GoTo Transaction Value Increased in Q3 2022: Here's the Biggest Contributor

GoTo Gojek Tokopedia Tbk (GOTO) reported a total gross transaction value (GTV) of Rp161 trillion (approximately US$10.7 billion) in Q3 2022, a 33% year-on-year (YoY) increase.

GoTo Group's Chief Financial Officer, Jacky Lo, stated that the company implemented various measures to enhance operational efficiency and accelerate the achievement of growth and profitability targets. "As a result, the company has recorded consistent growth," Jacky said in a press release on Monday, November 21, 2022.

The fintech sector contributed the most to the GTV, reaching Rp97.1 trillion. This figure represents a 78% YoY growth from Rp54.7 trillion in Q3 of the previous year.

GoTo attributed the fintech business line's growth to the company's efforts in deepening GoPay's digital wallet penetration across its ecosystem and driving increased use cases.

"The number of users utilizing GoPay on the Gojek and Tokopedia platforms reached its highest point in Q3," GoTo management stated.

GoPay user penetration reached 60% on Gojek and 58% on Tokopedia, increasing by 5% and 6% quarter-on-quarter (QoQ), respectively.

GoPay's GTV per user also increased by 47% YoY, accompanied by a rise in consumer loan products. "Since the launch of the installment-based financing product, GoPayLater Cicil on Tokopedia, the company has whitelisted approximately four million consumers," GoTo stated.

Meanwhile, the GTV for e-commerce services increased by 15% YoY to Rp69.9 trillion, and the GTV for on-demand services grew by 24% YoY to Rp15.7 trillion.

Other segments had a GTV of Rp220 billion, while there was a reduction in GTV from intercompany eliminations amounting to Rp20.93 trillion.

Despite the increase in GTV, GoTo's net loss widened. The net loss from the beginning of the year to the end of Q3 2022 reached Rp20.91 trillion, a 70.65% increase compared to the same period last year.