Hutama Karya beats Q1 profit target on cost discipline, toll road strength

By Romel S. Gurky

State-owned infrastructure firm PT Hutama Karya (Persero) reported stronger-than-expected earnings in the first quarter of 2026, supported by tight cost control and solid performance from its toll road operations segment.

The company posted a consolidated net profit of Rp464 billion in the January–March period, exceeding its corporate work plan and budget (RKAP) target by Rp269 billion, or reaching 172.49% of the target. The result also improved slightly from Rp448 billion recorded in the same period last year.

Hutama Karya said the performance highlights the effectiveness of its financial discipline strategy amid challenging global market conditions, including commodity price volatility, exchange rate fluctuations and slower global growth.

The toll road operation segment was the largest contributor, generating earnings after tax of Rp333 billion. Meanwhile, its subsidiary PT Hutama Karya Infrastruktur added Rp167 billion to overall profit.

Revenue in the first quarter reached Rp4.67 trillion, equivalent to 82.11% of the RKAP target. The company noted that it continues to prioritize selective project acquisition, focusing on strategically valuable contracts rather than volume-driven growth. Its order book stood at Rp36.37 trillion, largely dominated by government projects.

Read also : Hutama Karya begins operation of Palembang toll junction

From a balance sheet perspective, Hutama Karya maintained solid fundamentals. Total consolidated assets reached Rp189.84 trillion, while equity rose 2.31% year-on-year to Rp141.64 trillion. The company also reduced total debt by 15.34% compared to a year earlier, extending a downward trend in liabilities.

Progress on the Trans-Sumatra Toll Road (JTTS) project remained steady, with total operational and constructed length reaching 1,108 kilometers by the end of March 2026, including an additional 10.1 km during the quarter. Sections currently under construction include Betung–Jambi, Rengat–Pekanbaru and Palembang–Betung.

President Director Koentjoro said the company’s early-year performance demonstrates resilience in navigating global economic uncertainty. He emphasized that disciplined infrastructure management can provide stable returns despite external pressures.

To sustain momentum, Hutama Karya has outlined four key strategic priorities for 2026: strengthening cost control, optimizing energy use across operations, ensuring prudent and measured business decisions, and enhancing human resource capabilities to remain competitive among state-owned construction firms.

The company added that its strong first-quarter performance will serve as a foundation to further improve operational quality and governance, as it continues to deliver infrastructure projects and broader economic benefits.

Editing by Reiner Simanjuntak