July 31, 2025

Staying Resilient Amidst Market Challenges, Avian Brands Successfully Achieved Double-Digit Growth in Decorative Paints

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Surabaya, July 31, 2025 - PT Avia Avian Tbk ("Avian Brands") continued its positive growth trend in the second quarter of this year. Consolidated sales increased by 8.8% year-on-year, driven by growth in both main segments, architectural solutions and merchandise. Sales volume in the architectural solutions segment (decorative paint) grew by a double-digit 10.4%. This positive performance in the second quarter also boosted growth throughout the first half of 2025, with total sales up 7.3% to Rp 3.88 trillion. During this period, profit margins remained stable, with a gross profit margin of 43.1%, EBITDA margin of 25.6%, and net profit margin reaching 20.1%.

During the first semester, Avian Brands continued to demonstrate its commitment to delivering quality innovation by launching five new products, including two latest innovations launched in early June, No Drop Anti-Leak Base Coat in the anti-leak coating segment and Avian Epoxy Filler for the automotive segment.

This strategic step is part of the Company's continuous efforts to strengthen long-term growth through consistent investment in Research, Development, and Innovation (RDI). The Avian Brands RDI team proactively identifies evolving market needs and creates innovative solutions that enrich the Company's product portfolio.

“We believe that innovation is the primary foundation for maintaining competitiveness and expanding market share, especially amidst economic challenges,” said Andreas Hadikrisno, Head of Investor Relations at Avian Brands.

Behind the success of these product innovations, Avian Brands is supported by a national and integrated distribution network. With 125 self-owned distribution centers spread from Sabang to Merauke, the Company serves more than 58,000 building material stores throughout Indonesia. This distribution network is a competitive advantage for Avian Brands. One proof of this is the achievement of 90% 1-day delivery service, capable of reaching building material stores within a 50 km radius of the distribution centers.

Despite ongoing economic pressures, Avian Brands remains optimistic. For the Company, weakening market conditions are not a reason for stagnation, but rather an opportunity to accelerate growth and strengthen its position as a market leader.

“When the market slows down, we see an opportunity to seize share from competitors. Our focus is to remain agile and responsive in meeting consumer needs,” Andreas added.

With innovative strategies and strong distribution infrastructure support, Avian Brands continues to strengthen its reputation as a pioneer in Indonesia's decorative paint industry.

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About PT Avia Avian Tbk

PT Avia Avian Tbk was founded in 1978 as an integrated paint manufacturing company. Known as Avian Brands. For over 4 decades, Avian Brands has colored the lives of millions of Indonesian families through a diverse range of products including Sunguard All in One, Supersilk Anti-Stain and Avitex wall paints, No Drop anti-leak coating paint, and Avian wood & iron paints.

Listed on the Indonesia Stock Exchange (IDX) on December 8, 2021, with stock code (IDX: AVIA), AVIA is the largest decorative paint manufacturer and a market leader in the decorative paint and coatings industry in Indonesia based on a survey conducted by Frost & Sullivan.

Currently, AVIA controls approximately 24% of the market share in the decorative paint and coatings industry in Indonesia. AVIA has strong manufacturing capacity and capabilities through manufacturing facilities in Sidoarjo and Serang. Vertical integration allows AVIA to produce raw materials internally.

AVIA's sales are divided into architectural solutions and merchandise. Architectural solutions contribute approximately 80% of sales, and the merchandise segment contributes approximately 20% of sales.

Since 2020, Avian Brands has had the first research, development, and innovation center in Indonesia called Avian Innovation Center (AIC), covering an area of 5,000 square meters.

As a manifestation of Avian Brands' commitment to environmental management, occupational health and safety, and GCG (Good Corporate Governance) in accordance with international standards, Avian Brands has successfully obtained and implemented ISO 9001:2015 (Quality Management System), ISO 14001:2015 (Environmental Management System), ISO 45001:2018 (Occupational Health and Safety Management System), ISO 50001:2018 (Energy Management System), and ISO 27001:2013 (Information Security Management System).

Avian Brands aims to provide leading benefits and contribute to coloring Indonesia.



Staying Resilient Amidst Market Challenges, Avian Brands Successfully Achieved Double-Digit Growth in Decorative Paints