Intiland Development posted IDR142 billion in net profit

INDUSTRY.co.id - Jakarta - Property developer PT Intiland Development Tbk posted a net profit of Rp142 billion in the first half of 2018, down 39.2 percent compared to the same period in the previous year of Rp234 billion.

"The decline in profit performance was mainly due to an increase in operating costs and interest expenses," said Director of Intiland's Capital and Investment Management, Archied Noto Pradono in an official statement in Jakarta on Tuesday (08/14/2018)

Considering the results of the achievement, he continued, the company remains optimistic that it can maintain growth performance until the end of this year.

"In terms of business revenue, several 'mixed-use & high-rise' development projects will be completed this year so that the sales proceeds can be recorded as business income," he explained.

Meanwhile, it was noted that the company's operating income in the first half of 2018 amounted to Rp1.8 trillion, up 34.9 percent compared to the same period of the previous year of Rp1.3 trillion.

Archied Noto Pradono said that the business income was supported by the increasing recognition of income from the segment of housing development and the sale of non-core land.

"Challenges in the property industry are still quite heavy. Although the government has issued a number of sectoral growth stimuli, the market and consumers still tend to take a 'wait and see' attitude to anticipate the development and impact of the democratic party that will be held until next year," he said.

However, he continued, the company remains optimistic that there will be improvement in the property market conditions in the second half of this year, although the growth rate may not be too high.

"The company is optimistic that the condition of the national property market will move better in the future. The company believes that the level of public demand for property products is still high, thus becoming an indicator of the prospects of the property industry in the future," he said.