 2023 |
Variance |
|
Gross Sales |
9,479 |
9,615 |
-1.4% |
|
Net Revenue |
4,917 |
4,980 |
-1.3% |
|
%Gross Margin |
34.6% |
34.9% |
|
|
EBITDA |
1,081 |
1,136 |
-4.8% |
|
Net Income |
622 |
631 |
-1.3% |
Advancing Merchandising and Brand Initiatives
Matahari continues to invest in its merchandising capabilities, bringing in fresh talent to fuel innovation and agility. The Company is optimizing space allocations, enhancing productivity for consignment vendors while creating more opportunities for private label offerings. The progress of the SUKO brand underscores this strategic direction, with plans underway to introduce another private label brand with different fashionability catering to modern and youthful consumers.
Extensive market research and engagement initiatives are guiding these efforts, with Matahari leveraging insights from key channels such as social media, key opinion leaders, and community events to position its brands with precision and appeal. This focus helps to drive awareness and a curated offering for shoppers.
Expanding and Enhancing the Shopping Experience
With an emphasis on strengthening its store network, Matahari is making selective adjustments to its store portfolio. This includes building on its pipeline of new stores while reducing the number of underperforming stores. Matahari is monitoring the performance of 20 watchlist stores and plans to close 13 stores this year. Additionally, renovation plans are on-going for strategic locations, and refined criteria for performance metrics.
Complementing the physical stores, the Company’s omni-channel strategy continues to progress, with over three-quarters of consignment vendors now onboarded via Matahari’s supplier portal, thus expanding the assortment available online. The Company is also extending its marketplace reach by opening official stores on additional leading e-commerce platforms. Matahari’s Shop & Talk platform is also undergoing upgrades to further enrich the online experience.
Looking Ahead
“We are committed to evolving with our customers and the broader retail landscape,” said Monish Mansukhani, CEO of Matahari. “By focusing on innovation in our offerings and store experiences, we aim to strengthen our market position and continue to build long-lasting connections with our diverse customer base.”
