- Bukalapak’s revenue grew 23% in 2023, narrowly missing profitability.
- The company’s marketplace and O2O businesses were the main growth drivers.
- Bukalapak targets a 15-20% revenue increase and positive adjusted EBITDA for 2024.
Allo Bank investment hinders breakeven goal
Indonesian e-commerce giant Bukalapak reported a 23% revenue growth in 2023, narrowly missing its target to turn profitable due to investment losses from Allo Bank.
The company’s adjusted EBITDA for Q4 2023 stood at negative US$2.9 million, an 80% year-on-year improvement.
Bukalapak president Teddy Oetemo acknowledged the company’s record performance in 2023, attributing the missed milestone to the declining share price of Allo Bank.
Marketplace and O2O businesses shine
Despite the setback, Bukalapak’s main growth drivers continued to improve their revenue contribution.
The company’s marketplace business reported a 47% year-on-year increase in revenue to US$141.6 million in 2023, and its offline to online (O2O) business grew by 11% during the same period, reaching US$138.5 million.
Oetemo expressed confidence in delivering the company’s main goal of turning profitable on a quarterly basis, noting eight sequential quarters of adjusted EBITDA improvement.
2024 commitment to look forward
Bukalapak is targeting a 15% to 20% improvement in revenue for 2024, expecting adjusted EBITDA to reach over US$12.7 million for the year.
Oetomo emphasized the company’s commitment to maintaining “cost discipline” moving forward, which is evident in the recent shutdown of its buy now, pay later service, BukaCicilan, after nearly six years of offering the product.
To read the original article: https://www.techinasia.com/bukalapak-posts-revenue-growth-2023-nearly-hits-ebitda-breakeven
