GoTo Gojek Tokopedia PT

Hello, everyone. This is Joel Ellis, Head of Investor Relations. Welcome to the PT GoTo Gojek Tokopedia TBK full year and fourth quarter 2025 earnings conference. Please be advised that today's conference is being recorded. On today's call, Hans Patuol, our President, Director and Group CEO, and Simon Ho, Group CFO, will deliver prepared remarks. Following their commentary, we will open up the call for questions and be joined by Catherine Hindra Suchayo, our Deputy CEO and Vice President Director, and Sudhanshu Raheja, our Group COO, 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 December 31, 2025 and 2024. We have also submitted and published our consolidated, audited financial statements as of and for the 12-month ended December 31, 2025. 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 US dollar equivalent by applying an exchange rate of 16,782 rupiah to one US dollar equivalent. based on the middle rate published by Bank Indonesia as of the end of December 2025. We will refer to pro forma figures to facilitate like-for-like, sequential and year-on-year comparisons of our performance following the closing of our announced agreement with TikTok and the deconsolidation of GoToLogistics. These pro forma figures assume that Tokopedia and GoToLogistics were deconsolidated on January 1, 2024. 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.

Thank you, Joel. Hi, everyone. Good evening, and thank you for joining us today. This is my first earnings call after my appointment in December. It is both humbling and a pleasure to be here. I'm also happy to share that 2025 was a record year for GoTo. Adjusted EBITDA in Q4 alone reached 672 billion rupiah or 40 million US dollars, 106% year on year increase. For the full year, adjusted EBITDA reached 2 trillion rupiah or 120 million US dollars, a 544% year-on-year increase. This meant that we exceeded our 2025 guidance and we do see momentum continuing into 2026. Hence today, we are announcing 2026 adjusted EBITDA guidance of 3.2 to 3.4 trillion rupiah, or between 190 to 200 million US dollars, an approximately 60% year-on-year increase. Topline growth in 2025 was also strong. Core GTV in the fourth quarter reached 124 trillion rupiah, or $7.4 billion, up 57% year-on-year. For the full year, core GTV reached 400 trillion rupiah, or just shy of $24 billion, up 49% year-on-year. Annual transacting users also increased 24% year-on-year. reaching 66 million, a quarter of Indonesia's total population. Looking back over the last few years, we have moved from a period of high cash burn to becoming adjusted free cash flow positive. And over that time, we learned that if we are to achieve the profitable growth we aspire to, we must focus on solving real on the ground problems for our customers. To that end, we serve four distinct customer groups. Affluent consumers who seek speed and convenience, and mass market consumers who look for cost-effective solutions. At the same time, it is important that our driver partners and merchants prosper with us as well. To drive all of this, And to do so without relying on subsidies, we have to innovate and build core capabilities that will allow us to deliver these solutions for our customers. Turning now to our FinTech business, GoPay. We have reached an inflection point where operating leverage has begun to kick in. We are scaling users and transactions in payments expanding our lending book with discipline underwriting while managing our underlying cost base. This is reflected in our adjusted EBITDA. We have gone from negative 467 billion rupiah to positive 497 billion rupiah. or in US dollar terms, from negative 27.8 million in 2024 to positive 29.6 million in 2025, which is a swing of 57.4 million US dollars. Fourth quarter 2025 adjusted EBITDA was 226 billion rupiah or 13.5 million US dollars. This profitability was fueled by strong growth across CoreGTV, transactions, and also users. CoreGTV in the fourth quarter grew 62% year on year to 116.3 trillion rupiah, or just shy of 7 billion US dollars. And for the full year, it grew 54%. to 370 trillion rupiah, or 22 billion US dollars. Engagement is also growing. In the month of December 2025, we crossed 600 million transactions for the first time, up 76% year-on-year. GoPay app also continues to acquire users. Fourth quarter monthly transacting users growing 30% to 26 million and annual transacting users growing 36% from 42 million to 57 million. We are also growing our lending business. Our consumer loan book grew 68% year on year. reaching 8.8 trillion rupiah, approximately half a billion US dollars by December, beating our target of 8 trillion rupiah. This momentum is built on three elements. First, we recognize that FinTech in Indonesia is fundamentally a mass market opportunity, as a large share of the population is still underserved by the traditional financial system. According to the World Bank, half of Indonesians remain unbanked and access to formal credit is even more limited. With millions of consumers already active across our Gojek