Bukalapak posts 29% increase in revenue, on track for profitability by year-end

Photo credit: Bukalapak

Bukalapak logged its seventh straight quarter of adjusted EBITDA improvements in Q3 2023, including a 29% year-over-year increase in revenue to 1.16 trillion rupiah (US$72.6 million).

With this, Bukalapak president Teddy Oetomo said the company is “on target” to hit profitability by the end of 2023 on an adjusted EBITDA basis. “Once that is achieved, we can focus on consistently growing profitability into 2024 and 2025.”

Unlike the same period last year, most of the company’s revenue came from its marketplace businesses, which grew 57% year on year. Revenue from Mitra Bukalapak, its online-to-offline segment, went up 16% in the quarter.

The adjusted EBITDA loss improved 71% year on year, exceeding the guidance Bukalapak had set when reporting its full-year 2022 results. This can be partly attributed to the 21% year-over-year reduction in general and administrative expenses Bukalapak registered in Q3 this year.

Its overall take rate rose to 2.82%, which the company attributed to better sourcing and supply chain operations.

Bukalapak’s contribution margin was US$11.4 million, soaring 492% year over year. Contribution margin from its online-to-offline unit turned positive for the first time in September 2023.

“The margin expansion story continues to play out and the business has good momentum as well as excellent future growth opportunities,” Oetomo said.

See also: Bukalapak’s president on its IPO’s ‘sheer luck’ and why he’s not worried over stock prices

Currency converted from Indonesian rupiah to US dollar: 1 US$ = 15,940.90 rupiah.