Gudang Garam stock reports profit recovery despite lower sales

Published on 10/07/2026 at 06:38 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Gudang Garam stock was last at IDR 16,950 on October 7, 2026, after first-half profit reached IDR 2.97 trillion. Revenue fell 7.2 percent as sales volume declined.

Gudang Garam, ID1000068604, Illustration mit AI erstellt.

Gudang Garam stock (ISIN ID1000068604) was last at IDR 16,950 on the Indonesia Stock Exchange on October 7, 2026, down IDR 150 or 0.88 percent from the prior close. The latest operating picture is more positive than the share-price move: first-half 2026 net profit reached IDR 2.97 trillion, while revenue declined 7.2 percent.

Profit recovery meets weaker sales

According to Tempo on September 10, 2026, Gudang Garam generated IDR 41.177 trillion in revenue during January through June 2026, compared with IDR 44.369 trillion in the same period of 2025. Cigarette volume fell to 20.5 billion sticks from 23.7 billion, a decline of 13.6 percent.

The earnings mix was different. Gross profit increased 58 percent to IDR 5.98 trillion from IDR 3.78 trillion, lifting gross margin to 14.5 percent from 8.5 percent in the first half of 2025. The figures show that pricing and cost control, rather than higher volume, drove the recovery.

Costs are doing the heavy lifting

Tempo reported that cost of revenue fell 13.3 percent to IDR 35.19 trillion, while selling, general and administrative expenses dropped 33.8 percent to IDR 2.26 trillion in the first half of 2026. Interest expense also declined to IDR 5 billion from IDR 219 billion a year earlier.

That combination pushed net profit margin to 7.2 percent from 0.3 percent. Cash reached IDR 8.72 trillion on June 30, 2026, up 119.7 percent year over year, while total liabilities fell 26.4 percent to IDR 13.77 trillion, according to Tempo.

Volume remains the key test

Investor Daily reported on October 4, 2026, that Phintraco Sekuritas valued the stock at IDR 22,000 after first-half gross profit rose 58 percent and operating profit increased 659.6 percent to IDR 3.9 trillion. The same report identified illegal cigarette sales, weaker purchasing power and excise uncertainty as key risks.

For investors, the central question is whether higher selling prices and lower costs can offset the 13.6 percent volume decline. The October 7 quote stood between the 52-week low of IDR 11,200 and high of IDR 21,825, leaving the market focused on the durability of the margin recovery.

Gudang Garam stock stays below yearly high

Gudang Garam stock was last at IDR 16,950 on October 7, 2026, with 145,800 shares traded and a market capitalization of IDR 32.6 trillion. The 52-week range was IDR 11,200 to IDR 21,825.