platform, we are well positioned to bring users into financial services through payments and then expand responsibly to credit. Second, we invested early in the capabilities needed to solve customer problems at scale. For example, back in 2021, we re-architected our payment rails and integrated our FinTech systems. A year later, we then developed our credit scoring capability, enabling us to launch and scale the lending business. Then in 2023, we followed that up by releasing the standalone GoPay app, which gave us a new channel to reach mass market consumers, expanding our total addressable market. Since launch, the GoPay app has been a powerful acquisition tool, driving growth across payments and supporting the continued expansion of our lending business. Third, disciplined risk management is the foundation of our growth. Over the past two years, we have expanded our loan book by $6.9 trillion. including 3.6 trillion in the past year alone, while keeping credit quality within a comfortable range. We can do this because our technology for KYC, fraud detection, scoring, collections, and other capabilities work together as one integrated backend system, using our data and AI to manage risk at scale. And because our loans are mostly small and short-term, we can adjust quickly to changing conditions. Looking forward, we see significant upside for GoPay. As mentioned, half of Indonesia's population is underbanked and lacks access to formal credit. At the same time, lending penetration within our ecosystem remains at an early stage, providing room for discipline expansion over time. Turning now to our on-demand services business, Gojek. 2025 was the year of improving bottom line performance. Our adjusted EBITDA margin expanded to 2.3% in the fourth quarter, up from 1.6% a year ago. For the full year, it reached 2.1%, nearly doubling the 1.1% in 2024. Consequently, adjusted EBITDA grew 55% to 415 billion rupiah or 24.7 million US dollars in the fourth quarter and 105% year-on-year to 1.4 trillion rupiah or 83 million US dollars for the full quarter. GTV for the fourth quarter was 17.7 trillion rupiah or 1.1 billion US dollars, up 3.8%, and reached 66.5 trillion rupiah or 4 billion US dollars for the full year, up 7.5%. This is not quite where we need growth to be, and I'd like to discuss this next. Starting with our customers, the needs of mass market consumers differ significantly from those of affluent consumers. Affluent users demand fast and convenient services. The mass market want lower prices. We are doing well in the affluent market, but have more work to do in the mass market. In the affluent market, our suite of premium offerings have delivered increases in transactions, GTV, and margins. For example, our premium GoFood Express product, which we have mentioned in previous calls, has reached its highest level of GTV and orders since launch in the fourth quarter. AI has also played a key role as we advance our search and recommendation capabilities, increasing discovery, conversion rates, and basket size. We also continue to upgrade our service quality. Throughout 2025, we saw improvements in delivery and pickup times across our premium products, meeting the affluent consumers' demand for speed and convenience. In the mass market, consumers are anchored heavily into value. we have been adjusting our business in line with this shift and believe that as was the case in FinTech, the future lies in building the right capabilities. Two such capabilities we are working on are next generation pooling and zone operations. Regarding pooling, we are upgrading our allocation engine to better aggregate demand into pooled deliveries. This allows us to serve significantly higher volumes and reduce price to the consumer. To complement this, our second focus is zone operations. We are moving toward a high density localized zone model that optimizes for shorter distances in areas of greatest demand. By aligning our products with these specific geographies, we can offer low cost options to our customers more sustainably. Both of these capabilities will take time to implement at scale. But as they roll out, the impact on affordability will be significant and spur growth across our ecosystem. A key beneficiary of this will be our driver partners. Driver partners are the backbone of our platform. We announced last week 400,000 eligible driver partners. are receiving Hari Raya bonus ahead of the Labaran or Eid holidays. We have allocated this bonus based on the principle that those who drive more should receive more. Better driver income leads to higher loyalty, more consistent supply, and a better consumer experience. This is why we do not view their welfare as a cost-light item. Rather, it is a disciplined investment in the health and sustainability of our ecosystem. In conclusion, we are focused on solving fundamental problems for our customers. By prioritizing customers in this way, success for our shareholders will follow. Thank you so much. I will now hand over to Simon to go through our financials in more detail.

