SUHERMAN SANTIKNO’s Post

Indonesia Equity:: Bekasi Fajar Industrial Estate (BEST): It is a BUY, technically and fundamentally on the following 2 reasons: 1. Strong price support at IDR100, while strong resistance levels at IDR150, then at IDR200, meaning BEST is offering an attractive entry point right now; 2. As of 30 Sep 2024, net liquidation value of BEST, based on our back of envelope calculation, falls within IDR1.5k-2.0k per share, if we conservatively assume its owned gross land (totaling some 1k ha) was priced at IDR2mn per m2. The company sold 13ha of its ripened land at an average price of IDR3.2mn per m2 during 9M24. Bekasi Fajar, to conclude, is a classic case of a stock priced at maximum pessimism. We thus rate it a best BUY.

MP Evans Group plc (MPE) , the sustainable palm oil producer, has acquired a 5% minority stake in its Indonesian subsidiary trading companies. The total cost of the acquisition was $14 million based on a price of US$9,000 per planted hectare and was funded from existing cash reserves. However, cash outflow was $6 million as the sum was netted off against a loan the seller had with MPE. This purchase was made by PT Evans Indonesia, the group’s subsidiary and included estates at Kota Bangun, Pangkatan, Bumi Mas, Musi Rawas, and Simpang Kiri. The seller was Praba Madhavan PA Madhavan. After this transaction, the only remaining minority interest is a 10% stake in the Group’s Bangka estate. More at #Proactive #ProactiveInvestors #MPEvans #palmoil http://ow.ly/yApZ105vlW4

The plantation sector's prospects for downstream segments will likely be subdued in the near term due to the overcapacity of refineries in Indonesia and the weak global economy, said Hong Leong Investment Bank Bhd (HLIB). Despite the improved labour situation, the bank said only Kuala Lumpur Kepong Bhd (KLK) and SD Guthrie Bhd registered positive year-on-year (YoY) FFB output growth. It said this was due mainly to less favourable weather conditions (particularly in Sabah) during January–February, which in turn affected the productivity of planters with higher exposure in Sabah. "Performance at the downstream segment, on the other hand, remained weak, mainly on the back of intense competition from Indonesian refiners and weak margins at the oleochemical sub-segment," it said. https://lnkd.in/g-8ZhBdf

IPOA Identifies Four Key Issues for Production Boost in Indonesia https://lnkd.in/gApubUEh #PalmOilMagazine #PalmOil #PalmOilPlantation #FFB #CPO #Production GAPKI IPOA

Industrial Areas Make High Profits The majority of industrial area issuers achieved profit growth as of Q3-2024 JAKARTA. Industrial area property issuers continue to record positive performance until the end of the third quarter of 2024. Most recently, PT Surya Semesta Internusa Tbk (SSIA) reported its revenue performance reached IDR 3.86 trillion during January-September 2024. SSIA's revenue rose 27.85% on an annual basis from IDR 3.76 trillion in the same period in 2023. As a result, SSIA managed to turn around a loss of IDR 23.69 billion in the January-September 2023 period to a net profit of IDR 228.41 billion in nine months 2024. Vice President of Investor Relations & Corporate Communications at Surya Semesta Internusa, Erlin Budiman, said that revenue growth in the period ending September 30 2024 was mainly driven by an increase in construction segment revenue of 26.7% on an annual basis to IDR 532.9 billion. "The increase in SSIA's net profit was the result of an increase in net property profits," said Erlin in the Indonesian Stock Exchange information disclosure, Tuesday (5/11). The net profit of the issuer developing the city of Deltamas, PT Puradelta Lestari Tbk (DMAS) also managed to soar 84.7% on an annual basis to IDR 1.12 trillion as of the third quarter of 2024. Citopang's profit from DMAS's business income was IDR 1.68 trillion to third quarter of 2024, up 71.79% on an annual basis. Director of Puradelta Lestari, Tondy Suwanto, explained that the industrial segment was the main contributor to revenues of IDR 1.5 trillion or around 91.1% of DMAS's business revenues. "Until now, the data center sector is still become a favorite in the industrial segment," explained Tondy. Industrial sector investment Meanwhile, PT Jababeka Tbk (KIJA) posted total revenue of IDR 3.367 trillion in the January-September 2024 period, up 47% annually, at the end of September 2024, KIJA recorded a net profit of IDR 769.69 billion, increased from IDR 231.9 billion in the same period in 2023 (see table). Mirae Asset Sekuritas Senior Market Chartist, Nafan Aji Gusta Utama, sees that the performance of industrial area issuers in the third quarter of 2024 is influenced by positive sentiment regarding investments in the industrial sector. Looking ahead, the performance of industrial area property issuers will still be bright. The main sentiment is the potential cut in interest rates by the United States (US) central bank, The Fed, by 25 basis points (bps) at the FOMC meeting on November 6-7 2024. Peluang #investasi dan pengembangan #properti yang saling menguntungkan: Hubungi kami : +62 811-8506-660 project@nusadev.com https://lnkd.in/g3KdMqT #propertybusiness #propertydevelopment #propertyinvesting #NusantaraDᴇᴠᴇʟᴏᴩᴍᴇɴᴛs #renovasiproperti #properti #renovasigudang #kontraktor #gudang #pergudangan #konstruksi 

