By Yi Wei Wong


Shares of tech giant GoTo Gojek Tokopedia fell after the Indonesia-listed company reported a wider net loss for the first nine months of the year.

The ride-hailing and e-commerce platform's shares fell as much as 6.7% to 196 rupiah in early Tuesday trading. The stock was recently 5.7% lower at IDR198.

GoTo's net loss widened to IDR20.322 trillion ($1.29 billion) from IDR11.579 trillion a year ago, it said Monday.

Despite the weaker results, the company said its adjusted Ebitda loss in the third quarter narrowed to IDR3.7 trillion from IDR4.2 trillion.

The company also said it achieved positive contribution margin from its on-demand services in September.

"Group contribution margin significantly exceeded the guidance we shared last quarter and we achieved positive contribution margin for our on-demand services in September--well ahead of schedule. These gains were driven by our product-led focus on high quality users, alongside our disciplined approach to cost management," Chief Executive Andre Soelistyo said.

In a bid to cut costs, GoTo last week said it laid off 1,300 employees, or 12% of its workforce, citing a weak outlook for the technology sector and a global economic slowdown.

GoTo's nine-month results were in line with expectations, Trimegah Securities analysts said in a note.

However, the analysts were positive about GoTo's on-demand services finally achieving a positive contribution margin and said the company's group contribution margin being 46 basis points higher than market expectations was "an additional cherry on top."

The company's third-quarter net sales more than doubled to IDR4.6 trillion, which Trimegah viewed as "surprisingly higher than expected," driven by a bump from sales of on-demand services.


Write to Yi Wei Wong at yiwei.wong@wsj.com


(END) Dow Jones Newswires

11-21-22 2325ET