Indonesia Market Summaries 4 July 2013

• PT Sumber Alfaria Trijaya (AMRT, Rp6.450) projecting Lebaran Ied moment will boost the company's revenue by 20% more than the usual month. AMRT also anticipate this moment by increasing the stock of necessary public goods, among others, biscuits, syrup and various other snacks. Sales of these products are expected to increase up to 200% compared than usual days.
• PT Electronic City Indonesia Tbk (ECII, Rp3.800) targeting sales growth of 20% -22% during the month of Ramadan. This value would contribute 10% -12% to total revenue as a whole.
  
  Demand for consumer spending in the month of Ramadan usually seen at the end of the first week or toward the second week, and continued to increase until the end of the month. The most high demand items during Ramadan is an audio video, home apliance, and mobile gadgets.
• PT Bank Rakyat Indonesia Tbk (BBRI, Rp 7,500, BUY, TP Rp10.600) increased its investment to its subsidiary, PT Bank BRI Syariah worth Rp500 billion. With this additional capital, then BBRI has paid-in capital amounting to Rp1,48 trillion in its subsidiary, equivalent to 99.99% of the total shares of BRI Syariah.
• Gross profit margin PT Hexindo Adiperkasa Tbk (HEXA, Rp4.575, SELL, TP Rp 4,000) fell to 17.5% in the fourth quarter of 2012-2013 compared with 22.9% in the third quarter of 2012-2013, this is because the increasing competition that is expected to continue in line with CPO and coal prices that are still falling.
• There will be a surprising decline in the financial statements reports on first quarter of 2013 and 2014 related to the cessation of two workshops (workshops) in Satui & Senakin since April. SELL recommendation with a target price of Rp 4,000 for the next 12 months.
• World Bank lowered its economic growth forecast of Indonesia to 5.9% in 2013, compared with a previous prediction of 6.2%. Several factors affect this projections are that the global economy has not improved and the increasing prices of subsidized fuel that makes household consumption fell. Minister for Economic Affairs, Mr. Hatta Rajasa still optimistic target of 6.3% is to be achieved (Bisnis Indonesia)
• The government of Indonesia is designing a fuel subsidy scheme more regularly to the State Budget (APBN) 2014. Deputy Finance Minister, Mr. Mahendra Siregar said the government is willing to set the exact amount of subsidy per liter of fuel It is no longer refers to the price of crude oil. (Bisnis Indonesia)
• PT Summarecon Agung Tbk (SMRA, Rp1.140) recorded sales marketing Rp 2 trillion during the first 6 months of this year. This achievement represented 44.4% of this year's target that is set at Rp 4, 5 trillion.
  
  SMRA' new mall in Bekasi which opened last week had a 91% occupancy rate. The company is also targeting 100 hectares of land in Bekasi, Bandung, and other locations in Greater Jakarta Area began at third quarter of 2013. (Investor Daily)
• Sales of four-wheeled vehicles throughout the first semester of 2013 rose 12% year-on-year (yoy) that is to be as many as 601,200 units. (Investor Daily)

for Indonesia Market Summaries 4 July 2013