Sales Of Sido Muncul’s Herbal Remedies Soared As The Pandemic Hit Indonesia Hard

This story is part of Forbes’ coverage of Indonesia’s Richest 2020. See the full list here.

Indonesia’s largest herbal products maker is feeling fit as health-conscious consumers snapped up its products during the pandemic. Net profit at Industri Jamu dan Farmasi Sido Muncul rose 11% to 641 billion rupiah ($41 million) in the third quarter from a year ago on a 6% sales gain to 2.3 trillion rupiah. “We just tried hard to keep good stock available,” says Irwan Hidayat, head of Sido Muncul, who is the third generation to head the business started by his grandmother. He ranks No. 17 with a fortune of $1.55 billion.

Sido Muncul’s full-year earnings are forecast to increase 9% year on year, according to analyst Natalia Sutanto at Jakarta-based Danareksa Sekuritas. Shares have climbed by a third in the past year and in September the company split its stock two-for-one to increase liquidity.

Hidayat has had a busy year. To boost its e-commerce, Sido Muncul has introduced 14 new products since January and set up online shops on sites like Tokopedia and Shopee and sold products directly on social media. In August, the company officially opened the 2-trillion-rupiah Tentrem complex in Semarang in central Java, which encompasses a 211-room hotel, apartments and mall.

By Ulisari Eslita

This article was adapted from Forbes Indonesia, a licensee edition of Forbes Media.