Thank you, Hans. My comments will focus on year-on-year comparisons for the fourth quarter and full year 2025. Full year 2025, year-on-year growth will be on a performer basis to facilitate like-for-like comparisons. I will start with the results at the group level and then cover segment results, and I'll end with some commentary on our outlook for the full year 2026. 2025 was a strong year for GoTo, in which we delivered significant growth in both the top line and bottom line. Net revenue grew 24% to 18.3 trillion rupiah or 1.1 billion US dollars, driven by growth across all business segments. Cash recurring fixed costs, excluding cost of credit, increased at a slower rate of 9%. Topline growth together with positive operating leverage resulted in adjusted EBITDA increasing over six times to 2 trillion rupiah or 120 million US dollars. Moving to fourth quarter performance, we delivered solid growth and significant profitability improvement. Net revenue showed solid momentum growing 19% to reach 5 trillion rupiah or 300 million US dollars driven by growth across all business segments. Cash recurring fixed costs, excluding cost of credit, increased at a slower rate of 4%. Again, driven by the top line and positive operating leverage, adjusted EBITDA increased 106% to 672 billion rupiah or 14 million US dollars. Now turning to our business segment results, fintech had a stellar year. Net revenue in the fourth quarter grew 45% to 1.7 trillion rupiah, or 100 million US dollars, underpinned by strong growth in users and engagement. Our consumer payments and consumer lending businesses both grew strongly, with consumer loans outstanding, increasing 68%. to 8.8 trillion rupiah, or 523 million US dollars, beating our guidance. FinTech adjusted EBITDA reached 226 billion rupiah, or 13.5 million US dollars, from just breaking even one year ago. For the full year, adjusted EBITDA was 497 billion rupiah, or 29.6 million US dollars, marking the first full year of profitability for FinTech. On-demand services delivered record profitability. Net revenue increased 10%, hitting 3.4 trillion rupiah or 202.4 million US dollars in the fourth quarter. Breaking this down, mobility net revenue grew 15% and delivery net revenue increased 8%. This upward trajectory in net revenue was largely supported by the optimization of our product mix, higher advertising revenues, and disciplined incentive spend. adjusted EBITDA increased 55% to 415 billion rupiah or 24.7 million US dollars in Q4. For the full year, ODS adjusted EBITDA increased 105% to 1.4 trillion rupiah or 83 million US dollars and adjusted EBITDA margin just about doubled to 2.1% of GTV. In e-commerce, our service fee revenue from Tokopedia grew steadily, reaching 193 billion rupiah or 11.5 million US dollars in the fourth quarter. And for the full year, it reached 820 billion rupiah or 48.9 million US dollars. As a result of our strong performance in the fourth quarter, we generated adjusted fee cashflow of 748 billion rupiah or 44.6 million US dollars. This milestone serves as a strong testament to our strengthening business fundamentals. Moving to the outlook for 2026, as Hans mentioned, we are today introducing guidance for the full year 2026 as follows. Group adjusted EBITDA of 3.2 to 3.4 trillion rupiah. FinTech adjusted EBITDA of 1.4 to 1.5 trillion rupiah. And ODS adjusted EBITDA of 1.7 to 1.8 trillion rupiah. This is subject to macro economic conditions. For example, we are closely monitoring oil prices as a result of developments in the Middle East, as fuel costs are an important consideration for our ecosystem. Historically, we have always been able to manage periods of volatility in energy prices and will continue to respond as needed to changing conditions. In closing, we are very well positioned to execute on our strategic priorities, and we are fully committed to delivering both sustainable top-line growth and expanding profitability for our shareholders in the year to come. With that, I will turn the call back to Joel.

Thank you, Simon. We'll now open up the call for questions. To ask a question, please use the raise hand function and we'll call on you. To repeat, please use the raise hand function and we will call on you. Our first question comes from Ari Yaya from Macquarie. Ari, please go ahead.

Hi. Go to Tim, Simon Joe. Thanks for taking my questions and well done for the strong results. So I have a few questions today. So first for Hans, as you've recently taken on the CEO role, can you please tell us about your leadership approach and the strategic direction you want to take GoTo towards? Secondly, Simon mentioned earlier about oil price volatility. How should we think about the potential impact on consumer demand, driver economics, and the overall operating environment for your business? And then third, back to Hans, mentioned earlier about the driver welfare initiatives. Can you elaborate further on your approach and how you're thinking about the possible implications from regulatory discussions surrounding take rates? I will start here. Thank you.

