PT Erajaya Swasembada Tbk (ERAA) managed to record an increase in net profit of 107.4% in 2020 to Rp612 billion compared to the realization in 2019 of Rp295.1 billion.

The increase in profit is in line with sales growth of 3.5% or Rp34.1 trillion.

Deputy President Director of Erajaya Swasembada Hasan Aula said various factors supported this growth, ranging from the high demand for smartphones, the Internet of Things (IoT), and its ecosystem during 2020, such as increased smartphone sales and the ecosystem, thanks to the company's retail footprint expansion. Erajaya Swasembada's total outlets have reached 1,053 stores, 88 distribution channels, and cooperation with more than 65,000 resellers.

"Meanwhile, from the online sector, the company is boosting sales by utilizing digital technology, such as the O2O initiative, mobile selling, EraExpress services, Click 'n Pick-Up and online promotion programs based on e-commerce platforms and official stores in the marketplace," he said in Jakarta, Thursday (8/4).

As for the limitation of social activities during the pandemic period, including the holding of Work From Home (WFH) and School From Home (SFH) activities, it is a blessing for the company, as reflected in the increasing demand for qualified and quality supporting devices.

Furthermore, the government policy regarding the IMEI regulation, which has been in effect since September 2020, has made the company's business map healthier. The government enforces IMEI registration to suppress the spread of Black Market gadgets, aka BM, which harm the state because it does not tax.

"With price stability due to the loss of BM goods on the market, small and medium entrepreneurs, such as dealers and retailers, in the company's network can run their business more calmly and stably. This policy has an impact on increasing the overall profit margin, "he explained.

In the future, the company is committed to developing a business outside of gadgets and boosting sales of Internet of Things products and its ecosystem by expanding to a new business vertical that can make a positive contribution to the company. One of them is establishing partnerships with leading brands such as Garmin, DJI, GoPro.