<article>Indonesian e-commerce player Bukalapak swung to a net profit in 2022 helped by a strong first quarter, despite posting losses in all the subsequent quarters of the year.  </article>

Indonesian e-commerce player Bukalapak swung to a net profit in 2022 helped by a strong first quarter, despite posting losses in all the subsequent quarters of the year.  
Net profit in 2022 was also aided by finance gains, as well as the growth of its warung tech business Mitra Bukalapak, the IDX-listed company said in a statement on Tuesday.
For the year ended Dec. 31, 2022, the company booked a net profit of 1.97 trillion rupiah ($130 million), compared with a net loss of 1.67 trillion rupiah in the previous year. Bukalapak&#8217;s annual revenue grew 94% to 3.61 trillion rupiah, of which Mitra Bukalapak contributed 54% (1.97 trillion rupiah ). In 2021, the contribution of Mitra Bukalapak&#8217;s revenue was 44%.
Besides revenue from operating income, Bukalapak also earned a revenue of about 541 billion rupiah from finance income, which includes interest from term deposits, bond coupons and others.
<figure id="attachment_336441" aria-describedby="caption-attachment-336441" style="width: 395px" class="wp-caption aligncenter"><img loading="lazy" decoding="async" class="wp-image-336441 size-full" src="https://media.dealstreetasia.com/uploads/2023/03/Profit-Bukalapak.png?resize=395,274" alt="" srcset="https://media.dealstreetasia.com/uploads/2023/03/Profit-Bukalapak.png?w=395 395w, https://media.dealstreetasia.com/uploads/2023/03/Profit-Bukalapak.png?resize=300,208 300w" sizes="(max-width: 395px) 100vw, 395px" data-recalc-dims="1" /><figcaption id="caption-attachment-336441" class="wp-caption-text">All figures in &#8216;000s. Source: Bukalapak</figcaption></figure>
However, for the fourth quarter of 2022 (Q4 2022), Bukalapak was in the red. Its losses widened to 1.64 trillion rupiah in the three months ended Dec. 31, 2022, compared with 548 billion rupiah in the year-ago quarter. Revenue grew 97% in Q4 to 1.02 trillion rupiah.
The net profit in 2022 was due to a strong Q1 when Bukalapak had booked a profit of 14.55 trillion rupiah, mostly thanks to the gains it incurred from <a href="https://www.dealstreetasia.com/stories/bukalapak-result-q1-290406">its investment in PT Allo Bank Tbk</a>. In Q2 and Q3 2022 losses stood at 6 trillion rupiah and 4.97 trillion rupiah respectively.
Bukalapak’s total processing value (TPV) in Q4 2022 was up 20% year-on-year (YoY) to 41.8 trillion rupiah. The company said 75% of its TPV came from outside the tier 1 regions of Indonesia, where it continues to see strong growth in all-commerce penetration and digitizing trends among offline micro-retail stores.
<figure id="attachment_336476" aria-describedby="caption-attachment-336476" style="width: 1523px" class="wp-caption aligncenter"><img loading="lazy" decoding="async" class="wp-image-336476 size-full" src="https://media.dealstreetasia.com/uploads/2023/03/Bukalapak-Q4.jpg?resize=640,290" alt="" srcset="https://media.dealstreetasia.com/uploads/2023/03/Bukalapak-Q4.jpg?w=1523 1523w, https://media.dealstreetasia.com/uploads/2023/03/Bukalapak-Q4.jpg?resize=300,136 300w, https://media.dealstreetasia.com/uploads/2023/03/Bukalapak-Q4.jpg?resize=1024,463 1024w, https://media.dealstreetasia.com/uploads/2023/03/Bukalapak-Q4.jpg?resize=768,347 768w" sizes="(max-width: 1523px) 100vw, 1523px" data-recalc-dims="1" /><figcaption id="caption-attachment-336476" class="wp-caption-text">Source: Company presentation</figcaption></figure>
The TPV of Mitra Bukalapak in Q4 surged 17% YoY to 19 trillion rupiah. For the full year, it stood at 73.6 trillion rupiah, up 31%.
<img loading="lazy" decoding="async" class="aligncenter wp-image-336475 size-full" src="https://media.dealstreetasia.com/uploads/2023/03/Mitra.jpg?resize=640,596" alt="" srcset="https://media.dealstreetasia.com/uploads/2023/03/Mitra.jpg?w=763 763w, https://media.dealstreetasia.com/uploads/2023/03/Mitra.jpg?resize=300,280 300w" sizes="(max-width: 763px) 100vw, 763px" data-recalc-dims="1" />
&#8220;Mitra’s growth was driven by an improvement in our product mix and a broader range of service offerings to Mitras. At the end of December 2022, the number of registered Mitras on Bukalapak&#8217;s platform was 16.1 million, compared with 11.8 million in end Dec. 2021,&#8221; the company said in a statement.
Bukalapak continues to focus on its strategy of delivering positive and sustainable profitable growth, while simultaneously managing expenses, it added. For the full year 2022, the ratio of general and administrative expenses (excluding stock-based compensation) to TPV stood at 0.9%, an improvement from 1.1% in 2021.
Bukalapak’s overall contribution margin, calculated as gross profit after sales and marketing costs, reached 31 billion rupiah in 2022, compared with a contribution margin loss of 212 billion rupiah in 2021. Its overall contribution margin in Q4 2022 improved to 74 billion rupiah, compared with a loss of 35 billion rupiah in Q4 2021.
The company had 20.3 trillion of cash and cash equivalents, which include government bonds and mutual funds, as of end-2022. 
Bukalapak aims to reach positive adjusted EBITDA in Q4 this year, it said. In Q4 2022, the company booked adjusted EBITDA losses of 235 billion rupiah, compared with 393 billion rupiah in the year-ago quarter. For full year 2022, adjusted EBITDA losses stood at 1.23 trillion rupiah, which is narrower than the 1.41 trillion booked in 2021. 
With the average quarterly interest income and improved quarterly EBITDA, Bukalapak estimates it has a cash runway of over 50 years. The company forecasts that revenue in 2023 is expected to reach 4.25-4.75 trillion rupiah, up 17-31% from 2022.
<h3 style="text-align: center;">Bukalapak&#8217;s guidance for 2023</h3>
<img loading="lazy" decoding="async" class="alignnone size-full wp-image-336442" src="https://media.dealstreetasia.com/uploads/2023/03/Bukalapak-2022.png?resize=640,261" alt="" srcset="https://media.dealstreetasia.com/uploads/2023/03/Bukalapak-2022.png?w=1226 1226w, https://media.dealstreetasia.com/uploads/2023/03/Bukalapak-2022.png?resize=300,122 300w, https://media.dealstreetasia.com/uploads/2023/03/Bukalapak-2022.png?resize=1024,418 1024w, https://media.dealstreetasia.com/uploads/2023/03/Bukalapak-2022.png?resize=768,313 768w" sizes="(max-width: 1226px) 100vw, 1226px" data-recalc-dims="1" />

The net profit in 2022 was due to a strong Q1 when Bukalapak had booked a profit of 14.55 trillion rupiah.

Bukalapak posts $130m profit in 2022, thanks to a strong first quarter

Bring stories like this into your inbox every day.

Sign up for our newsletter - The Daily Brief

Bukalapak posts $130m profit in 2022, thanks to a strong first quarter

Start your deal-making journey now!

Bring stories like this into your inbox every day.

Sign up for our newsletter - The Daily Brief