PT GoTo Gojek Tokopedia 2Q26 Earnings Call Transcript

PT GoTo Gojek Tokopedia 2Q26 Earnings Call Transcript

Corporate Participants

Hans Patuwo PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Catherine Hindra Sutjahyo PT GoTo Gojek Tokopedia Tbk - Deputy CEO and Vice President Director

Simon Ho PT GoTo Gojek Tokopedia Tbk - Group CFO

Sudhanshu Raheja PT GoTo Gojek Tokopedia Tbk - Group COO

Joel Ellis PT GoTo Gojek Tokopedia Tbk - Head of Investor Relations

Conference Call Participants

Ari Jahja Macquarie

Ryan Winipta Indo Premier Sekuritas

Ferry Wong Citi

Ranjan Sharma JP Morgan

Jason Low Bloomberg

Sabrina Trimegah Sekuritas

Presentation

Joel Ellis

PT GoTo Gojek Tokopedia Tbk - Head of Investor Relations

Hello, everyone. This is Joel Ellis, Head of Investor Relations. Welcome to the PT GoTo Gojek

Tokopedia Tbk second quarter 2026 earnings conference. Please be advised that today’s conference is being recorded.

On today’s call, Hans Patuwo, our President Director and Group Chief Executive Officer; and

Simon Ho, Group Chief Financial Officer, will deliver prepared remarks. Following their commentary, we will open up the call for questions and be joined by Catherine Hindra

Sutjahyo, our Deputy Chief Executive Officer and Vice President Director; and Sudhanshu

Raheja, our Group Chief Operating Officer; along with members of GoTo’s Board of Directors.

We would like to highlight that the information presented today has been prepared solely based on unaudited, consolidated, selected financial information for the three-month period ended June 30, 2026.

As a reminder, today’s discussion may contain forward-looking statements about the

Company’s future business and financial performance, as well as certain non-Indonesian financial accounting standard measures as complements to the Indonesian Financial

Accounting Standard disclosures. Before using and/or relying on these measurements and forward-looking statements, please take note of our disclaimer and cautionary statements disclosed in our earnings presentation and press release.

During the earnings call, we will review the results of our operations and earnings presentation, which can be found on our website. Our reporting currency is the Indonesian

Rupiah, and we will denote the U.S. dollar equivalent by applying an exchange rate of 17,856

Rupiah to 1 US Dollar based on the middle rates published by Bank Indonesia as of the end of

June 2026. We will also refer to Adjusted Free Cash Flow, which is Adjusted Operating Cash

Flow minus capital expenditures.

For more information and additional disclosures on our recent business and financial performance, please refer to our earnings press release and supplemental presentation, which can be found on our IR website. With that, I will turn the call over to Hans.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Thank you, Joel. Hello everyone and thank you for joining us today. Q2 was a very eventful quarter and we look forward to unpacking it in today's call.

First, let me start with our bottom-line results. In the second quarter of 2026, GoTo delivered a net income of 252 billion Rupiah. This is our second consecutive quarter of net profit and up

47% quarter-on-quarter. Furthermore, Adjusted EBITDA more than doubled year-on-year, exceeding 1 trillion Rupiah for the first time. Both On-Demand and Fintech businesses are profitable, and for the first time, the Adjusted EBITDA of our Fintech segment exceeded that of On-Demand Services.

Moving on to top-line performance, we continue to grow at double digits across all top-line metrics. Annual transacting users reached 71 million, up 19% versus a year ago. Core GTV surged 83% to 164 trillion Rupiah, and net revenue rose 31% year-on-year to 5.7 trillion Rupiah.

Driven by this performance, we are keeping our full-year Group Adjusted EBITDA guidance unchanged at 3.2 to 3.4 trillion Rupiah. Within this outlook, we are increasing our Fintech guidance by 0.3 trillion to become 1.7 to 1.8 trillion Rupiah. At the same time, we are lowering our On-Demand Services guidance by an equivalent amount from 1.7 to 1.8 trillion Rupiah to become 1.4 to 1.5 trillion Rupiah. This reduction in our On-Demand Services guidance is driven by the newly introduced 8% commission cap.

