Bukalapak Plans Layoffs Amidst Hundreds of Billions of Rupiah in Losses

PT Bukalapak.com Tbk (BUKA) reported a net loss attributable to the parent entity of Rp597.35 billion (approximately US$39.8 million based on current exchange rates) for the January-September 2024 period. This represents a 23% decrease year-on-year (YoY) compared to the Rp776.22 billion loss in the same period of the previous year.

Bukalapak's net revenue increased by 1.82% YoY to Rp3.4 trillion (approximately US$226.7 million) from January to September 2024. However, cost of goods sold rose by 12.27% YoY to Rp2.8 trillion (approximately US$186.7 million), while sales and marketing expenses decreased by 41.94% YoY to Rp252.43 billion (approximately US$16.8 million), and general and administrative expenses fell by 15.23% YoY to Rp868.02 billion (approximately US$57.9 million).

Overall, despite revenue growth, operational costs increased significantly.

"We have been focusing on operational optimization and maintaining financial discipline to address these challenges," Bukalapak management stated in a press release on Wednesday, October 30, 2024.

They plan to evaluate the prospects of several business segments and undertake restructuring.

"This restructuring will result in layoffs across various businesses and will be implemented over the next two quarters," they added.

Going forward, Bukalapak will focus on developing its core business segments: Bukalapak partners, gaming, investment, and several retail services.