Waskita Karya revenue falls, losses widen despite higher contract wins

By Romel S. Gurky

State-owned construction and engineering company PT Waskita Karya (Persero) Tbk (IDX: WSKT) reported lower revenue and wider losses in 2025, even as it booked higher new contract values and continued efforts to restructure its finances.

The company posted consolidated revenue of Rp8.85 trillion in 2025, down from Rp10.71 trillion in 2024, according to its financial statement. Net losses widened to Rp4.48 trillion from Rp3.91 trillion a year earlier.

Despite the weaker top line, Waskita recorded a 12% increase in gross profit to Rp1.58 trillion, supported by efficiency measures across its projects. Gross margin improved to 18% from 13% in 2024.

Corporate Secretary Ermy Puspa Yunita said revenue was driven by ongoing projects, particularly in the connectivity segment, which contributed Rp3.3 trillion, followed by water resources at Rp1.4 trillion and buildings at Rp1.2 trillion.

Subsidiaries contributed Rp3.1 trillion to total revenue, while the parent company accounted for Rp5.75 trillion. Most income was derived from government-backed infrastructure projects, underscoring Waskita’s role in supporting state development programs.

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Cost of revenue stood at Rp7.2 trillion, equivalent to 82% of operating revenue, reflecting ongoing spending to complete legacy projects. The company aims to finish these projects by 2026.

Operating expenses reached Rp1.7 trillion, with around three-quarters comprising cash-based costs and the rest non-cash items such as depreciation and amortization.

As part of its restructuring, Waskita reduced liabilities by Rp2.21 trillion during the year and continued to pursue asset divestments to improve liquidity and refocus on its core contracting business.

In 2025, the company divested a 94.7% stake in PT Waskita Sangir Energi, followed by the sale of a 35% interest in PT Cimanggis Cibitung Tollways. It also divested a 20% stake in PT Waskita Modern Realty through its property subsidiary.

Waskita booked Rp12.52 trillion in new contract value in 2025, up from Rp9.55 trillion in the previous year. The contracts were largely government projects, including irrigation networks, schools and regional hospitals tied to priority development programs.

The company has also tightened its contract selection criteria, avoiding high-risk turnkey projects and requiring monthly payment terms to protect cash flow.

As of Dec. 31, 2025, Waskita managed 63 projects nationwide with a total contract value of Rp31.7 trillion.

Editing by Reiner Simanjuntak