Now, before I go into our business unit performance, I would like to address this commission change as well as our recent share price performance, which I'm sure is on everyone's minds.

Turning first to the 8% commission cap. Let us start by sharing the facts.

The commission cap was first announced by President Prabowo on May 1st. Subsequently, during a press conference on June 23rd, the Deputy Speakers of Indonesia's House of

Representatives, excuse me, stated that this 8% commission cap would apply to two-wheel passenger transportation services, and that it will go into effect on July 1st. One week later, the Minister of Transportation issued Ministerial Decree Number 532 of 2026. This decree, which regulates two-wheel passenger transportation service, serves as the legal basis for implementing the 8% commission cap on July 1st for our GoRide product, a product which contributes to roughly 7% of Group net revenue. Since then, we have smoothly completed implementation of the 8% commission structure and achieved full regulatory compliance while keeping consumer, driver, and transaction volumes stable and growing. This change, however, created an adverse Adjusted EBITDA impact of approximately 300 billion Rupiah, which then led us to reduce our full-year outlook for On-Demand Services by a matching amount. I want to share that we continue to engage constructively with various government and ministries to ensure that we collectively achieve an appropriate balance that protects driver partners, benefits consumers, and safeguards the long-term health of the ecosystem.

I will address our share price next, which has been at the 50 Rupiah floor for almost three months. To provide some context, 2026 has been challenging for the overall Indonesian equity market, which is down about 30% year-to-date. Going back on our Q1 results announcement on April 28, that featured our first-ever net profit and was positively received by the market and our share price saw encouraging gains in the days that followed. However, the subsequent declaration of the 8% commission cap on May 1st plays downward pressure on our stock, triggering a decline to its current position, at the 50 Rupiah floor. As management, we believe that this does not accurately reflect the true value of our company.

Although it is still early, the 8% commission cap has been enacted and our decision to uphold our Group earnings guidance underscores our ability to navigate this transition effectively. We anticipate that stakeholder confidence will strengthen as predictability returns and we remain fully committed to transparently communicating the outcomes of these strategic shifts.

Also, we requested and received shareholder approval for a new buyback program during

Annual General Meeting of Shareholders in June. Under this program, this company is authorized to repurchase shares up to a maximum of 3.5 trillion Rupiah between now and

June 2027. That being said, we are choosing to be prudent by avoiding a rushed implementation of these repurchases. We are carefully assessing the optimal timeframe for execution to guarantee that the buyback delivers the maximum amount of impact. In the immediate term, our plan is to cancel 32 billion units of treasury shares, which represents around 2.7% of all outstanding shares. This requires formal shareholder approval and we will go through the usual regulatory process. To conclude on this subject, I would like to iterate our commitment to discipline capital allocation, and that we are continuing to work toward solutions to the share price issue.

Now onto business unit performance, starting with On-Demand Services.

With the new 8% commission framework still taking shape for much of the second quarter, we chose to prioritize margin and bottom line over volume growth. This resulted in a record bottom-line performance. On-Demand Services margins improved from 2.0% a year ago to

2.8%. Specifically, for our Mobility business, margins expanded significantly to 5.0%, up from

3.0% a year ago, a direct result of prioritizing bottom-line amidst an uncertain quarter.

Deliveries margins also rose to 2.1% from 1.8% in the prior year.

Overall, On-Demand Services Adjusted EBITDA rose 41% year-on-year to 464 billion Rupiah, and net revenues also rose 20% year-on-year to 3.6 trillion Rupiah. The trade-off however was

Headline GTV which reached 16.7 trillion Rupiah, up 2% year-on-year. Now that there is greater clarity on the 8% commission cap, we are shifting our emphasis back towards growth which we manifest in the Q3 results.

