Build and Serve for Indonesia
Dear Shareholders and Stakeholders,
Praise and gratitude to God Almighty for all His grace.
2022 was the start of a good year regarding the decline in Covid-19 cases, according to Covid-19 data from the Ministry of Health, which was also marked by the cessation of the implementation of Community Activity Restrictions as of May 2022, including the permit to move residents from one city to another and the easing of restrictions on community activities. travel regulations only by showing a vaccine certificate (without a PCR swab) but still complying with health protocols. The rate of decline in Covid-19 cases is marked by a positive rate that affects economic growth. The increase in economic growth from 2020 (the initial year of the pandemic) of 2.07% increased to 3.69% in 2021.
This condition is also an illustration of the property industry in 2022. Various analyzes predict that 2022 will be a momentum for the property industry's gradual recovery to show a positive trend of revival. This shows that there is quite good optimism, especially with the recovery that is starting to gradually occur. Although it will not return to the golden era in the 2011-2013 period, 2022 will be an important step for the property industry to be able to start a recovery step together with other industrial sectors. The rise of the property industry cannot be separated from the role of government support in the form of 50% VAT discount incentives, the FLPP program, easing property loans, and reducing PPh 22 & PPnBM taxes.
With the turn around strategy that has been initiated, in 2022 the Company projects to increase marketing and sales by around 30%-40% from the realization in 2021. This projection is certainly not easy, especially with a series of obstacles and challenges looming in 2021. However, Various studies and risk mapping have been carried out, which will ultimately place 2021 as an important evaluation for the Company's journey in 2022 and the years to come.
The shift in property trends and market needs, especially in the characteristics of the millennial generation, is one of the determinants of the continuity of the property business in Indonesia. Lifestyle changes due to the COVID-19 pandemic have caused changes in the tastes of the property and realty markets, such as the demand for landed houses that prioritize air circulation, as well as the implementation of strict Health Protocols (Prokes) in malls and hotels.
PT PP Properti Tbk is adaptive in developing Indonesia by adjusting to customer needs while still synergizing banking programs, state-owned enterprises and national private corporations. Focusing on millennials and digitalization, PT PP Properti Tbk is again developing landed houses, developing student apartments and hotels in Bandung, Depok, Semarang and Malang, as well as developing Mall & Edutainment in Bekasi and Surabaya. Currently PT PP Properti Tbk focuses on product development and service improvement for customer satisfaction. One of them, We have Kidzania in Surabaya as a means of playing and educating children and Landed House at Permata Puri Cibubur which will continue to be developed according to customer orientation.
Apart from focusing on business development, PT PP Properti Tbk is also consistent in achieving maximum growth with a commitment to realizing Good Corporate Governance and receiving the Award: Excellence Good Corporate Governance Implementation on Corporate Strategy for Innovative Business in the category: Property and Construction Industry by Media Warta Ekonomi and in reporting Sustainability Report, PT PP Properti Tbk is one of the companies that have made significant progress in Efforts to Reduce Carbon Emissions and received the “Corporate Emissions Transparency 2022 Award for Transparency in Emission Reduction in the Issuer Sector with the title GREEN and the Transparency Category in Emission Calculations in the Issuer Sector with the title “GOLD”.
The Board of Directors would like to thank all resident owners, all customers, tenants, hotel guests, mall visitors, consultants, contractors, suppliers, press media, business partners, as well as to shareholders and all stakeholders for the support given to PT PP Properti Tbk. We give our highest appreciation to employees who always work by upholding the values of AKHLAK (Amanah – Kompeten – Harmonis – Loyal – Adaptif – Kolaboratif) and always provide competencies that contribute to the success of PT PP Properti Tbk.
Thank you to the Board of Commissioners of PT PP Properti Tbk and the Parent Company, namely PT PP (Persero) Tbk for their supervision and direction.