GoTo Gojek Tokopedia reported its 2022 results on Monday. Here’s what we watched:
NET PROFIT: The Indonesian tech giant said that its full-year net loss widened to 40.4 trillion Indonesian rupiah ($2.63 billion), partially due to a one-off goodwill impairment of IDR11 trillion associated with the combination of Gojek and Tokopedia. This was worse than the median estimate from a FactSet poll of analysts, which tipped a net loss of IDR26.610 trillion.
REVENUE: GoTo’s full-year 2022 net revenue rose to IDR11.3 trillion, compared with IDR5.3 trillion the year before. This was slightly lower than a FactSet median estimate of IDR11.511 trillion.
WHAT WE WATCHED:
–COST CUTS: The Indonesian tech giant reiterated its target to turn adjusted Ebitda positive by the fourth quarter of 2023. In a release, Chief Financial Officer Jacky Lo said GoTo will continue to manage costs by “embedding structural efficiencies throughout the company.” The company recently announced it will lay off around 600 staff as part of its ongoing effort to reduce costs.
–TAKE RATES: GoTo’s take rates–a fee charged by a marketplace for transactions–will likely improve further in the first quarter of this year, says Citi analyst Ferry Wong in a note. The technology company said in a release that it had reduced incentives for users per transaction, which has already led to an improvement in e-commerce and on-demand service take rates in the fourth quarter of 2022.