We are also pleased to report that our mass-market segment strategy is beginning to yield positive results. In Deliveries, for instance, the number of transactions expanded by 8% year-on-year. This trend is driven by lower average order value orders typical of mass market transactions. Now, rather than relying on increased discounting, this performance is being driven by technology. For example, in our pilot city, pooling increased five-fold, albeit from a lower base, and driver trips per hour rose by 15%. We are currently expanding this model to additional cities and are encouraged by the initial outcomes. Concurrently, we remain committed to serving our affluent consumer base. GoFood Express maintains its strong growth trajectory with transactions and GTV increasing by 44% and 46% year-on-year respectively. And throughout all of On-Demand Services, the total number of our very high spending users grew 21% year-on-year.

Moving forward, we expect transaction volumes to continue to outpace GTV growth as our investments in product capabilities underpin our growth in the mass-market segment. We are glad to be seeing early results and observe the positive momentum from June extending into

July.

Turning now to Fintech, substantial growth was recorded across all performance metrics.

Adjusted EBITDA surged 447% year-on-year, hitting 481 billion Rupiah, as we continue to benefit from operating leverage. Net revenue expanded 53% year-on-year, exceeding 2 trillion Rupiah. Monthly Transacting Users expanded by 29% year-on-year, to 28.8 million.

Transactions climbed 91% year-on-year to 2.4 billion, demonstrating stronger user engagement, and core GTV reached 157 trillion Rupiah, reflecting also a 91% year-on-year increase.

In lending, our loan book expanded by 58% year-on-year, reaching 11 trillion Rupiah, while at the same time preserving the quality of our credit risk. Even so, we have opted for a prudent approach and have implemented preemptive measures to tighten our lowest quality risk cohorts. Our structural approach to lending remains unchanged. We lend almost exclusively to existing users in our ecosystem whom we can assess accurately, and the short tenor of our loans allow us to adjust quickly as conditions evolve.

To conclude, this was an eventful quarter, and as the new commission structure settles in, there may be more adjustments ahead. We do, however, have a clear plan. Both business segments are also growing profitably, and our core fundamentals continue to strengthen. If I may, conditions such as this build more disciplined companies and we fully intend to come through this period stronger.

Thank you so much. I will now hand it over to Simon.

Simon Ho

PT GoTo Gojek Tokopedia Tbk - Group CFO

Thank you, Hans. Moving on to our financial results. I will be focusing on year-on-year comparisons for the second quarter of 2026. We kept our momentum going in the second quarter, bringing in robust topline and profitability.

At a Group level, net revenue grew 31% to 5.7 trillion Rupiah or 317 million US Dollars, thanks to solid performance across each part of our business. Our cash recurring fixed costs grew

17%, a much lower pace than net revenue. By combining the solid revenue growth with better operating efficiency, our adjusted EBITDA jumped 137% to just over 1 trillion Rupiah or 57 million US Dollars. These operational gains flow through to our bottom line resulting in our second consecutive quarter of net profit at 252 billion Rupiah or 14 million US Dollars.

Now, let's look at how our specific segments performed.

In On-Demand Services, we delivered strong profitability gains. Net revenue for ODS increased 20% to 3.6 trillion Rupiah or $201 million US Dollars in the second quarter, driven by

20% growth across both the mobility and delivery segments. This growth was due to product mix changes and rationalization of incentives as we prepared for the implementation of the

8% commission rate. This resulted in the increase of ODS adjusted EBITDA by 41% to 464 billion Rupiah or 26 million US Dollars.

Moving to Fintech, the business had another great quarter. Net revenue rose 53% to 2.1 trillion

Rupiah or 116 million US Dollars. This was driven by strong user growth, rising payment transactions, and the continued growth of our loan book. As a result, Fintech adjusted EBITDA reached 481 billion Rupiah or 27 million US Dollars, an increase of more than five times. In

E-Commerce, the service fees from Tokopedia increased by 32% to 263 billion Rupiah or 15 million US Dollars.

