Category: Market

Shares of Pertamina Geothermal Energy (PGEO) gained 2.82% to Rp910 on Wednesday (May 31), to make market capitalization of Rp37.67 trillion. The stock was traded at Rp875 on listing date in February 24, 2023, but then fell to its lowest level at Rp615 on April 10. Since then PGEO rebounded significantly.

Gold producer Merdeka Copper Gold (MDKA) booked profit attributable to owners of US$3.1 million only in the first quarter (Q1) of 2023, compared to US$69.6 million in the corresponding period of 2022, as operating profit margins were squeezed, while finance expenses soared to US$22.7 million from US$3.36 million.

Visi Asia Media (VIVA), the parent of TVOne owned by Bakrie Group, recorded revenues of Rp322.8 billion in the first quarter (Q1) of 2023, declined 30% year on year (y/y), worsened from last year with revenues only declining 5.5%. VIVA, accordingly, was not able to reduce its tax liabilities to the State (Rp452 billion as of March 31, unchanged from December 2022).

Coal miner Harum Energy (HRUM), owned by the family of Kiki Barki, has consistently recorded profits from its investments in the nickel business. The company booked profit attributable to owners of US$103.4 million in the first quarter (Q1) of 2023, grew 63% year on year (y/y).

State-owned telecommunication operator Telkom Indonesia (TLKM) continues to defend its subsidiary Telkomsel’s huge investment in technology firm GoTo Gojek Tokopedia (GOTO), which lost substantially its ‘market value’ since the initial public offering (IPO) last year. 

With the exception of Dayamitra Telekomunikasi (MTEL) or Mitratel, subsidiary of state telco firm Telkom Indonesia (TLKM), other operators of telecommunication towers reported weak sales growth and squeezed net profit margins in the first quarter of 2023. 

Shares of plantation firm Jhonlin Agro Raya (JARR), owned by South Kalimantan businessman Haji Isam, lost 3.28% to Rp236 on Monday (May 29), to make market capitalization of Rp1.89 trillion. The stock has fallen 20% so far this year, inline with the correction of crude palm oil (CPO) prices. JARR lost 21% from its IPO price, starting trading in Indonesia Stock Exchange (IDX) on August 4, 2022.

Fourteen years ago British American Tobacco (BAT) Inc acquired 85% shares of PT Bentoel Internasional Investama Tbk (RMBA) from Peter Sondakh’s Rajawali Corpora for US$494 million. This is classified as one of failed investments by global tobacco player in Indonesia (i.e. vis-a-vis acquisition of HM Sampoerna by Phillip Morris International years earlier).

State telco operator Telkom Indonesia (TLKM), or Telkom, is set to spin off Indihome business segment, valued Rp58.25 trillion, to merging it with PT Telekomunikasi Selular (Telkomsel), a subsidiary of TLKM. The transaction lifts Telkom’s ownership in Telkomsel, which follows XL Axiata (EXCL) in becoming a Fixed Mobile Convergence (FMC) player.

The central bank, Bank Indonesia (BI), decided to hold the BI 7-Day Reverse Repo Rate (BI7DRR) at 5.75%, while also maintaining the Deposit Facility (DF) rate at 5.00% and Lending Facility (LF) rate at 6.50%, consistent with the monetary policy stance to control core inflation within the 3.0%±1% target this year.

Shares of United Tractors (UNTR)—a subsidiary of Astra International engaged in construction machinery supply, coal mining contracting, own coal business, power generation, and civil construction—ended lower by 4,47% to Rp23,500 on Thursday (May 26) as investors digested various news surrounding commodities, which were under pressure following the strengthening of US dollars.

Technology firm GoTo Gojek Tokopedia (GOTO) announced plans to increase capital through private placement scheme, offering 118.43 billion new shares, representing 10% of enlarged capital, to certain buyers or investors. The proceeds of private placement will be used to support the working capital needs.