Hey, Ari. Thanks a lot for your questions. Let me address the first two, and then I'll ask Kath to address the third question. So, Ari... Thanks for your question. In terms of leadership approach and strategic direction, I feel that we are headed in the right direction. The strong results is indicative of that. And so I do not envisage any major swings or big changes in the strategy or direction of the company. Now, if I think about what are the two to three things that maybe I would tweak or emphasize more, off the top of my mind. The first one is really, really, really double downing and obsessive focusing on our customers. Our affluent consumers, our mass market consumers, they want very different things. Our merchant partners, our driver partners, they are also looking for different things and they're all our customers. So getting the teams out there to really, really spend time with our customers and obsessing over their problems that we can solve. The second thing is maybe further emphasizing and being very, very clear about what are the capabilities that we need to build. Now we can't build 10, 12, 15, 20 capabilities, right? So what are the few things that we're really going to build that we are really going to be distinctive in and become a competitive advantage for us over the long run? So what are those technology, operations, business model capabilities that will take us to the next level and being very deliberate and very sharp about those investment decisions? I think last but not least, velocity. How can we adapt faster? No one has a crystal ball. And so in order to thrive, as an organization, we have to be able to adapt quickly and move with speed as situations change and thereby take advantage of opportunities that show up in the market. I think those are the things that are on my mind. Now, going on to the second question about oil price. So this is on our radar screen. The reality is that heightened oil prices for sustained periods of time will have an adverse impact on our business. There are two ways it will impact the business. One is certainly as fuel prices increase, our driver's income will come down and we will be looking at potentially making sure that how to make them whole. Secondly is that sustained periods of high oil price will heighten inflation and therefore dampen demand. So these are still early days. We are monitoring the situation closely. I'm glad that price is now below $100. So we're continuing to monitor this very closely. And if we forward project, most likely the affluent demand will be relatively less elastic, whereas the mass market demand will be more adversely affected. So I think, Ari, we are still in early days, and this is something that we are keeping a close eye on. Kath, would you like the next question?

Sure. Hi, Ari. How are you? Thank you for your question. So your question about... what is our approach on a driver welfare initiative and the potential application of the recent regulation, right? So let me start with the approach first, as Hans mentioned as well in his sharing earlier, right? How we see it is this, put it this way, right? There are three ways, three kind of at level, how we see the driver welfare. Number one, how can we continue to grow and maintain our driver income, right? This is, as Hans described earlier, the innovation. What can we do, right? What kind of product innovation, what kind of improvement in our business strategy that will continue provide growth to our business which hence will also provide additional kind of like orders that we give to our drivers which of course translate to the income. Secondly, of course, as well, as you know, we will, as I mentioned, disciplined as well as sustainable customer incentive, right? These two things we will continue to do hand in hand and getting better at it to make sure that our drivers, driver partner, can grow and maintain their income. That's number one, to make sure their driver welfare is being taken care of. The second component of that, we work very closely, listen to our driver very closely to understand and help them in their needs. What is most important for them? This is, if you remember, I think sometimes in December, we launched our first pilot on how we will start providing the BPJS, which is the social security, for some of our driver partners. Similarly as well, just last week, we distributed our Hari Raya bonus for 400,000-ish of our driver partners as well. Because again, as we understand our driver better, this is going to be a continuous process, of course, as well as talking with the government, right? We need to understand how can we further support our driver partner. So the first one is income. The second one is kind of like how we can further support them. Last but not least, this is a very important one. In doing the first and the second one, we have to maintain the fairness and transparency. What do we mean by that? Fairness, we have a lot of drivers, not all of them are the same. Some of them, they are working every day. For example, they are mostly dependent on our platform as their income source. Some drivers, on the other hand, or some driver partner, they're probably university students. They are only taking one hour, two hours every day, or even only on the weekend as a supplementary income for them. Clearly, as we are providing these services, welfare support and stuff we cannot treat uh these two type of of driver similarly this is what we meant by the fairness as well of course there's multiple segment of driver i'm just using these two as an example last but not least is a transparency i think what we learn and we will continue to get better as well is to have the system that will show up high transparency Easy to understand for our drivers, the comms that is helping them to really help them on their day to day, not only to know what they need to do, should they want to increase their income, but also to understand why certain things look differently. So I think that that's a three approach. approach, if I may share. Of course, we will continue discussions with the government. As mentioned, the PHR last week is an amazing collaboration as well with the related ministry. And last but not least, your question about the the tick rate potential, tick rate. There is no official change on this current framework, on the commission or the revenue sharing that we are having today. But as you can see, right, we are maintaining all very closely coordination, communication, open line as well with the regulators. Oh, one more thing, just one last thing, quickly important to mention that all of this driver welfare program that I mentioned earlier, Hans mentioned earlier, has been provided, has been incorporated all these costs in our full year 2026 EBITDA guidance. So all this investment we are making in the driver welfare are fully reflected in our financial output this year. Thank you.