To wrap up, our solid results this quarter reflect strong operational execution and financial discipline. We remain confident in our full-year outlook and our ability to deliver long-term value. With that, I will turn the call back to Joel.

Q&A Segment

Joel Ellis

PT GoTo Gojek Tokopedia Tbk - Head of Investor Relations

Thank you, Simon and Hans. We will now open up the call for questions. If you do wish to ask a question, please use the raise hand function on Zoom. We will then call upon you. First question is from Ari Jahja from Macquarie. Ari, please unmute yourself and go ahead.

Ari Jahja

Macquarie

All right. Thanks Joel for taking my questions and well done GoTo team for the strong result.

So I have three questions today. First, related to the 8% commission cap which has been in place for almost one month now. So beyond the two-wheeler business, do you expect four-wheeler to be impacted by this new regulation? And similarly, do you anticipate food delivery to be affected? And does your guidance include the four-wheeler and, food-wheeler uh, food delivery as well?

And then, the second question is that on the margins and unit economics, how do you see that coming along for the two-wheeler? And can you remind us how much the two-wheeler business has been contributing to the overall mix?

And third and last on net profit. So good to see the continued uptick there. How should we think about sustainability heading into the second half of the year? So I'll stop here. Thank you.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Hi Ari, thank you so much for your questions. Look, first, we are very glad that the implementation of 8% went very smoothly. Consumers, drivers, transaction numbers remain stable and in certain areas continue in fact continue to grow. So we are quite pleased and glad about the smooth implementation and transition.

Now regarding your question about regulations particularly on the four-wheel and food deliveries part, as of right now the presidential regulation is still being developed, and I think it's quite difficult for me to speculate on what will be in the final product. We are in discussions with various parties in government and various ministries and we certainly hope that it remains contained to the two-wheel transportation product. So, speaking on the basis of legality, as of today the transport ministry regulation applies only to two wheels transportation, right, and currently still excludes four wheels and and all deliveries.

Now, with regards to the question around margins. Look margins for our two wheel transportation go ride business has certainly deteriorated. These are still early days, right, unit economics is negative, and we are still waiting for the dust to settle, and we will be looking to make adjustments to improve unit economics over time. Now we have various levers to do that, for example around pricing and you know other components like platform fees and surge timings, etc.

So today, you know GoRide is about 7% of group net revenues, and I think for now the goal is to prioritize smooth transition, make sure that we are compliant to regulations, and now that, that has become a lot clearer, we will then move on to evaluating ways to improve the unit economics of our GoRide including evaluating cost-saving opportunities across ODS. Now I think the last question, maybe Simon, you can help with that.

Simon Ho

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Thanks, thanks Ari for the question. On your question about net profit sustainability, obviously,

I start off to say that we're really, really glad to have reported the second consecutive quarter of net profit ever in the history of the company. We'd like to believe that we can continue to be net profit positive for the rest of the year, but in reality, there are items in our P&L that are beyond management's control. For example, the performance of Tokipedia, which we own

25%. And you'll see in our financial statements, there's also foreign currency impacts and also performance of some of the equity investments in our investment portfolio.

I'd like to guide you to take a look at an alternative metric which is disclosed in our financial statement. This one's called operating profit. Operating profit excludes these impacts.

Obviously measures the operating performance from a pure GAAP accounting perspective.

On operating profit in the first half, we generated 782 billion positive operating profit and we do expect operating profit to stay positive in the second half of the year. I hope this gives some color to that outlook.

Ari Jahja

Macquarie

Got it. Thanks Hans and Simon for the color and all the best for the remainder of the year.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Thank you Ari.

Joel Ellis

PT GoTo Gojek Tokopedia Tbk - Head of Investor Relations

Thank you, Ari. Once again, if you do wish to ask a question, please use the raise hand function. Our next question will come from Ferry Wong at Citi. Ferry, please go ahead.

