Kawasan Industri Jababeka Tbk PT : KIJA Announces Q1 2018

PT Jababeka Tbk ('KIJA') recorded a total revenue of Rp 493.3 billion for the first quarter of 2018, a decrease of 31% compared to the first quarter of 2017. The Company's Land Development & Property pillar saw revenue increase 7% to become Rp 207.7 billion in 1Q18, mainly because of a sevenfold increase in residential and commercial property sales from Cikarang, which amounted to Rp 105.0 billion in 1Q18.

Such increase more than offset a reduction in contribution from Kendal sales from Rp 95 billion in 1Q17 to become Rp 16 billion in 1Q18. The Infrastructure Pillar revenue decreased 47% to become Rp 258.7 billion, which was mainly caused by the Reserve Shutdown status of Bekasi Power's (BP) power plant that caused a decrease in sales to PLN. KIJA's Leisure & Hospitality pillar posted a 1% decrease in revenue to become Rp 26.9 billion in the first quarter of 2018.

Recurring revenue from the Infrastructure pillar contributed 52% to total revenue in the first quarter of 2018, compared with 69% in 1Q17 and 59% of FY17 - lower in 1Q18 mainly on the back of the power plant's reserve shutdown since the beginning of 2018.

Despite the reduction in total revenue, the Company's gross profit increased by 16% to become Rp 287.0 billion in 1Q18. At the same time, KIJA's consolidated gross profit margin for the first quarter of 2018 was recorded at 58, compared to 35% in 2017. The higher gross profit and significantly higher gross profit margin are both the result of product mix within the Land Development & Property pillar (more contribution from higher margin property sales) and the improved gross profit margin of the Infrastructure pillar, which was mainly caused by the significantly higher margin of the power segment, as PLN does compensate BP for maintaining availability and such compensation allows BP to maintain its gross profit in absolute amount during the reserve shutdown.

KIJA's net income in the first quarter of 2018 amounted to Rp 15.8 billion compared to Rp 66.8 billion for the same period in 2017. The main reason for this decrease is caused by the impact of foreign exchange (forex) movements. In 1Q17 KIJA recorded a forex gain of Rp 22.2 billion compared to forex loss of Rp 69.8 billion in 1Q18. These amounts are the sum of financial forex gains/losses and gains on our hedging contracts, as well as operating forex gains and losses, which can be found in the financial income/expense section and other income/expense of our 1Q18 financial report. Excluding the impact of forex gains and losses KIJA's bottomline would have increased from Rp 44.7 billion in 1Q17 to Rp 85.7 billion in 1Q18.

For more information, please contact:

Corporate Secretary
Muljadi Suganda
E: muljadi@jababeka.com P: 572 7337 ext 678

Investor Relations
Tim Beekelaar
E: tim_beekelaar@jababeka.com P: 572 7337 ext 565

P.S. Please access our Q1 2018 financial statement sat IDXnet by accessing the following link:
http://www.idx.co.id/StaticData/NewsAndAnnouncement/ANNOUNCEMENTSTOCK/Fr... 0151902-11034-0/Lap.Keuangan%20Konsolidasian%20KIJ%20&%20Entitas%20Anak%20-%20Q1-2018.pdf
or via http://www.idx.co.id/en-us/home/listedcompanies/announcement.aspx and search for KIJA.