Thank you, Hans and Kat. All the best for the remainder of the year with the team. Thank you.

Thank you. Thanks very much, Ari. For our next question, we'll go to Ryan Winita from Indo Premier. Ryan, please unmute yourself and please go ahead.

Yeah, thanks so much, Joel. And thank you for the presentation as well for Hans and Simon. I just have a few questions from my side. I think the first one, I think it's in regards to the on-demand service segment. I'm just wondering how should investors think about the trajectory of the growth as well as margin across 2025 and into 2026? And as you balance all of these two objectives, what are you seeing in terms of the competitive dynamics in the ODS market and also the market share across your core services? My second question, I think, is related to the growth opportunity for the fintech business from this point. And what are the key drivers that you will continue to look at to scale the platform up? in the future. Yeah, that's all from me. Yeah, thank you.

Ryan, thank you so much. Let me take the question on on-demand services and I'll ask Sudhanshu's help on the fintech piece. So with regards to our on-demand services segment, our Gojek business, competition remains stiff. There's no denying that. And The way that we think about the Gojek business is the following, right? Is that if we look over the past couple of years, we have been focusing on increasing profitability. And clearly growth is not yet where we want it to be. If we take a step back and think about the journey, in 2024 was the first time that we had reached profitability. But the margins on the Gojek business were around 1.1%. So in 2025, we're able to improve the margins to 2.1%, right? And profitability also increased to 1.4 trillion. So we believe that the Gojek business now is healthier and much more sustainable as we became a lot more disciplined. And as I mentioned before, we continue to be strong in the affluent segment. Though the challenge here is that how do we grow? We want to continue to grow. And we will put in a lot of effort to grow, also including in the mass market. So while we want to grow, we are not going to do that at the expense of reducing our margins. We're not going to try to rent share. What we want to do is to unlock build some capabilities to unlock the opportunity to be able to serve our mass market consumers, give them what they want in a way that is financially sustainable and also profitable for the company. The fact of the matter is that our mass market consumers, they are willing to make some sacrifices. For example, they are willing to wait longer for their food to arrive. So how do we parlay some of these trade-offs and their willingness to make some of these trade-offs and build the relevant systems and capabilities to take advantage of that so that we are able to serve them in a very profitable and financially sustainable way? The two things I've mentioned before, is zoning and pooling. These are some of the capabilities that we are building at this point in time to help tap into and serve the mass market segment. So if we think about the ODS business, I think we think this year, for the full year, we aim to be probably somewhere in the high single digits. And in terms of adjusted EBITDA, we expect margins to continue expanding, though not quite at the rate that it did in 2025. I hope that helps.

Thanks, Hans. And thanks, Ryan, for the question. Your question was around the growth opportunity for the fintech business. So we think of the fintech business as an ecosystem-driven lending play. we primarily grow the ecosystem, keep growing lending on the top of it, and we're seeing our results and our EBITDA improve consistently as a result. Now, if I look at both of the sides, first going over to payments, GoPay and Gojek are incredibly powerful, low-cost acquisition engines for us. GoPay has gone on to evolve into an everyday financial tool And our new app is about to complete three years, has made it a lot more accessible for mass market users to be able to use our services. As a result, in Q4, we grew monthly transacting users to over 26 million. We also went on to process over 600 million transactions in December alone. In addition, we're also growing the number of transactions per user significantly. We're almost 23% up year on year per user. Now, this is all meaningful scale, but if you look at all of Indonesia, we still only have a modest share of the underbanked market in the country, which means we have substantial room to grow on this. When I look at lending, the opportunity is also still very large. Today, We are only a mid single digit percentage of our ecosystem users who are essentially taking a loan with us. So even within our existing user base, there is still significant headroom for lending to expand over time. The results so far are already translating into very strong growth. Our loan book grew about 68% year on year and reached 8.8 trillion. So all in all, the way we think about it is very simple. Payments help grow the ecosystem and lending grows on top of it. With users continuing to scale, lending penetration is still very low and a strong risk process and culture means that we expect the loan book to continue scaling fairly strongly in this year as well while maintaining a healthy asset quality. Thank you.