Ferry Wong

Citi

Yeah, hi, yeah. Congrats on your second quarter result. Yeah, I have two questions. First, this is with regards to your buyback program. You have the authorization of 3.5 trillion buyback programs but, you haven't seen, we haven't seen any execution on that front. Could you walk us through management’s current thinking and the timing in terms of execution? And secondly in terms of the trading liquidity in the market, are you thinking about doing some sort of corporate action i.e like doing a reverse stock split? Yeah maybe you can help to address that.

Second question, could you discuss how the current macroeconomic headwinds are affecting your Fintech asset quality? Are you seeing any sign of stress in your portfolio, maybe yeah between the cash loans and BNPL? Yeah. Thank you.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Thanks for your question Ferry. Maybe Simon, can you help us with this?

Simon Ho

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Yeah, thank you. Thanks, Ferry. On the share buyback, as Hans called out during his prepared remarks, we are overall taking a prudent approach at this point and don't want to be rushed into share repurchases given the volatility that we've seen out there.

I'd also call out the number of uncertainties that we do see on the horizon. Of course, the top of mind topic is the 8% commission rate. We just implemented this beginning this month, and we would like to give it some time to run in and stabilize, and despite obviously some clarity on the two-wheeler transportation front, we also need to be confident that this is indeed the full scope of 8%.

Now another uncertainty on our minds, of course, is the global macro outlook. Of course, the renewed uncertainty in the Middle East, global oil prices has started to become volatile again, and it's really unclear today how this will or when this will improve.

And when we take a look at the domestic economy in Indonesia, we have seen, obviously, some softening during the second quarter. And you'll see that over the past several months, consumer confidence has been declining. The retail sales index have started to contract on a year-on-year basis since April. Inflation is up. Interest rates have gone up about 100 basis points and energy and currencies are moving in an unfavorable direction. I think we need to be ready for a risk of further slowdown in the second half. And hence in the prepared remarks, you've heard about how we've taken a more prudent stance on consumer lending as well.

Now with all this in mind we do want to err on the side of prudence and ensure we have enough liquidity and flexibility in this environment. And as mentioned in the immediate term our plan is to cancel the 32 billion of treasury shares which amounts to about 2.7% of outstanding shares.

Now if we move on to the other part of your question you mentioned, about reverse stock split. We do recognize that this is one possible option. However, in Indonesia, this is not a straightforward regulatory process. There haven't, there have not been many precedents. In fact, over the past 15 years, there's only been a handful. And these are mostly smaller companies. And of course, the share prices for almost all of these precedents have performed very badly afterwards. As a result, the perception by the public here is quite negative on reverse stock splits. While we're not entirely dismissing this option, we are wary of this negative public perception, and it's also at a time when the market sentiment is very weak.

And as we know foreign investors have also been retreating. So I think overall we are still evaluating all our options on this topic.

Joel Ellis

PT GoTo Gojek Tokopedia Tbk - Head of Investor Relations

Thanks very much for your questions Ferry. We do appreciate it.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Sorry, there's one more question.

Simon Ho

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

About the Fintech asset quality. Yeah. So Ferry, let me just wrap up on this one as well. We have seen more recently some early signs of deterioration in the broader market, and this is consistent with the softer macro environment, and as we mentioned we moved early with proactive risk actions, and, as a result, you see that our overall delinquency rates and NPLs remain stable, similar to earlier quarters. This stability, I think, reflects some of the deliberate tightening that we've made, and that includes tightening underwriting for lower scoring cohorts. We've also become more selective in approvals and also in limit management as well. At the same time, to be a bit more conservative, we've also increased our provision coverage to build an additional buffer, which is also why you'll see that the cost of credit has also risen.

The fundamental setup of our loan book also acts as a built-in safeguard through, some of the, through the short tenors that we have, the small ticket sizes, and the rapid portfolio turnover in just a matter of months. And this gives us the flexibility to adjust to rapid shifting conditions if we need to. Just to reiterate, of course, we delivered a 58% loan book growth year-on-year, and alongside this, our credit quality metrics have remained stable, particularly amidst the softening environment, and this all shows that the model is working as designed.

