Business Wika targets Rp25 trillion in new company

JAKARTA. State-owned construction firm PT Wijaya Karya (Wika) expects contracts in engineering, procurement and construction (EPC) will increase to Rp 25 trillion (US$2.1 billion) this year, up 38 percent from Rp 18 trillion last year, thanks to new construction projects.

With the sharp increase in the new contracts, the company expects to become one of the largest construction company in Southeast Asia.

“Wika has the ambition to not only be a top player in the Indonesian EPC sector, but also in Southeast Asia,” said company’s president director Bintang Perbowo, as quoted by Kontan business daily, on Friday.

The new contracts include the construction of a Rp 573 billion fuel storage on Sambu Island and a Rp 445 billion gasoline storage in Tanjung Uban in Riau Islands province.

Wika also booked new contracts worth Rp 178 billion to build a new building for the Bandung Institute of Technology (ITB) and Rp 110.2 billion for the construction of new building of the Telkom University, also in Bandung.

With the new orders Wika expects revenues would increase by 23 percent to Rp 18.9 trillion. It also expected net profit of Rp 678 billion, up 18 percent from Rp 570 billion last year.