PT Fast Food Indonesia Tbk (FAST), the operator of KFC, continues to struggle with financial balance sheet pressures as well as operational challenges. According to its financial report, in the first half of 2025 KFC posted a loss of IDR 138.75 billion.
In addition, the company’s liabilities or debts have continued to swell. As of June 2025, KFC’s debt amounted to IDR 3.97 trillion, up from IDR 3.40 trillion at the end of December 2024.

1. Reasons Behind the Rising Debt

Wahyudi Martono, Fast Food’s Director, explained that the increase in liabilities was mainly due to the company’s refinancing activities using new loans.

“This change occurred because during 2025 up to June, we refinanced existing loan facilities. Obligations from 2024 facilities were fully paid off, but then rolled over into longer-term facilities, shifting from short-term to long-term financing. That’s what we carried out,” Wahyudi explained during a virtual Public Expose on Thursday (Oct 2, 2025).

On the equity side, KFC recorded a slight increase to IDR 129.94 billion in the first half of 2025, compared to IDR 127.73 billion in December 2024. Wahyudi highlighted that this growth reflects improved performance, as the company carried out efficiency measures across all areas, including operations and workforce reduction.

“In operations, particularly at the store level, we adjusted crew numbers to match transaction volumes so that store performance became more profitable. For support functions, we streamlined by consolidating several support centers into a centralized hub in Jakarta, along with downsizing through layoffs of excess employees,” he explained.

2. Closure of 19 Outlets & 400 Layoffs

By September 2025, KFC had shut down 19 outlets and carried out layoffs affecting around 400 employees. However, Wahyudi emphasized that these closures were not entirely permanent, as some outlets were relocated to more strategic locations.

Looking ahead, the company plans to continue business expansion through the opening of new outlets and relocations. Nevertheless, Wahyudi has not yet disclosed the exact locations for these new stores.

“We will continue business expansion by opening new outlets as well as relocating older ones that no longer have strong sales potential,” he stated.

3. Impact of Boycott & Weak Purchasing Power

The company’s financial report also showed a decline in revenue, from IDR 2.48 trillion to IDR 2.40 trillion. Wahyudi said this drop was mainly due to weakened consumer purchasing power, which resulted in a sharp decline in transactions.

“We clearly felt the weakening of consumer purchasing power, which has caused a significant decrease in our transactions,” he noted.

Furthermore, KFC’s financial condition has not fully recovered from the impact of the COVID-19 pandemic, coupled with the boycott movement in 2023–2024, which further reduced revenue.

“Looking at the challenges faced, the company has endured multiple difficulties, starting from the COVID-19 pandemic in 2020 up to the boycott movement in 2023–2024,” he stressed.