Jakarta – State-owned fertilizer producer PT Pupuk Indonesia (Persero) recorded a 253% surge in net profit in the first half of 2026, giving the company the second-highest profit growth among Indonesia’s state-owned enterprises (SOEs) during the six-month period.
Pupuk Indonesia posted net profit of Rp8.51 trillion from January to June 2026. PT Semen Indonesia ranked first, with net profit growth of 408.9%.
President Prabowo Subianto highlighted the performance of both companies during the Annual Session of the People’s Consultative Assembly (MPR) and the Joint Session of the House of Representatives (DPR) and Regional Representatives Council (DPD) on August 14, 2026.
“In the first six months of 2026, PT Semen Indonesia’s net profit rose 408.9%, 400%. PT Pupuk Indonesia’s net profit rose 252.8%,” Prabowo said.
Other state-owned companies also recorded significant profit growth, although below Pupuk Indonesia’s level. Pertamina’s profit increased 86%, followed by Pegadaian at 84.4%, Pelindo at 60.4%, and PTPN at 54.4%.
Pupuk Indonesia’s stronger performance was also reflected in its revenue, which reached Rp59.67 trillion, up 51% from the same period a year earlier. Meanwhile, earnings before interest, taxes, depreciation and amortization (EBITDA) rose 140% to Rp14.28 trillion.
The increase in profit is particularly notable because the government cut the price of subsidized fertilizer by 20%. At the same time, the government increased fertilizer availability for farmers.
The government has described the policy as part of efforts to strengthen national food security. Prabowo said Pupuk Indonesia’s higher profitability showed that greater efficiency could go hand in hand with lower fertilizer prices for farmers.
The company attributed the improvement in performance partly to the implementation of operational excellence and cost leadership. Pupuk Indonesia has also been carrying out business and governance transformation under the supervision of Danantara Indonesia.
With annual fertilizer production capacity of 14.8 million tons, Pupuk Indonesia is targeting urea production of 7.8 million tons in 2026. The company has also exported 47,250 tons of urea to Australia.
The results place Pupuk Indonesia among the best-performing SOEs in terms of profit growth in the first half of 2026, amid ongoing efforts to improve efficiency, expand production and strengthen the company’s overall business performance.
