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Bloomberg
Indonesian companies are warning investors to brace for yet another quarter of missed earnings as they continue to reel from the economic impact of the biggest outbreak of the coronavirus in Southeast Asia.
The pandemic has hurt sales, from cars and luxury condos, in Southeast Asia’s largest economy after social distancing measures were introduced in March to contain the virus. Companies are now warning of a plunge in profit and revenue between 25% and 75% in the first half after more than 600 firms making up the Jakarta Composite Index of stocks saw earnings tumble 42% in the first quarter, the worst since the final quarter of 2018.
Conglomerate PT Astra International and state miner PT Aneka Tambang said the mobility restrictions hurt their operations, while cigarette maker PT Gudang Garam suffered lower sales as purchasing power dropped. Indonesia now has the most Covid-19 cases and fatalities in Southeast Asia, prompting the government to form a special panel to lead efforts to contain the outbreak.