Krakatau Steel (KRAS) Posts Rp 5.68 Trillion Profit in 2025, Driven by Restructuring

PT Krakatau Steel (Persero) Tbk (KRAS) recorded a reversal in financial performance for the 2025 fiscal year. This state-owned flat steel producer booked a net profit of US$339.64 million, equivalent to approximately Rp 5.68 trillion, in line with the effectiveness of the company’s transformation strategy and strengthening of fundamentals. This achievement was supported by debt restructuring, operational strengthening, and support from stakeholders. Krakatau Steel President Director Akbar Djohan stated that the positive results were inseparable from government support through Danantara as well as the trust of creditors and business partners. “We are very grateful for this achievement as a form of mandate from stakeholders. Funding support and trust from Danantara have been the main drivers for us to continue improving,” Akbar said in a press release, quoted on Friday (3/4/2026). “This profit is an initial point that we approach with humility to continue ensuring the sustainability of the national steel industry,” he added. Krakatau Steel’s performance improvement is also reflected in a stronger balance sheet structure. The company recorded total assets of US$2.77 billion, equivalent to Rp 46.24 trillion. On the other hand, efforts to settle debt obligations have yielded results with a 17.04% reduction in total liabilities to US$2.04 billion or approximately Rp 34.11 trillion. This strengthening also drove a significant increase in the company’s equity. The value of Krakatau Steel’s equity surged more than twofold to US$725.51 million or approximately Rp 12.13 trillion. Akbar emphasised that this achievement serves as a guarantee of trust for shareholders and business partners. “We realise there are still many challenges ahead. Therefore, the company will continue to actively evaluate its portfolio and review collaborations that do not provide optimal value, in order to maintain the trust given by all stakeholders,” he said. Looking ahead, Krakatau Steel projects that the growth trend will continue through increased utilisation of production facilities and strengthening of domestic market share.