Equity SNAPSHOT Tuesday, March 06, 2018

Transcription

1 FROM EQUITY RESEARCH Garuda Maintenance Facility: Heading in the right direction (GMFI IJ. IDR 386. BUY. TP IDR 480) Garuda Maintenance Facility Aero Asia Tbk (GMFI) is the largest maintenance, repair, and overhaul company in Indonesia with a domestic market share reaching 32% in value terms. GMFI plans to become a top-10 MRO company globally by achieving organic growth in its captive and new markets whilst also pursuing inorganic expansion. We initiate with BUY recommendation and target price of IDR480 (based on DCF valuation) To see the full version of this report, please click here Kimia Farma: Above expectation with higher other income (KAEF IJ. IDR 2,570. SELL. TP IDR 1,910) Kimia Farma reported robust 4Q17 earnings of IDR113bn, +21% yoy and +16% qoq, which led to FY17 net profits of IDR327bn, +22% yoy, thanks to higher gross margins and other income. The FY17 earnings are above our FY17 forecast (107%) and consensus estimates (112%). To see the full version of this report, please click here MARKET NEWS Macroeconomy Tax reporting through e-filling has reached 3.2mn registrations Sector Indonesian Cement Association seeks moratorium on plant construction Infrastructure: Awaiting payment for the Jakarta and Palembang LRT projects Insurance: Insurers target 5% growth in 2018 Poultry: BUMN poultry company to enter the business Corporate Agung Podomoro claims a 30% take-up rate for the fourth tower in Podomoro Golf View Intiland to launch a new project in 4Q18 KEY INDEX Close Chg Ytd Vol (%) (%) (US$ m) Asean - 5 Indonesia 6,551 (0.5) Thailand 1,809 (0.2) 3.1 2,229 Philippines 8,386 (0.9) (2.0) 118 Malaysia 1,843 (0.7) Singapore 3,439 (1.2) 1.0 1,220 Regional China 3, (1.5) 37,616 Hong Kong 29,886 (2.3) (0.1) 15,187 Japan 21,042 (0.7) (7.6) 14,925 Korea 2,375 (1.1) (3.7) 5,617 Taiwan 10,643 (0.5) 0.0 3,837 India 33,747 (0.9) (0.9) 620 NASDAQ 7, ,230 Dow Jones 24, ,900 CURRENCY AND INTEREST RATE Rate w-w m-m ytd (%) (%) (%) Rupiah Rp/1US$ 13,762 (0.7) (1.8) (1.5) SBI rate % y Gov Indo bond Unit HARD COMMODITY Price d-d m-m ytd (%) (%) (%) Coal US$/ton 102 (0.9) (2.4) 1.2 Gold US$/toz 1, (0.2) 1.4 Nickel US$/mt.ton 13,403 (0.1) Tin US$/mt.ton 21,569 (0.9) (0.6) 7.3 Unit SOFT COMMODITY Price d-d m-m ytd (%) (%) (%) Cocoa US$/mt.ton 2, Corn US$/mt.ton Oil (WTI) US$/barrel (1.2) 3.6 Oil (Brent) US$/barrel (3.1) (2.0) Palm oil MYR/mt.ton 2,497 (2.4) Rubber USd/kg (0.6) 1.0 Pulp US$/tonne 1,069 N/A Coffee US$/60kgbag 93 (0.9) (3.4) (13.0) Sugar US$/MT (7.0) Wheat US$/ton Soy Oil US$/lb 32 (0.2) (1.5) (3.2) Soy Bean US$/by 1, Source: Bloomberg

