Bukit Asam Good shelter in the storm
PTBA exposure in the domestic market provides a stable cushion during difficult export market condition, therefore able to generate more stable profitability compared to its more export oriented peers. Recently announced 1H12 performance reveals that ASP remains stable despite weaker global price benchmark. We pick PTBA as one of our top picks in the sector.
Read More...Gajah Tunggal, Fundamentally on Solid Ground
Solid footing in domestic replacement market In the domestic replacement market, GJTL commands 21%, 50% and 52% of the radial, bias and motorcycle tyre sub-segments respectively. We expect the radial and motorcycle tyre replacement market to keep growing, propelled by the increasing number of cars and motorcycles. Meanwhile, the sunset bias tyre market is expected.
Read More...Astra International, Forging Ahead Despite Strong Headwinds
ASII’s domestic 4W market share rose to 57.1% in Jan-May 2012, from 54.3% in the same period last year, while its 2W market share rose to 55.2% from 51.2%. Although vehicle sales were temporary affected by the implementation of a new downpayment policy, we expect ASII’s vehicle sales growth to outperform that of the industry..
Read More...Auto, Short-Term Blip, But Long-Term Boom
We see a promising outlook for domestic vehicle sales in the long term, although there might be hiccups in the short-term due to the new higher downpayment policy. Although 4W vehicle sales growth is likely to soften in the second-half, our calculation shows that FY12 car sales might still be higher than that in FY11,.
Read More...Indomobil Sukses, Making Headway Amid Competition
IMAS, which is aiming for FY12 4W vehicles sales to crank up by more than 50% y-o-y, is banking on its newly launched MPV Nissan Evalia carving out a 20%-25% share of the MPV market. Although a lucrative segment, competition in MPVs is tough as its competitors had earlier this year launched new models before.
Read More...Multistrada Arah Sarana, Fully Valued
Unique business model We continue to like MASA’s unique off-take business of producing branded tyres for multinational distributors, which allows the company to leverage on these distributors’ strong networks and substantial demand. The competition in this segment is relatively benign as the big players are not eager to serve third-party brands while the smaller ones.
Read More...Indospring, Springing With The Growing Market
Commercial vehicle sales on track Commercial vehicle sales jumped 22% y-o-y in the first five months of the year compared to the same period the last year. Over the longer term, commercial vehicle sales have been growing at a 9% CAGR since 2005. Assuming that the average age of commercial vehicles is five years, the.
Read More...Multistrada Arah Sarana Fully Valued
Unique business model We continue to like MASA’s unique off-take business of producing branded tyres for multinational distributors, which allows the company to leverage on these distributors’ strong networks and substantial demand. The competition in this segment is relatively benign as the big players are not eager to serve third-party brands while the smaller ones.
Read More...Wintermar Positive Outlook
Positive move Wintermar Offshore Marine, Tbk (WINS IJ) plans to make a rights issue via the issuance of new convertible bonds and ordinary shares amounting to 340m shares, representing 9.56% of the company’s enlarged equity. The company plans to use the proceeds to expand the company’s fleet from 2012–2014. It is worth noting that in.
Read More...Wintermar a Positive Step
Wintermar Offshore Marine (WINS) plans to have a non pre-emptive rights issue of convertible bonds and ordinary shares totalling 340m shares, or 9.56% of its enlarged equity. The convertible bonds will raise IDR95bn (IDR500/share; 190m shares) while the new shares will raise IDR69bn (at least IDR461/share; 150m shares). The total proceeds of IDR164bn represent 12.8%.
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