Hutama Karya Halts Asset Sales, Aims for Independence Without State Funding

JAKARTA – The strategy of “cleaning up” the balance sheet through asset disposal (asset recycling) appears to be increasingly abandoned by PT Hutama Karya (Persero). Facing a major transition towards integration under the Danantara Investment Management Agency (BPI), this state-owned construction company is choosing to bolster its operations on strategic national projects, particularly the Trans-Sumatra Toll Road (JTTS). Hutama Karya is repositioning itself from merely being an assigned contractor to a sustainable infrastructure developer that maintains cash flow independence. Through the preparation of the Company’s Long-Term Plan (RJPP) 2026–2030, Hutama Karya is updating its grand vision to “Leading Sustainable Construction and Infrastructure Development Company.” Acting EVP Corporate Secretary of Hutama Karya, Hamdani, explained that strengthening financial capacity is a priority to support the mission of completing the JTTS until it is fully connected from Lampung to Aceh. “Our vision now places greater emphasis on sustainability. We are completing the government’s mandate on toll roads that provide economic and social added value, while still maintaining corporate capabilities through independent financial capacity strengthening,” said Hamdani in response to Kompas.com on Thursday (2/4/2026). The decision to no longer aggressively sell assets is based on Hutama Karya’s current financial position, which is considered the most stable among other state-owned construction enterprises. In 2024, the company’s equity was recorded at Rp 138 trillion with total assets reaching Rp 190 trillion. These figures place Hutama Karya among the top 10 SOEs with the largest assets and equity in Indonesia. With increasingly healthy cash flow, Hutama Karya feels it has sufficient ammunition to continue construction of the remaining 1,618 kilometres without rushing to dispose of its productive assets for short-term liquidity. Integration into the Danantara ecosystem offers new hope for corporate governance. As the parent of all major SOEs, Danantara is expected to provide protection and strategic support so that Hutama Karya can transform into a world-class infrastructure operator. Furthermore, Hamdani stated that retaining productive assets will ensure long-term recurring income. “Like the Pekanbaru-Dumai Toll (Permai), which is one of the largest contributors with LHR above average. We will not let this go,” Hamdani asserted. Previously, Hutama Karya successfully sold two productive toll road assets, namely Medan-Binjai and Bakauheni-Terbanggi Besar, with a total value of Rp 20.5 trillion to the Indonesia Investment Authority (INA).