2 Equity Research Company Update Tuesday,06 March 2018 BUY Initiation Last price (IDR) 386 Target Price (IDR) 480 Upside/Downside +24.4% Previous Target Price (IDR) 480 Stock Statistics Sector Bloomberg Ticker Airlines GMFI IJ No of Shrs (mn) 28,234 Mkt. Cap (IDRbn/USDmn) 10,898/792 Avg. daily T/O (IDRbn/USDmn) 3.6/0.3 Major shareholders (%) Garuda Indonesia 90.0% Estimated Free Float 10.0% EPS Consensus (USD Cents) 2018F 2019F 2020F Danareksa Consensus N/A N/A N/A Danareksa/Cons N/A N/A N/A GMFI relative to JCI Index Source : Bloomberg Garuda Maintenance Facility (GMFI IJ) Heading in the right direction Garuda Maintenance Facility Aero Asia Tbk (GMFI) is the largest maintenance, repair, and overhaul company in Indonesia with a domestic market share reaching 32% in value terms. GMFI plans to become a top-10 MRO company globally by achieving organic growth in its captive and new markets whilst also pursuing inorganic expansion. We initiate with BUY recommendation and target price of IDR480 (based on DCF valuation) The largest MRO (maintenance, repair, and overhaul) company in Indonesia. GMFI is the largest MRO (maintenance, repair and overhaul) company in Indonesia with around 84% of its revenues generated from its captive market. GMFI dominates the domestic MRO market, holding a 32% market share. The local MROs have combined market share of about 49% of the domestic MRO market, while remaining 51% of the domestic MRO market is held by foreign MROs/OEMs with market share of less than 5% each. In expansion mode to become a top 10 MRO company globally. The company seeks to become a top 10 MRO company globally by 2020 through the provision of integrated and reliable aircraft maintenance solutions in its captive and noncaptive markets. Besides the strong expected growth of its organic business from its captive market (Garuda Indonesia, Citilink and Sriwijaya), GMF plans to enlarge its inorganic business through partnerships with other international MROs. The expansion in its inorganic business involves: a) forming strategic alliances with Air France Industries KLM Engineering & Maintenance (AFI KLM E&M) in 2017, b) forming partnerships for developing base maintenance hangars, and c) forming partnerships with OEM/MRO. A Compelling Domestic MRO amid the challenging global outlook. The MRO business in Indonesia is expected to post breakneck growth given that Indonesia is a vast archipelago, meaning it is heavily dependent on air transportation to bring people and goods to its islands. Based on data supplied by CAMRO, the total MRO business in Indonesia is expected to grow by 4-year CAGR of 11% in In addition, with GMF s operational areas located in high growth MRO markets like the Asia Pacific, GMF is well placed to expand its business further. Initiate coverage with a BUY call. We initiate coverage on GMFI with a BUY call and target price of IDR480 (based on DCF valuation and WACC of 10.8%). We like the company given its expansion through organic and inorganic growth and the compelling domestic MRO business which will enlarge GMFI s customer base beyond Garuda group affiliates. The stock also trades at an undemanding valuation compared to its regional peers. Our target price implies 16.8x 2018F PE. x Stefanus Darmagiri (62-21) stefanus.darmagiri@danareksa.com Key Financials Year to 31 Dec 2016A 2017A 2018F 2019F 2020F Revenue (USDmn) EBITDA (USDmn) EBITDA Growth (%) 58.8 (17.1) Net profit (USDmn) EPS (USDCents) EPS growth (%) 27.4 (4.7) BVPS (USDCents) DPS (USDCents) PER (x) PBV (x) Dividend yield (%) EV/EBITDA (x) Source : GMFI, Danareksa Estimates See important disclosure at the back of this report 1

