Bumi Serpong Damai (BSDE) Prepares Capex Up to IDR 4 Trillion in 2024

February 01, 2024, 08.55 PM  | Reporter: Amalia Nur Fitri
Bumi Serpong Damai (BSDE) Prepares Capex Up to IDR 4 Trillion in 2024

ILUSTRASI. Residential housing is under construction in PT Bumi Serpong Damai's BSD City development in Tangerang, Indonesia, on Wednesday, Sept. 16, 2009. Shares in Bumi Serpong, an Indonesian property developer, has risen more than 600 percent this year. Photographer: Dimas Ardian/Bloomberg

ISSUER NEWS - SERPONG. Property issuer PT Bumi Serpong Damai Tbk (BSDE) is preparing a capital expenditure of IDR 3 trillion to IDR 4 trillion for 2024.

BSDE Director Hermawan Wijaya stated that this capex will be allocated to three categories: infrastructure in the area, land acquisition, and property investment.

"Usually every year we budget around IDR 3 to IDR 4 trillion. The source of funding is still from internal funding," Hermawan explained during the Property Outlook 2024 event titled Potential and Strategy to Achieve Property Growth Stability in 2024 at the BSD City Marketing Office, Serpong, Thursday (1/2).

As of September 2023, the Company has absorbed capex below IDR 3 trillion. It is confirmed that by the end of 2023, BSDE has fully absorbed IDR 3 trillion in capex.

Furthermore, Hermawan mentioned that this year the Value Added Tax (VAT) incentive program borne by the Government (DTP) will still be a catalyst that increases sales in the landed house segment.



However, Hermawan stated that the sales effect is not significant yet because it has only been going on for a few months. They admitted to only launching the sales program in January 2024.

"January just started, entering February is not too significant but later we will combine with other sales programs at the end of February. So, we will combine what benefits will be received by buyers both from our side, the Government, and the bank," he said.

In 2024, BSDE targets landed house sales at IDR 5.05 trillion, occupying a contribution portion of 53% of total sales. Every year, BSDE launches 6 to 8 new clusters in the BSD City area with a price range starting from IDR 1.6 billion to IDR 31 billion per unit.

Read Also: Stock Recommendations for ACES, BSDE, and MEDC for Tuesday (1/23)

BSDE targets IDR 5.28 trillion for projects in BSD City. Then, a target of IDR 3.28 trillion is aimed at the residential segment. 

The residential segment will continue the launch of clusters that are already running in Eonna, Enchante, Terravia, Hiera, The Zora, Nava Park, and other potential launches.

Meanwhile, commercial sales are expected to contribute about 31% of total revenue in 2024. 

Regarding marketing sales, BSDE is aiming for IDR 9.5 trillion. Hermawan explained this figure can be said to be conservative and minimize revisions. In 2023, it is projected that this Sinarmas Land manager will achieve IDR 9.5 trillion, exceeding the IDR 8.8 trillion target.

"It does fall flatter, but we are confident we can achieve higher than IDR 9.5 trillion. Even though there are elections, property sales are not too affected if we look at previous experience, but each buyer profile has its considerations. End users are least affected by the election," he explained.


Editor: Syamsul Azhar

Latest News