The continued performance improvement of PT Kimia Farma Tbk (KAEF) has become more visible. The company’s ongoing efforts in fundamental improvement and efficiency have shown clear results. The efficiency programs carried out by Kimia Farma have significantly reduced operating expenses and the cost of goods sold (COGS) in the third quarter of 2025 compared with the same period in 2024.

Based on the company’s third-quarter 2025 financial report, Kimia Farma recorded a 9.3% decrease in operating expenses to Rp2.4 trillion, compared with Rp2.6 trillion in the same period last year. The company also reported a 4.9% decline in COGS, resulting in a higher gross margin of 34.9%, compared with 29.9% in the third quarter of 2024.

Operational Efficiency Improves Financial Performance

As a result, Kimia Farma managed to reduce its losses by 57%, from Rp550.8 billion in the third quarter of 2024 to Rp234.1 billion in the third quarter of 2025. This achievement indicates that the company’s improvement measures are running effectively.

CEO Notes Positive Impact from Digitalization and Streamlined Operations

Kimia Farma President Director Djagad Prakasa Dwialam said that the company’s strategy to reduce the number of SKUs, increase sales of high-margin products, optimize operating expenses, and implement digitalization programs has produced positive results.

Expansion of Stem Cell Therapy Services Across Indonesia

Kimia Farma continues to strengthen its position as a pioneer in stem cell (cellular) therapy and its derivatives. The company, together with RSUPN Dr. Cipto Mangunkusumo, is actively developing stem cell therapy services across regions. Currently, cooperation has been expanded with three hospitals on the islands of Java and Sumatra — RSUP Dr. Kariadi Semarang, RSUP Dr. Hasan Sadikin Bandung, and RSUD Siti Fatimah Palembang.

The expansion aims to make healthcare services more accessible and accelerate the equal distribution of regenerative health access in Indonesia.

Continuous Innovation and Retail Network Development

In addition to efficiency, the company continues to promote sales growth through innovative healthcare services, broader service reach, and improved service quality across its Kimia Farma retail network, including pharmacies, clinics, and laboratories.

Kimia Farma believes that the ongoing business innovations will continue as part of the company’s strategy to become an excellent and competitive enterprise in facing future challenges.

PHOTO: KIMIA FARMA/BLOOMBERGTECHNOZ

This article was created with AI assistance.