Oil and gas firm Medco Energi Internasional (MEDC), co-owned by Anthoni Salim and Panigoro Families, booked profit attributable to owners of US$330.6 million in 2023, dropped 37.8% year on year (y/y), mainly due to higher costs because revenues only declined 4.3% y/y to US$2.25 billion. 

Back to business! Perindo, a party established and controlled by businessman Hary Tanoesoedibjo, once again failed to enter the parliament. It failed for three consecutive elections to pass the parliamentary threshold. How about Hary’s businesses? MNC Group came up with mixed results last year. 

Like peers, plantation firm Sinar Mas Agro Resources and Technology (SMAR) booked profit attributable owners of Rp918 billion in 2023, dropped 83.3% year on year (y/y), as operating profit fell 77.3% y/y to Rp1.48 trillion. Sales declined 12% y/y to Rp66.5 trillion. The Company’s Ebitda reached Rp3.8 trillion, fell 61% y/y. 

State miner Aneka Tambang (ANTM) or Antam and tin producer Timah (TINS), both are subsidiaries of PT Mining Industry Indonesia (MIND ID), reported weaker results in 2023. Antam reported 10.8% decline in sales, to Rp41 trillion, while Timah reported 33.3% fall in revenue, to Rp8.39 trillion. Both companies have been implicated in series of corruption investigations in the past few years.

Coal miners mostly reported lower revenue in 2023, inline with a 65% correction in thermal coal price, from US$390 per ton by end December 2022 to US$135 per ton by end December 2023. They start 2024 with smaller correction in prices to squeeze margins even further. 

Revenues from nickel sales surged 192% to US$1.33 billion last year, but Merdeka Battery Materials (MBMA) posted gross profit of US$77.5 million only, an increase of 74.5% from 2022. The nickel producer suffered more in the fourth quarter due to falling prices in international market on oversupply from Indonesia and softened demand.

Shares of MD Pictures (FILM), a production house, ended higher by 4.6% to Rp4,580 on Wednesday (Mar 27) even when the company reported 40% fall in net profit last year. At the last quoted price, MD Pictures was traded with PE multiple 458, one of the most overcooked stocks in the market.

Shares of Amman Mineral Internasional (AMMN), parent of gold and copper miner PT Amman Mineral Nusa Tenggara (AMNT), ended lower by 0.86% to Rp8,600 on Wednesday (March 27) as investors digesting financial results in 2023. We anticipate further correction to reflect fair value of this company.

Shares of cellular operator XL Axiata (EXCL) lost 4.6% to Rp2,280 on Wednesday (March 27), valued at Rp31.1 trillion, with sentiment undermined by the development on the consolidation or merger with Smartfren Telecom (FREN) which was traded flat at Rp50 yesterday, valued at Rp16.77 trillion.

Shares of Charoen Pokphand Indonesia (CPIN), the largest integrated poultry player, fell 1.42% to Rp5,225 on Tuesday (March 26), to make market capitalization of Rp85.68 trillion. The stock however has gained 17.7% from its lowest price this year, at Rp4440 early last month. Second largest Japfa Comfeed (JPFA) also fell 2.1% to Rp1165 yesterday, valued at Rp13.66 trillion.