Ferry Wong

Citi

Okay, thank you.

Joel Ellis

PT GoTo Gojek Tokopedia Tbk - Head of Investor Relations

Thanks so much for that, Ferry. We'll now take another question. Ryan Winipta from Indo

Premier. Please go ahead, Ryan.

Ryan Winipta

Indo Premier Sekuritas

Yeah, thanks Joel, Simon, and Hans for the opportunity. Congratulations on the strong second quarter result. I think I have two questions from my side. The first one, I think, is related to the

GTV growth. How do you expect the GTV growth in the upcoming quarters? And just wanted to ask how will you balance between the GTV growth along with the margins? And my second question is could you provide some color in regards to the competitive intensity as well as your market share within the ODS segment? Yeah, that's all from me. Thank you.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Thanks a lot, Ryan. Appreciate your question. Sudhanshu, can you help with this please?

Sudhanshu Raheja

PT GoTo Gojek Tokopedia Tbk - Group COO

Sure, sure Hans. Thanks for the question, Ryan. So your question is in two parts ya, about

GTV-margins and market share. Maybe let me start off with GTV first. Just to add some additional context, there are a lot of headwinds in Indonesia right now. Retail sales are down; inflation is slightly up. All of this has impacted the overall consumer demand to some extent, and we're hoping this improves in the coming quarters. In light of that, what we expect to happen in the coming quarters is.

If I talk about mobility first, the two changes that are happening, one, we are transitioning to the 8% commission structure for two wheelers. This impacts GTV growth due to changes in the pricing structure across the industry which might lead to some drop in GTV. Outside of it, however, we are expecting our commuter strategy to start driving growth in the underlying volume as orders continue to grow post the 8% change.

Coming over to deliveries, we are doing okay. We are continuing to scale up our mass market strategy as Hans talked about and we are expecting completed orders and GTV to continue growing in the coming quarters.

Now moving over to margins. For mobility, with the 8% cap coming in, it's only been a few weeks, we haven't gone through a full month, but we definitely expect margins to compress. I think that we would expect this change to give back much of the margin improvements that we built over the last year.

On deliveries, however, we are beginning to scale our mass market products. Now, while mass market products have lower margins, we expect to keep increasing both our orders and the absolute adjusted EBITDA that we are driving.

Next, coming on to competition. So the competitive intensity remains quite strong. There's active competition across price, service quality, and product experiences. If I think of market share, and I split this into two, we continue to be very strong in affluent users and higher-value use-cases, which also supports stronger margins. This can be seen through the 44% growth in

Food Express orders or the 20% growth in very high spending users in Gojek. Our mass market initiatives, however, is where we haven't fully scaled up, and there is significant room to grow. And as we mentioned earlier, this is exactly where we are focused. Most importantly, we want to scale these mass market initiatives to capture more market share in a disciplined way where we grow both the completed orders and the absolute EBITDA. Thank you.

Joel Ellis

PT GoTo Gojek Tokopedia Tbk - Head of Investor Relations

Thanks very much for that Ryan. Please if you do wish to ask a question please do use the raise hand function. We'll now go to Ranjan Sharma from JP Morgan. Ranjan, thanks for joining us and please do go ahead. Ranjan, you may unmute yourself and please do go ahead.

Ranjan Sharma

JP Morgan

Hi, can you hear me now? Hey, thank you and good evening. I have questions regarding the

Fintech business. With all that has been discussed around the macro environment, softness and spending, inflation. How should we think about the loan growth for the second half? We also noticed that despite the macro challenges that you've highlighted, the loan book actually, loan book growth actually picked up in the second quarter. It's up 20% or so quarter on quarter.

In the same vein, like how should we think about credit cost? We have seen a decline in credit cost in the second quarter versus the first quarter. How should we think about it in the coming quarters? Thank you.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Thanks a lot Ranjan for your question. Sudhanshu?

