First Semester 2017, Waskita Karya's Profits Soar 55 Percent

In PT Waskita Karya Tbk's first-half 2017 financial report, the company's net profit soared by 118.66 percent to Rp 1.28 trillion compared to the first half of 2016. This figure is the highest compared to the first-half profits of previous years. Meanwhile, for the full year, this state-owned enterprise (SOE)'s profit is predicted to reach Rp 3.5 trillion (consolidated) or nearly double the 2016 profit of Rp 1.8 trillion.

The surge in government infrastructure projects has fueled continuous revenue growth for the state-owned enterprise (SOE). In the first half of this year, revenue for this issuer with the trading code WSKT grew by 48 percent to Rp 15.55 trillion in the first half of 2017 compared to the first half of 2016, which was Rp 8.01 trillion.

WSKT's share price closed at Rp 2,640 per share in the first trading session on Monday (July 17th), up Rp 40 per share (1.8 percent) from the previous weekend's closing price. From a technical perspective, Waskita Karya's share price is not yet too expensive and still has the potential to rise, supported by its positive financial performance. The 14-day Relative Strength Index (RSI) indicates that the SOE's stock index is at 48.53 on a scale of 0-100, well below the oversold level of 70. Meanwhile, the level of 30 indicates overbought conditions.