Mixed Outlook Revision This Week
On the rating action, there were two outlook revision by Pefindo this week: Intiland Development Tbk (DILD:IJ) was revised down to negative from stable and Mayora Indak Tbk (MYOR:IJ) upgraded to stable. The negative outlook on DILD was given to anticipate further weak projected capital structure and cash flow protection measures as a result of weak sales yet its debt level remained elevated. Meanwhile, the stable outlook of MYOR was given due to improved profitability margin where MYOR’s quarterly EBITDA margin has recovered more than 14% from 9.2% in 2014. Lower commodities prices and selling prices adjustment contributed positively to the company’s profitability. In addition, IDR depreciation also contributed to the increase of MYOR’s export revenue which grow 26.6% YoY in 9M15 offsetting unfavorable domestic sales.
