Coal & China Factor
International media reported yesterday that Vietnam’s coal imports surged 141% year-on-year to 1.31 million tons in July. It is indeed a good news. Market players, however, expect more good news from China, which is still the world’s single largest user.
Toll Road Projects Update & Outlook
Jokowi-Kalla administration seems determined to accelerate development of public infrastructure, especially toll roads, mass transportation (conventional railways, light-rail transit, mass-rapid transit, and speed train). While there will be no more capital injection into state companies assigned to build the projects, the government set aside Rp21.65 trillion of funding for the so-called State Asset Management Agency (LMAN).
Automotive Market Update
Car sales reached 62,585 units last month, an increase of 12.5% year-on-year. Brands handled by Astra International (ASII) enjoyed strong growth of 60.6%, while other brands suffered 21.6% fall. Honda was an exception outside Astra Group with 5% growth year-on-year.
United Global, Pacific Lubritama & Wiranto Group
SGX-listed United Global Limited has on August 15, 2016 signed a non-binding memorandum of understanding with PT Pacific Lubritama Indonesia (PLI) to explore future collaboration opportunities and or the possibility of United Global acquiring an equity interest in PLI.
Samko Timber Divests SLJ Global
Samko Timber Ltd, SGX-listed company controlled by the families of Putera Sampoerna and Aris Sunarko, has entered into a conditional agreement with Amir Sunarko, brother of Aris, regarding 24.63% shares of Samko Timber in PT SLJ Global Tbk (SULI).
Policy Issue to Watch for Integrated Poultry Players
The association of small poultry business players has recently submitted a draft of regulation limiting penetration of integrated poultry players in the traditional/wet market for chicken and eggs.
Luhut’s Policies Talk
While citizenship issue of Archandra Tahar, minister of energy and mineral resources, dominating the headlines, Luhut Binsar Pandjaitan, coordinating minister for maritime affairs, who supervises Archandra, talked about lots of new policies in the sector last Saturday (August 13). Luhut was in the respected Bandung Institute of Technology (ITB) campus when addressing these policies.
Tax Amnesty in Action (6)
Friday, August 12, was a promising day for tax amnesty program. Tax Office reported additional Rp6.8 trillion of asses declared by taxpayers, the highest daily performance since the program was launched last month. That particular day, the State collected Rp128 billion of revenues. Vice President Jusuf Kalla was upbeat with the performance, dismissing doubts over Rp165 trillion revenue target from the program. Really?
TPS Food: First Half Results & Outlook
Next year, TPS Food (AISA) will commemorate 20 years of listing on Indonesia Stock Exchange (IDX). This is one of companies entering the market prior to Asian financial crisis in 1997. After series of debt restructuring, the Company started to be more aggressive in getting more public funds in the past eight years or so.
Integrated Poultry Players in First Half
Japfa Comfeed (JPFA) and Charoen Pokphand Indonesia (CPIN) booked net profit of Rp964 billion and Rp1.74 trillion respectively in the first half. Japfa reported lower sales revenue growth of 11.5%, but its operating profit skyrocketed almost 300% in the period.