Warning Signs Behind FORE's 60% Profit Surge

Jakarta, CNBC Indonesia — PT Fore Kopi Indonesia Tbk (FORE) is beginning to show improved performance by recording a profit in early 2026. However, behind this growth, several financial indicators suggest that the company’s fundamental condition is not yet strong.

Based on the interim financial report as of 31 March 2026, Fore recorded a net profit of Rp9.43 billion, up around 60% from the same period last year at Rp5.88 billion.

This increase aligns with a surge in sales reaching Rp444.45 billion, from previously Rp291.68 billion.

Nevertheless, the company’s profit margin remains relatively thin. The net profit equates to a margin of 2.12% of total sales, not much different from the first three months of 2025 at 2.02%. This is due to high operational expenses of Rp257.41 billion, which nearly eroded the entire gross profit of Rp273.67 billion.

For comparison, Cisarua Mountain Dairy (CMRY) recorded a margin of around 19% in 2025. Meanwhile, Ultra Jaya Milk Industry & Trading Company (ULTJ) achieved 15%.

On the other hand, the cash flow report shows liquidity pressures. Cash and bank balances dropped significantly from Rp327.53 billion at the end of 2025 to Rp253.80 billion as of March 2026, a reduction of around Rp73.7 billion in three months.

This cash decline occurred amid ongoing aggressive expansion activities, including fixed asset spending of more than Rp54 billion and total investment cash flow of Rp60.3 billion.

Additionally, the company’s fixed costs, particularly from lease liabilities exceeding Rp220 billion, pose a significant challenge, especially if sales growth slows.

From the balance sheet perspective, Fore still records accumulated losses of Rp168.36 billion. This indicates that the current profits are not yet sufficient to cover the company’s historical losses.

In a written statement, FORE’s President Director Vico Lomar stated that the company is very careful in allocating capital. “Every new outlet we open is the result of thorough location selection and disciplined use of IPO funds, with a clear focus on creating sustainable returns for our shareholders,” he said.

Meanwhile, FORE listed on the Indonesia Stock Exchange (BEI) on 14 April 2025 at a price of 188. At the end of the morning session today, Monday (20/4/2026), FORE shares closed at 940, down 1.05% daily. However, over the past month, FORE shares have risen 74.07%.

Based on the Monthly Securities Holder Registration Report ending 31 March 2026, co-founder and managing partner of East Ventures, Willson Cuaca, is the ultimate beneficiary of FORE. He controls FORE through Fore Holdings Pte. Ltd. with a 78.92% ownership.