Thank you very much for that, Ryan. We'll go to our next question from Ferry Wong at Citi. Ferry, please unmute yourself and go ahead.

Yeah, hi. Thanks, Joel. Yeah, hi, Goto team. Yeah, I have three questions. The first one is on the fintech side. Basically, the fintech... Businesses has delivered a strong improvement in profitability. Could you elaborate on the main factors driving this progress and how sustainable you see these dynamics going forward. And the second one, well, as we know that the consumers are currently under pressure and this must increase risk for the lenders, are you confident that you are able to manage this risk? while you will be growing your lending book in 2026 i don't know uh yeah maybe you could also provide yeah a bit of a guideline on the uh uh landing growth for 2026 and the third one uh could you uh walk us through the impairments and accounting adjustment that impacted net income this quarter and how investors should think about this item when assessing the underlying performance of the businesses. Also, I saw that Topopedia turned profitable in the fourth quarter, 2025, and also for the full year 25. And could you share the driver of that? Thank you.

Thank you very much, Ferry. Sudhaichu, could you help with the first two questions and then maybe pass it on to Simon?

Sure, Hans. Thank you, Ferry, for the question. So your first question was about fintech and what are the factors that are driving profitability? The way that we think about it is probably in three parts. First, as I mentioned earlier, GoPay and Gojek apps are a very low-cost acquisition engine for us, which helps bring in people where we can drive a lot of engagement. What this helps us do is build trust with users and understand their transactions and history over time. Second, lending is our primary monetization lever. We are able to serve users effectively because our underwriting, which depends on not just on data that comes from external credit bureaus, but also a lot of the internal data that's generated because of the 600 million transactions that we get a month, which means we're looking at billions of transactions a year to figure out who do we want to give a loan to? Who do we not want to give a loan? That is what really powers our ability to be able to scale lending Profitably, and as we mentioned, last year we ended up reaching roughly about 8.8 trillion, about 68% year-on-year. Third, the business benefits from platform economics. What this means is that a meaningful part of our cost base, especially in people and marketing, is relatively fixed year-on-year. So as the ecosystem grows and our loan book scales, revenue grows significantly faster than the underlying cost base. This creates very strong operating leverage. Our incremental adjusted EBITDA margin this year is close to about 40% and should continue in that range in the coming years. So overall, the model is straightforward. acquire and engage people on GoPay and GoCheck, monetize through lending, and scale profitability through operating leverage. This is what really drives our strong improvements. And in fact, it supports our expectation that the EBITDA for the fintech business is expected to roughly triple over 2026. Going on to your second question on credit quality and managing risk. As I think through this, I think one of the key assets for us is we try to scale as quickly as possible on the payments business, but we try to be culturally risk-averse and as cautious as possible on the lending business. So even though we are scaling, we make sure that we have a strong risk culture and systems to make sure we can scale over the next 10, 20 years profitably. If I think of the key levers for us to manage risk, the first is our portfolio design and risk capabilities. Now we focus on small ticket, short tenure loans, which means that in a changing macro condition, we can adjust approvals, limits, pricing, segment mix fairly quickly. In addition, across the lifecycle of any loan, we have integrated capabilities in thread scoring, fraud detection, collections, to ensure that we have the ability at all times to manage our risk very tightly. Second, the data from the ecosystem keeps on growing very significantly. Just from Q3 to Q4, the number of transactions roughly rose by about 16%. which means we are seeing a lot more rich proprietary transactional data that we are seeing, and we use that to make sure we underwrite much more strongly. Lastly, as a result of the things above, the credit quality, as we've shared in the earnings this time as well, it has remained fairly stable over the last year. The loan book is up roughly about 68%. However, if you look at the NPL and our different buckets, it has been very, very stable, and we are hoping it will continue to do so. So overall, the view is the credit quality remains well supported by strong ecosystem data, manageable portfolio, and integrated end-to-end capabilities. That being said, we track macro very, very closely and continue to be very cautious in how we scale. We are hoping this is a great year for the country and we can keep scaling up, but we will continue to watch the macro very closely and increase or decrease approvals as we see the situation change over time. Hopefully, we are hoping we do have the levers to be able to continue scaling risk properly over this year. Thank you.

