MACROECONOMY

Bauxite Export Ban to Start in June 2023

The government through Ministry of Energy and Mineral Resources emphasized that the export prohibition policy for bauxite ore commodities will continue to be implemented starting in June 2023. Meanwhile for other commodities such as tin and copper are still in the process of further discussion. (Investor Daily)

CORPORATE

 

July 2020 Gapki: Exports and Domestic consumption improved

CPO production reached 4.2mn tons (-2.1% yoy -6.2% mom) while exports of CPO inched down by -3.2%yoy and -2.8%mom in Jul20 to 656k tons, with refined product exports at 2.5mn tons (+10.5% yoy and +18.2% MoM). Domestic consumption stood at 1.4mn tons (-0.6% yoy and +7.3% MoM) driven by higher FAME absorption. The final stocks for Jul 20 reached 3.6mn tons (+2.9% YoY, -8.3%MoM). China and Middle East exports surged +43% MoM and 65% MoM, respectively, to 629k tons for China in Jul20 while Middle East exports reached 273k tons in Jul20. (GAPKI)

 

GOTO Updates on Profitability Guidance

On February 16th, the company provided updated profitability guidance, expecting adjusted EBITDA to become positive within the 4Q-23. Other updates on GOTO throughout 2023; Appointments of new group leadership team, Included in the FTSE Global Equity Index Series (FTSE All-World, FTSE Global All Cap, FTSE Global Total Cap and FTSE Indonesia Indices) with the changes officially taking effect from the close of market trading on 17 March 2023.

There were also launching of GoFood Mode Hemat (Economy Mode) in Semarang, Solo, Depok and Bekasi to capture price-sensitive user segments. Recent survey on Asia’s food delivery market by Measurable AI showing that GoFood holds the leading position in Indonesia. GoTransit also being launched in Solo and Jogja. (Company)

 

ITMG Export Market Target in 2023

According to ITMG, this year ITMG will still focus on targeting exports on established markets such as China and Japan, also emerging markets such as Bangladesh, Vietnam, and other countries. In addition, the company also stated that various European countries are also a potential market in 2023. (Bisnis)

 

JPFA Prepares IDR 350 bn. for Buyback

JPFA is still waiting for approval from shareholders for the company's plan of buyback action. The number of mandate buybacks to be asked for approval from shareholders is a maximum of 1.5% of all shares that have been placed by the company with a maximum of IDR 350 bn. After the Company received approval from the Company's EGMS, buyback can be carried out from April 6, 2023 to March 31, 2024. (Emitennews)

 

PTPP Complete the Semarang-Demak Toll Road Section 2

PTPP completed the construction of the Semarang Demak toll road construction Section 2 Sayung - Demak, Central Java; inaugurated recently by President Joko Widodo (2/25). The Semarang-Demak Section 2 Toll Road has a track length of 16.01 kilometers, with an initial tariff of IDR 1,195/km for type-I (passenger cars) vehicle groups. (IDX)

 

TLKM Invest IDR 6 tn. on Data Center Business

TLKM through its subsidiary PT Telkom Data Ecosystem with the Neutradc brand, will focus on developing the existing Data Center business, namely the Cikarang and Sentul Hyperscale Data Center (HDC) in West Java, Enterprise DC in Serpong (Banten), Surabaya (East Java), and Greenfield HDC Batam in Riau Islands in 2023. The total allocation of investment funds is estimated at IDR 6 tn. In the medium term, the company is targeting the operation of the data center with a total capacity of 400 megawatts (MW) in 2030, up nine times from the current 44 MW. (Investor Daily)

 

Comment: We understand that Telkom has a long way to building 400MW capacity as stated in the article with existing capacity of 44MW. Telkom needs to secure the electricity and back up needed to supply the data centers with a view that electricity will be produced using renewable energy. Nonetheless Telkom has been flexible in the Batam project securing electricity from Medco Power, with the potential to using cleaner energy. Rp6tn with approx. calculation should be able to build additional 33MW, potentially for Batam, Cikarang, Manado and other edge data centers.

(Niko, BRIDS)

 

WSKT New Contract Value January 2023

WSKT posted a new contract value of IDR 1.38 tn. in January 2023, up 139.29% yoy. The government project dominated the new contract value acquisition with a contribution of 71.93%, majority from Probolinggo-Banyuwangi Toll Road Section 3 project with total value of IDR 996.8 bn. Total new contract value targeted by the company are IDR 20 tn. for 2023. Meanwhile, related to the Bogor-Ciawi-Sukabumi Toll Road (Bocimi) project Section 2, WSKT targets the toll road to be commercially operational in May 2023. (Investor Daily, Bisnis)