Sudhanshu Raheja

PT GoTo Gojek Tokopedia Tbk - Group COO

Sure, definitely. Thank you for the question Ranjan. Maybe let me talk about loan book growth first. So, our loan book grew roughly 58% year-on-year, and we reached about 11 trillion. And while we're here, I think we still have a lot of runway left. Our loan penetration is still mid-single digit on our ecosystem and our Fintech users are growing roughly 30% year-on-year.

However, as Simon and Hans mentioned earlier, there's been a lot of volatility globally as well as headwinds in Indonesia's economy. So, we continue to drive a more prudent approach.

Now, as we do that, we have always focused on giving loans to people within our ecosystem, who we understand very well. A lot of our users within the ecosystem give us very rich data.

For example, most users on the GoTo app on average do transact roughly 22 times a month.

All of this data gives us a lot more information to be able to decide who to give loans to. So even though we took proactive steps to make sure that we are more conservative, it still led to us, you know, finding enough users who we felt fairly confident giving out loans to. As a result we have seen loan book growth continue.

There was some deterioration in the market in late in the second quarter which led to these changes. However, in the future, what we expect to happen is we will continue being more conservative. But even with this cautious note, I expect the loan book, to be, to comfortably grow over 30 to 40% year-on-year. Which means the growth might slow down slightly, but we should be able to continue growing comfortably. If we don't see a change in the market, we will continue growing faster than the number that I'm suggesting.

Moving on to the second question about credit costs. So on credit cost, this time we changed we actually increased our LAR coverage. This was to make sure that if there is uncertainty in the market in the future, we are better covered. And we plan to keep the higher coverage on it in the coming quarters as well.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

If I may add, Ranjan, to your question, the way that we think about it is we are very vigilant on credit costs. We guard our cost of credit very, very carefully. So, I think moving forward we could expect that the credit cost will remain as-is or if macro conditions deteriorate perhaps there will be a slight deterioration on credit cost, but we're not expecting, we’re not going to give up on credit cost for the sake of growth.

So that's one way to think about it and within that requirement i.e. that credit cost is well under control, we will continue to grow lending right to the extent that is prudent. And the way to think about the future trajectory is penetration. Because today as Sudhanshu mentioned the penetration, the percentage of GoTo ecosystem users, who are lending customers, is still fairly small. And so as long as that is the case we can continue to grow lending, and at the same time the overall GoTo ecosystem is also increasing the number of users, right. So as long as the overall ecosystem continues to add users, and the penetration rate of those users to lending is still relatively limited, then we believe that we have a sufficient runway to grow even while we maintain a very tight grip on credit costs. We hope that helps.

Ranjan Sharma

JP Morgan

Yes, thank you.

Joel Ellis

PT GoTo Gojek Tokopedia Tbk - Head of Investor Relations

Thank you, Ranjan. Next we will go to Jason Low from Bloomberg. Jason, do unmute yourself and go ahead.

Jason Low

Bloomberg

Hi. Can you hear me? Yeah, good evening. Thanks for having me. Thank you so much and congrats again on the good result. I have a follow-up question, two questions.

First is the follow-up question on Fintech. Can you help us understand more by breaking down the key drivers behind Fintech's strong growth? Which subcategories be it payments, lending or other financial services that contributed the most? That's the first question.

And on the second question also related is that how would a potential merger between Bank

Jago and BFI Finance reshape GoTo's relationship with Bank Jago and what are some of the possible impact, to the extent that you can share? Thank you.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Thanks a lot, Jason. Sudhanshu, do you mind taking the first one? I'll take the second. Sure.

Sudhanshu Raheja

PT GoTo Gojek Tokopedia Tbk - Group COO

Sure, Hans. Thanks for the question. So coming to the first question on drivers of growth in

Fintech. So the way we think about the Fintech business is we have one unit, which helps bring in a lot of users, help drive engagement, help create data, and the other side which helps monetize that data effectively. The key drivers of growth has been us growing users significantly. As you see, our users grew by about 30%. Second, we had very high engagement as our GTV went up by 90, a little over 90%. Which meant that we had more users and all of them were doing a lot more transactions, generating a tremendous amount of data. And then lending grew by making sure that based on that data, they can find the right users to give out loans to.

