PT GoTo Gojek Tokopedia Tbk, Indonesia's largest digital ecosystem, has released its financial results for the third quarter of 2024, showcasing impressive growth across its business segments. The core Gross Transaction Value (GTV) surged by 74% year-over-year, reaching Rp72.0 trillion, while the total GTV climbed 37% to Rp137.4 trillion. These figures highlight GoTo’s strategic focus on expanding its user base and enhancing service offerings.

The company reported a gross revenue of Rp4.7 trillion for Q3 2024, reflecting a 34% increase from the same period last year. This growth trajectory is underpinned by a significant rise in Monthly Transacting Users (MTUs), which grew by 21% year-over-year. Notably, GoTo achieved a record high adjusted EBITDA of Rp137 billion, a remarkable turnaround from a loss of Rp559 billion in the previous year. This achievement indicates that GoTo is on track to meet its goal of breakeven adjusted EBITDA for the full year.

Patrick Walujo, GoTo’s CEO, expressed optimism about the company’s performance, attributing it to the successful execution of their growth strategies. “All business lines are operating optimally as we accelerate our growth,” Walujo stated. The integrated ecosystem allows various segments to add value to each other, which is crucial for driving user engagement and profitability.

The Financial Technology (Fintech) segment of GoTo reported significant advancements, with core GTV reaching Rp64.6 trillion, a remarkable increase of 82% year-over-year. Adjusted EBITDA losses in this segment narrowed dramatically from Rp388 billion in Q3 2023 to Rp65 billion in the latest quarter. The growth in the Fintech unit was bolstered by a threefold increase in outstanding consumer loans, maintaining a stable Non-Performing Loan (NPL) ratio. This progress positions the Fintech segment for positive EBITDA in the next quarter, one year ahead of previous guidance.

On-Demand Services also demonstrated robust performance, with completed orders rising by 30% and GTV increasing by 25% to Rp16.3 trillion. Gross revenue from this segment climbed 22% year-over-year to Rp3.7 trillion, driven by enhanced service offerings and customer engagement strategies. Adjusted EBITDA for On-Demand Services improved significantly to Rp156 billion, marking four consecutive quarters of positive EBITDA.

As part of its financial discipline, GoTo has managed to reduce routine cash expenses by 3% year-over-year, reflecting a strategic focus on operational efficiency. The company’s reported corporate cash expenses also fell by 37%, enhancing overall profitability. As of September 30, 2024, GoTo maintained a solid cash position with Rp21 trillion (approximately US$1.39 billion) in cash and cash equivalents.

GoTo is also committed to environmental, social, and governance (ESG) principles, having implemented several initiatives aimed at promoting responsible financial practices. The company has made strides in improving its ESG ratings, placing it among the top performers globally.

Looking forward, GoTo aims to leverage its broad user demographic to further enhance growth in both the On-Demand services and fintech sectors. The management has set a target for breakeven adjusted EBITDA for the entire year of 2024, taking into account the current market conditions and potential challenges.