Thank you, Siddhant. So yes, during the fourth quarter, we did have a number of impairments, accounting adjustments that impacted our net income in the fourth quarter. Let me just give you a bit of color on these. So I think the first comment I want to make is that these are all non-cash, non-operating in nature investments. There's a couple of buckets we put these in. First of all, on the impairment side, you'll see they're coming from two areas. One of that is impairments in total of over about 500 billion rupiah in the fourth quarter. And these were taken based on our periodic annual review of the carrying values of these assets. The majority of the impairments was from Mitrans, which is our enterprise payment gateway business. We took a conservative approach to write down the remaining goodwill associated with Mitrans. And after this impairment, there is virtually no more goodwill sitting on our balance sheet. The rest of the impairments are coming from intangible assets that are mainly relating to past acquisitions. We also had in the fourth quarter some fair value adjustments of financial assets. This was over 300 billion rupiah in the fourth quarter. And these are mainly mark-to-market valuation changes in our investments. And these investments consist of both listed securities and also non-listed investments. So I think that with these impairments taken, I think our balance sheet, of course, is much cleaner. And we do not anticipate at this very moment, of course, that there are and needs to be further such impairments required. And just to reiterate, these are non-cash and non-operating in nature. In addition, you mentioned about Tokopedia. So you'll see from our financial statements that Tokopedia booked a net profit for the full year of 2025 in the order of about 600 billion rupiah. We understand from Tokopedia that this improvement was mainly driven by non-operating items such as interest income, foreign exchange income. And I just want to also emphasize a couple of points regarding obviously Tokopedia's, our stake in Tokopedia. First of all, our share of Tokopita's net profit is non-cash in nature. They are an associate company since we own 25%. This 25% stake is non-dilutive, which means even if the parent injects more capital, our stake would not be diluted downwards from 25. And finally, just to call out that the real cash that that really comes in is the service fee that we receive every quarter based on the GMV of the combined Tokopedia and TikTok shop business. And just to reiterate, in 2025, this e-commerce service fee was roughly 49 million US dollars. I hope that answers your question, Ferry. Thank you very much. Yes, all good. Thank you.

Thanks very much, Ferry. With that, we'll take one last question. We'll go to Adrian Jozer from Mandiri Securitas. Adrian, please unmute yourself and go ahead.

Thanks, Joel. So my question is on the FinTech. So with FinTech now growing much really faster than the on-demand services, how should investors think about the relative roles of the two businesses within the ecosystem? Does ODS remain the primary engagement and distribution engine with FinTech as the monetization layer, or is the center of gravity of the business has started to shift?

I'll take this. Thank you, Adrian, for the question. Adrian, I think both units are very dear and important to us. They're very complementary. The Gojek business serves mostly effort market, and we want to expand that to the mass market as well. The GoPay business today is mostly serving the mass market. So put together, we actually have very good coverage of the Indonesian consumer. Now, GoPay is growing a lot faster. It is also starting from a lower base. And in terms of the shift, if there is a shift, it is that GoJack has traditionally been significantly larger in terms of EBITDA contribution and profitability. And GoPay was still growing. I think now we're reaching a point where we're going to have two engines. Both engines are firing and we now have two engines to grow the business and to grow profitability. So, I'm actually quite excited. I think we're moving into a new era with two engines going on at full speed. And it's going to be up to us to find ways to get more synergies across the entire ecosystem. and create capabilities that takes advantage of that, such as thinking about how we pool our data together to do much more personalization as we move forward. So we're actually quite excited. And we think that moving forward, we will have two very strong engines, both of growth and profitability moving forward. I hope that answers the questions. Thank you.

Thank you, Hans.

Thank you very much, Adrian. And thank you all for your interest. in GoTo. We look forward to seeing you in the coming days and weeks ahead and with that we'll bring the call to a close.