So overall, we are seeing great growth both on the payments and the lending side, payments on user volume, and transaction volume, and lending on loan book, and margins overall. So overall it's a loop which connects together with each other and helps the overall Fintech group.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Yes, thanks Sudhanshu. So, Jason in your question about a potential merger, again it is a potential, so it is still not 100% certain, having said that we actually are already working with both Jago and also BFI on a variety of collaborations. I think a lot of people know that we collaborate a lot with Bank Jago, but perhaps it's less known that we actually have an existing collaboration for the past two years plus also with BFI. So we know both companies fairly well, and they know us fairly well, and whatever happens in the future, we expect that the existing collaborations which are going very smoothly will continue.

Joel Ellis

PT GoTo Gojek Tokopedia Tbk - Head of Investor Relations

Thank you. Thank you very much for that. We do have a question in the chat from Sabrina at

Trimegah. Sabrina has asked, despite the implementation of the 8% commission cap, the ODS take rate remained resilient at 24% in 2Q26. Could you elaborate on the key drivers behind this resilience? Was the improvement primarily driven by the delivery segment? Looking ahead, should we expect the 24% take rate to be sustainable in 3Q26, or could it be moderate as the full impact of the commission cap is reflected?

And then, the second question is both mobility and delivery revenue continue to grow in

2Q26 despite lower customer incentives. Could you share the key initiatives or operational strategies that enabled you to deliver growth while reducing promotional spending? Was this mainly driven by improvements in user mix, pricing, engagement or other factors? That's from

Sabrina at Trimegah.

Hans Patuwo

PT GoTo Gojek Tokopedia Tbk - President Director, Group CEO

Thank you Sabrina for your questions. Regarding the take rate of On-Demand Services, the

8% commission cap started in July, so that will be reflected in our Q3 numbers. So Q2 numbers, we can consider it as the last quarter where we still have the higher commission rate. Now, if we think about the third quarter given the reduction in the two-wheel transport commission rate, we do expect a reduction in the take rate. Now, we are waiting. It's only been a month, right? We haven't fully done our closing yet for July, so it's still a bit early, but we are monitoring very closely what the potential depths of the impact may be.

Now, regarding your question on mobility and delivery, I'll pass this off to Sudhanshu. Maybe one point to note before I do that is that we have two distinct groups of customers – the affluent, which is continuing to be very resilient for us, and as we can imagine the affluent segment will likely require less discounting, as well as the mass market. So with that context maybe Sudhanshu can help to elaborate on the strategies. Thank you.

Sudhanshu Raheja

PT GoTo Gojek Tokopedia Tbk - Group COO

Sure Hans. Thank you. Thanks for the question Sabrina. Now in terms of how we think about the business, as Hans said, we focus on the customer, the two very distinct kind of customers: one that we call affluent, one that is mass market. Across both mobility and delivery, we think about customers based on their needs and what we offer to them. For the affluent customers, we primarily offer speed and convenience. They value that over price, which means for example, if they order food, they want their food delivered faster in the time that they want without much of a hassle in the driver finding the right place. So, the affluent segment focuses more on getting things faster and added convenience.

At the same time, the mass market focuses a lot more on affordability, which means price or value is a very significant factor in deciding where they order and they purchase. Keeping this in mind, whenever we think of initiatives or operating strategies, we generally have differing strategies for each one. We just rolled out Murah and Cepat or Fast and Cheap across products in the last quarter which has really helped us build the right offerings for our customers and ensure that they get what they're looking for which also helped us reduce incentives while growing revenue overall.

Joel Ellis

PT GoTo Gojek Tokopedia Tbk - Head of Investor Relations

Okay. With that we will now conclude GoTo’s 2Q 2026 earnings call. Thank you all for dialing in this evening and we look forward to speaking with you soon.