PT Kalbe Farma Tbk (KLBF) Q2 2025 earnings summary

Executive summary

• Net sales for the first half of 2025 grew 4.6% year-over-year to IDR 17.1 trillion, with net profit up 9.4% to IDR 2.0 trillion, driven by volume growth and improved gross margin.

• Basic earnings per share rose to Rp43.35 from Rp38.93 year-over-year.

• Gross profit margin improved to 41.1% from 39.6% year-over-year, reflecting stabilized raw material prices and favorable product mix.

• Strategic collaborations, investments, and acquisitions, including a JV with Livzon Pharma and the Alliance Pharma acquisition, support future growth and innovation.

• Total assets stood at Rp29.51 trillion as of June 30, 2025.

Financial highlights

• Operating profit increased 6.7% year-over-year to IDR 2.45 trillion, with EBIT margin rising to 14.3%.

• EBITDA margin for 1H25 was 14.4%, with healthy cash and net cash positions supporting operations.

• Cash and cash equivalents at period end were IDR 3.8 trillion, down from December 2024 due to higher working capital and investment outflows.

• Net cash from operating activities was Rp1.30 trillion, while net cash used in investing and financing activities were Rp1.62 billion and Rp2.21 trillion, respectively.

• Dividend payout ratio maintained at 52%, with interim dividend and share buyback executed.

Outlook and guidance

• Full-year 2025 guidance targets 6–8% sales and net profit growth, supported by continued investment in production, distribution, and innovation.

• Capex planned at IDR 1.0 trillion for capacity and network expansion.

• Management continues to monitor market and economic conditions, including foreign exchange and interest rate risks.

• The Group expects no material impact from the implementation of Pillar Two income tax rules but is still assessing future effects.

• Assumptions include a 16,100 USD/IDR exchange rate and 5% Indonesia GDP growth.