Menu
Strength
Solid topline growth of +12.6% YoY in 3Q24 on the back of robust SSSG, which reached 9.8% in 9M24 (9M23: 7.4%) as Ex-Java maintained its impressive momentum with double-digit SSSG; ACES will incorporate its effective tax benefit of ~19% in its FY24 results (9M24 effective tax rate: -20.3%)
Weakness
Opex saw an uptick +11.8% YoY in 9M24, largely due to higher freight and salary expenses as the company pursued aggressive expansion in Ex-Java markets; Jakarta posted soft SSSG in Sept-24 at 5.0% (Sep-23: 7.7%)
Opportunity
We expect ex-Java markets to maintain their upbeat momentum; potentially improving purchasing power of mid-to-high income segment should support sales going forward, allowing for a reversal from the recent market underperformance
Threat
Worse-than-expected consumer spending (due to weak purchasing power, economic slowdown, and shrinking middle class) as well as potential import tax on Chinese products may dampen ACES’s profitability ahead; the most expensive P/S valuation in our sector coverage; recent market underperformance to persist on earnings downgrades due to weak 9M results
Samuel Sekuritas Indonesia is a leading Indonesian securities brokerage firm. Established in 1997, the firm has grown to become one of the most respected and trusted financial services companies in the country. With a wide range of services and products, Samuel Sekuritas Indonesia has become a trusted partner to many investors, both institutional and individual.
The company offers a variety of financial services, including equity, debt and derivative securities brokerage services, research and portfolio management, asset management and capital market services, as well as a range of other investment solutions. Samuel Sekuritas Indonesia is also a leader in providing financial education and training, and has established itself as a leading provider of investor relations services.
The company has a strong research capability and is committed to providing its clients with up-to-date and reliable market analysis and recommendations. It also has a team of experienced and knowledgeable professionals who are dedicated to providing quality service to its clients. As a result, Samuel Sekuritas Indonesia has become a preferred partner for many investors in Indonesia.
In addition to its financial services, Samuel Sekuritas Indonesia also offers a range of other services, such as corporate finance and advisory services, mergers and acquisitions, and venture capital.
