Message From Chairman

On behalf of the Board of Commissioners, allow me to begin this message by offering

my highest appreciation to the country of Indonesia and every colleague and partner I worked closely with in 2019. I personally believe that none of our achievement would have been successfully accomplished without the support of this great country that is full of abundant resources and opportunities.

As the founder of Saratoga, I have seen the Company transforms into one of the most active investment companies in Indonesia. What we have achieved today is a great demonstration of over two decades of resourcefulness and resilience and I am extremely proud of the performance of every single colleague who has helped shape Saratoga to what it has become today.

Economy Context

2019 recorded the weakest pace of the global growth since the financial crisis even though global stock market performance has mostly been resilient everywhere. Among advanced economies, the weakening of the growth has been broad based, affecting major economies and smaller Asian advanced economies. This condition was mainly driven by weaker global trade, owing to the trade war between the United States and China and other headwinds.

Indonesia managed to maintain its political stability after presidential and legislative election. However, heightened global uncertainty has led to a lower Gross Domestic Product (GDP) growth at 5.02% in 2019, which was the weakest since 2015. Nonetheless, this result was better than expected amid the global economic slowdown. The country’s growth was buoyed by relatively strong household spending throughout 2019.

Overview of Saratoga’s Performance in 2019

Amid macroeconomic uncertainty, we appreciate the Board of Directors for a job well done through hard work and dedication that have brought outstanding results.

The following points are the highlights of Saratoga’s performance in 2019:

  • Net profit of IDR 7,371 billion in 2019, a turnaround from net loss of IDR 6,195 billion in the prior year. This was mostly contributed by the share price rally of PT Tower Bersama Infrastructure Tbk (TBIG),PT Adaro Energy Tbk (ADRO) and PT Merdeka Cooper Gold Tbk (MDKA).
  • All-time high dividend income of IDR 1,993 billion ever since the Company’s Initial Public Offering (IPO) in 2013.
  • Additional investment in MPMX, making Saratoga the majority shareholder with 52% ownership.
  • Additional investment in technology-driven start-ups in various business areas through our trusted partners.

During the year, we endeavored to add more value to our existing investment portfolio. The details of our portfolio performance will be elaborated in the statement of the Board of Directors.

Consistent Implementation of Corporate Governance

We are committed to consistently implement Good Corporate Governance and constantly keep abreast of best corporate governance practices. We believe that a well-planned, structured and sustainable GCG implementation is the cornerstone of public listed entities such as Saratoga. We welcome Mr. Aria Kanaka, Mr. Surya Wijaya and Mr. Anangga W. Roosdiono as members to Audit Committee. We believe the committee will enhance GCG within the Company.

As Board of Commissioners, our role is to provide sound advice to the Board of Directors regularly at the joint meeting, which is held at least once every four months as required by OJK. During 2019, we held 6 joint meetings for various discussions, with a strong focus on improving the quality of our investment portfolio.

We also reviewed the performance of the Audit Committee and Nomination and Remuneration Committee. We are satisfied that both Committees have exercised their responsibilities fully during the year and have meaningfully contributed to Saratoga’s accomplishments.

Our People

Our people are the most important assets of the Company. We value their contribution not merely as employees, but also as partners who need to be nurtured. Technology has changed how companies and its employees function. With technologies evolving every day, we realize that the fast-paced, ever-changing digital world impacts our people and workplaces — not only today, but in the future. For that reason, we constantly equip our people with new skills that will increase their competitiveness and professional value.

Our Perspective on the Business Outlook

According to IMF, the global growth is expected to decline to minus 3.0% in 2020 and pick up to 5.8% in 2021, meanwhile the economic expansion in ASEAN-5 countries is forecasted to grow minus 0.6% in 2020 and 7.8% in 2021.

We remain conservative and cautious regarding business outlook of 2020 due to prolonged global uncertainty of trade war, post-Brexit negotiations, US president elections, not to mention the recent coronavirus crisis as well. The virus outbreak has mostly so far affected the Indonesia’s GDP growth through tourism, trade and investment, allowing Bank Indonesia to revise GDP growth forecasts to 4.2%-4.6% from 5.0%-5.4%. The central bank also trimmed the lending and the deposit facility rates by 25bps to 5.25% and 3.75%, respectively.

Given the uncertainty, we suggest the Board of Directors to remain prudent in managing the Company. Yet, we are still optimistic that the Company will achieve our targets in 2020.


We would like to close our statement by taking this opportunity to express our gratitude to shareholders for the continued confidence they have demonstrated in our abilities. We would also like to address our appreciation to the Management and our dedicated team of employees for their hard work and perseverance, which have made all our achievements possible.

We firmly believe that, with more than 20 years of experience, Saratoga will continue to support the country and government policies and be able to capture the opportunities in the future.

For and on behalf of the Board of Commissioners,


President Commissioner