External broker reports(aggregated public sources), MNC Sekuritas

MNC Sekuritas

External broker reports(aggregated public sources)

MNC Sekuritas, the first wholly-owned subsidiary established by the Group back in 1989, provides a complete range of services, from equity, fixed income, investment banking to providing research to optimize clients’ investments. Thus far, the company has more than 140 points of sales with over 100,000 clients. Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Equity Bottom-Up

<ul><li>ERAA delivered a resilient performance in 1H25, booking a net profit increase of +8.5% YoY to IDR568.3 bn in 1H25 (vs IDR523.6 bn in 1H24), in line at 49.7% of our FY25E estimates though slightly below consensus at 46.5%.</li><li>All business segments contributed positively, driving consolidated revenue growth of +5.8% YoY to IDR35.1 tn in 1H25 (vs IDR33.1 tn in 1H24), achieving 48.3%/47.9% of our/consensus FY25E estimates.</li><li>Despite COGS rising +5.2% YoY to IDR31.1 tn in 1H25 (vs IDR29.5 tn in 1H24), gross profit managed to increase +10.9% YoY to IDR4.0 tn in 1H25 (vs IDR3.6 tn in 1H24).</li></ul><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

ERAA delivered a resilient performance in 1H25, booking a net profit increase of +8.5% YoY to IDR568.3 bn in 1H25 (vs IDR523.6 bn in 1H24), in line at 49.7% of our FY25E estimates though slightly below consensus at 46.5%.All business segments contributed positively, driving consolidated revenue growth of +5.8% YoY to IDR35.1 tn in 1H25 (vs IDR33.1 tn in 1H24), achieving 48.3%/47.9% of our/consensus FY25E estimates.Despite COGS rising +5.2% YoY to IDR31.1 tn in 1H25 (vs IDR29.5 tn in 1H24), gross profit managed to increase +10.9% YoY to IDR4.0 tn in 1H25 (vs IDR3.6 tn in 1H24).Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Eraa Ij -Resilient 1H25 Results; Reshaping Portfolio In Progress

Eraa IJ  - Solid 1H25 Performance Across All Segments

ASEAN Insight Provider, CrossASEAN Research

Angus Mackintosh

ASEAN Insight Provider

CrossASEAN Research

At CrossASEAN Research we strive to produce unbiased and differentiated on the ground insights on companies across South East Asia. Our Research is produced for the most part after face to face meetings and conversations with company management to dig deep into the long term vision and strategy of the companies we cover. We seek to deliver investable and actionable themes on sectors and markets across SE Asia, often in collaboration with other Insight Providers across the region, pooling the vast experience of the analysts within the Smartkarma Ecosystem. We also offer bespoke work and tailor made trips for our clients. 

Insights across South East Asia

<ul>
<li>
<a href="https://www.smartkarma.com/entities/erajaya-swasembada-tbk-pt" target="_blank" data-smartkarma-citation="entities:18869:1" rel="noopener">Erajaya Swasembada</a> booked a strong performance in 3Q2024 but 4Q2024 is likely to be the peak seasonal quarter for sales, even with no sales of iPhone 16.</li>
<li>Chinese brands have accelerated the availability of affordable handsets, which should help to drive sales. JD Sports will be consolidated in December and Grand Lucky is performing well. </li>
<li>
<a href="https://www.smartkarma.com/entities/erajaya-swasembada-tbk-pt" target="_blank" data-smartkarma-citation="entities:18869:1" rel="noopener">Erajaya Swasembada (ERAA IJ)</a> will continue to expand Erajaya Digitial in 2025, Erablue stores already be at 76 stores by November. Valuations remain attractive along with a strong growth profile. </li>
</ul>



Erajaya Swasembada booked a strong performance in 3Q2024 but 4Q2024 is likely to be the peak seasonal quarter for sales, even with no sales of iPhone 16.
Chinese brands have accelerated the availability of affordable handsets, which should help to drive sales. JD Sports will be consolidated in December and Grand Lucky is performing well. 

Erajaya Swasembada (ERAA IJ) will continue to expand Erajaya Digitial in 2025, Erablue stores already be at 76 stores by November. Valuations remain attractive along with a strong growth profile. 


Erajaya Swasembada (ERAA IJ) - Set up for a Stronger 2025

Cross Asset Strategy

<ul>
<li>The Indonesian stock market was down 2% over the last year despite a flurry of inflows in the summer but this year looks interesting with a new government in place. </li>
<li>GDP growth forecasts are more optimistic for 2025 and government stimulus should help to drive higher consumption, with FDI driven by more value-added investments in the EV-related projects. </li>
<li>Increasing digitalisation of the economy and greater use of AI will drive profitability and data centre growth. Interest rates are expected to fall -50-100bps which should also be supportive.</li>
</ul>


The Indonesian stock market was down 2% over the last year despite a flurry of inflows in the summer but this year looks interesting with a new government in place. 
GDP growth forecasts are more optimistic for 2025 and government stimulus should help to drive higher consumption, with FDI driven by more value-added investments in the EV-related projects. 
Increasing digitalisation of the economy and greater use of AI will drive profitability and data centre growth. Interest rates are expected to fall -50-100bps which should also be supportive.


CrossASEAN Indonesia Strategy - Parting Clouds

<ul>
<li>Indonesia has been the recipient of significant investment flows for foreign investors with more of a "risk on" environment with a large portion flowing into Indonesian banks. </li>
<li>Indonesia stacks up from an investment perspective with a stable political environment, solid GDP growth of around 5% YoY, rising flows of FDI, and a more stable IDR.</li>
<li>Despite the JCI knocking on all-time highs, valuations continue to look attractive with prospects of a better 2H2024 and lower interest rates. Top picks: Banks, property, consumer, and selective elsewhere. </li>
</ul>


Indonesia has been the recipient of significant investment flows for foreign investors with more of a "risk on" environment with a large portion flowing into Indonesian banks. 
Indonesia stacks up from an investment perspective with a stable political environment, solid GDP growth of around 5% YoY, rising flows of FDI, and a more stable IDR.
Despite the JCI knocking on all-time highs, valuations continue to look attractive with prospects of a better 2H2024 and lower interest rates. Top picks: Banks, property, consumer, and selective elsewhere. 


Indonesia Strategy - Caught in a Perfect Updraft?

Indonesia

PT Erajaya Swasembada Tbk distributes and retails cellular telephones.  The Company is licensed to distribute international brands of cell phones, and operates a chain of retail shops in Indonesia.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Erajaya Swasembada (ERAA IJ)

Eraa Ij -Resilient 1H25 Results; Reshaping Portfolio In Progress

ERAA delivered a resilient performance in 1H25, booking a net profit increase of +8.5% YoY to IDR568.3 bn in 1H25 (vs IDR523.6 bn in 1H24), in line...

MNC Sekuritas

Eraa IJ - Solid 1H25 Performance Across All Segments

ERAA delivered a resilient performance in 1H25, booking a net profit increase of +8.5% YoY to IDR568.3 bn in 1H25 (vs IDR523.6 bn in 1H24), in line...

MNC Sekuritas