Information Systems Capability, Market Expansion, and Profitability in Indonesian State-Owned Pharmaceutical Cases: The Proposed Mediating Role of Sales Growth

The link between information systems, market expansion and profitability is often described through sales growth, but annual reports rarely provide the measures needed to identify that mechanism. This study examines the evidential status of the proposed pathway in Kimia Farma and Phapros using a longitudinal documentary comparison of public reports for 2021–2025. Technology and market access narratives are read alongside revenue and the latest comparable financial figures. Phapros’ 2025 revenue increased by 26.34 percent and its net margin returned to positive territory. Kimia Farma’s revenue decreased by 7.20 percent while its net loss margin improved. The contrasting patterns show that revenue growth is neither a necessary description of margin recovery nor sufficient evidence of a mediated effect. Reported enterprise systems, electronic commerce and distribution arrangements suggest plausible operational links, but deployment, customer conversion and causal timing remain unobserved. The study contributes an identification audit that distinguishes a theoretically plausible pathway from a tested mediation claim. It identifies the operational and longitudinal evidence required for subsequent empirical testing.