PT Gunung Raja Paksi Tbk (GGRP) has taken a significant step toward revolutionizing the steel industry with its strategic roadmap to become Asia’s leading low-carbon steel producer. 🏗️✨ Key highlights: ✅ Advanced technology: Upgrading electric arc furnaces (EAF) for reduced energy use. ✅ Sustainable practices: Optimizing scrap utilization and tracking emissions across products. ✅ Global expansion: Targeting export markets for premium low-carbon steel. ✅ Financial resilience: Strong performance, with EBITDA up 54.6% YoY, net profit surging by 780.8%, and liabilities reduced by 58.4%. GGRP’s transformation aligns with the global Net Zero 2050 vision, boosting its competitiveness and reinforcing Indonesia’s Net Zero target by 2060. This is a massive leap forward in building a greener future through innovative and sustainable steel solutions. 🌱💪 📣 Let’s celebrate this milestone and support industries championing decarbonization! #LowCarbonSteel #Sustainability #Innovation #NetZero #GGRP https://lnkd.in/gzV7GkpM

At a press conference on Monday, 29 July 2024, the Ministry of Investment and Indonesia Investment Coordinating Board (BKPM) announced significant growth in investment realization for the second quarter, totalling IDR 428.4 trillion. This represents a 6.7% increase from Q1 2024 and an impressive 22.5% growth compared to Q2 2023. The cumulative investment for the first half of 2024 reached IDR 829.9 trillion, reflecting a 22.3% rise from the same period last year which indicates a more favorable investment climate in Indonesia. Foreign Direct Investment (FDI) played a significant role, making up 50.7% of the total investment, with key contributions from Singapore, China, Hong Kong, South Korea, and the United States. The downstream sector, particularly in minerals, forestry, agriculture, oil and gas, and the electric vehicle ecosystem, showed strong performance, realizing IDR 105.6 trillion in the second quarter. "In fact, the investment climate remains conducive during the transition period towards the inauguration of the new president. This is supported by the design of an investment strategy in the downstream sectors to create added value and the commitment of a number of large copper and nickel smelting companies that will operate in Semester I of 2024," explained Bahlil. Furthermore, the Ministry of Investment/BKPM provided data on Micro and Small Medium Enterprises (MSMEs) for the first half of 2024, showing a total of 2,411,350 registered projects with an investment commitment of IDR 127.0 trillion. Minister of Investment Bahlil Lahadalia emphasized that MSMEs are the largest contributors to employment among business sectors. From January to June, MSME projects created 4,696,618 jobs. #investIndonesiaNow #ministryofinvestment #investindonesia #KementerianInvestasi #bkpm #bkpmri #InvestasiTumbuhIndonesiaMaju #nusantarabaruindonesiamaju

🔗 https://lnkd.in/dKjm4n3U 📝 Smart #investing: Unveiling key drivers of #strategic #investment for #investors in the Indonesia #Stock Exchange 👥 Ika Yanuarti Loebiantoro, Eaw Hooi Cheng, Nursyamilah Annuar 

[Issuer Rating] Lianhe Global has assigned ‘A’ global scale Long-term Issuer Credit Rating to Jiangsu Fangyang Holdings Co., Ltd. (“JFH” or “the company”). The Outlook is Stable. The Issuer Credit Rating reflects a high possibility that the People’s Government of Jiangsu Province (“Jiangsu government”) and the People’s Government of Lianyungang City, Jiangsu Province (“Lianyungang government”) would provide strong support to JFH if needed, in light of the government’s full ownership of JFH, JFH’s strategic importance as the key local investment and development company (“LIDC”) that is responsible for infrastructure construction, state-owned asset operation and agriculture development in Lianyungang City, Jiangsu Province (“Lianyungang”), especially in the Xuwei New District (“Xuwei District”), and the linkage between the government and JFH, including appointment and supervision of the senior management, strategic alignment, major investment and financing plan decisions and ongoing operational and financial support. In addition, the Jiangsu and Lianyungang government may face significant negative impact on its reputation and financing activities if JFH encounters any operational and financial difficulties. The Stable Outlook reflects our expectation that JFH’s strategic importance would remain intact while the Jiangsu and Lianyungang government will continue to ensure JFH’s stable operation. Full Press Release: https://lnkd.in/eUYZv8HW Full Initial Issuer Report: https://lnkd.in/eRPFkPQD #China #Jiangsu #Lianyungang #JFH #assignment #LGFV #rating #creditrating #investmentgrade #dcm #issuerrating #issuancerating #bonds #usdbonds #offshorebonds #chinabonds #fixedincome #debtcapitalmarkets

On the other hand, changes to the export duty and windfall profit levy system are seen as a slight negative for Malaysia-centric planters (RM40 to RM50 net increase in charges per CPO tonne). The resulting impact on IOI would also be partly mitigated by its downstream operations, which should benefit from cheaper feedstock prices under the new policies, the research house noted. All in, the earnings impact for financial year 2025 (FY25) arising from these changes could come in at less than 5%, according to UOBKH Research’s back-of-the-envelope calculations.