3 Equity Research Results Note Tuesday,06 March 2018 SELL MAINTAIN Last price (IDR) 2,570 Target Price (IDR) 1,910 Upside/Downside -25.7% Previous Target Price (IDR) 1,910 Stock Statistics Sector Bloomberg Ticker Pharmaceutical KAEF IJ No of Shrs (mn) 5,554 Mkt. Cap (IDRbn/USDmn) 14,274/1,037 Avg. daily T/O (IDRbn/USDmn) 3.3/0.2 Major shareholders (%) REPUBLIC OF INDONESIA 90.0 Estimated free float 10.0 EPS Consensus (IDR) 2017F 2018F 2019F Danareksa Consensus Danareksa/Cons KAEF relative to JCI Index Source : Bloomberg Kimia Farma (KAEF IJ) Above expectations backed by higher other income Kimia Farma reported robust 4Q17 earnings of IDR113bn, +21% yoy and +16% qoq, which led to FY17 net profits of IDR327bn, +22% yoy, thanks to higher gross margins and other income. The FY17 earnings are above our FY17 forecast (107%) and consensus estimates (112%). FY17 top line up only +5.5% yoy. KAEF reported 4Q17 revenues of IDR2.1tn, +15.3% yoy and +27.6% qoq, supported by strong revenues from the government, we believe. This led to a FY17 top line of IDR6.1tn, +5.5% yoy, below our full year forecast (95%) and consensus estimates (89%). Recall that KAEF is a major beneficiary of the government s national health program, which accounts for around 40% of KAEF s total revenues. Other income supported the FY17 earnings. KAEF reported the lowest 4Q17 gross margin of 27.9% within the year, with higher revenues from generic products, we believe. However, the high gross margin in 2Q17 (40.7%) and 3Q17 (34.5%) helped to lift the FY17 gross margin to 35.9% (FY16: 32.1%). Nonetheless, the company reported higher opex in FY17 (+21.1%), which restricted the operating profits growth to 6.7% yoy. Thanks to the high gross margins in the previous quarters, KAEF was able to maintain its operating margin at 6.7%. In spite of reporting higher gearing of 80% (FY16: 37%), which translated into higher interest expenses, the company managed to book FY17 bottom line growth of 22% yoy to IDR327bn thanks to other income (the details of which have not yet been made available). The FY17 earnings are above our forecast (107%) and consensus estimates (112%). Aggressive expansion ahead. This year, the company plans to open 60 pharmaceutical outlets in the Middle East post the acquisition of a 60% stake in Dwaa as well as acquire several local pharma and cosmetic companies to achieve inorganic growth. At present, the company is also completing several new plants in West Java, which will provide a significant contribution towards revenues in The aggressive expansion will be financed by higher debt, we believe. Maintain SELL. At the current share price, KAEF is trading at FY18F PE of 41.7x, which is higher than the valuation of its peer KLBF (FY18F PE 28.4x). While we believe that KAEF will benefit significantly from growing participation in the national health program, we don t think that the lofty valuation can be justified despite the expectation of strong revenues and earnings growth in 2019 following the operation of the new plants. Maintain SELL. x Natalia Sutanto (62-21) ext.3508 natalia.sutanto@danareksa.com Key Financials Year to 31 Dec 2015A 2016A 2017F 2018F 2019F Revenue (IDRbn) 4,860 5,811 6,428 7,318 9,067 EBITDA (IDRbn) EBITDA Growth (%) Net profit (IDRbn) EPS (IDR) EPS growth (%) BVPS (IDR) DPS (IDR) PER (x) PBV (x) Dividend yield (%) EV/EBITDA (x) Source : KAEF, Danareksa Estimates See important disclosure at the back of this report 1

4 MARKET NEWS MACROECONOMY Tax reporting through e-filling has reached 3.2mn registrations The Directorate General of Tax announced that taxpayers who have submitted tax reports through e-filling has reached 3.2mn registrations. It is reported that 72% of taxpayers were using e-filling, while the rest reported manually. Last year, only 52% of taxpayers reported through the internet. The Directorate General of Tax expects the reports will increase when the time is close to the deadline which is March 31, 2018 for individual tax payers and April 30, 2018 for institutional taxpayers. (Investor Daily) SECTOR Indonesian Cement Association seeks moratorium on plant construction The Indonesian Cement Association (ASI) has asked the government for a moratorium on cement plant construction considering the significant oversupply in the domestic market with 106mn tons of installed capacity and domestic demand of only 66mn tons. (Kontan) Infrastructure: Awaiting payment for the Jakarta and Palembang LRT projects Adhi Karya (ADHI) and Waskita Karya (WSKT) are still awaiting payment for the LRT projects. ADHI is awaiting a payment of IDR3.88tn for construction of the Greater Jakarta LRT, while WSKT is awaiting a IDR9.1tn payment for construction of the Palembang LRT. The payment to ADHI has been delayed several times with the payment last expected to be made on Feb 18. However, the payment has still not been made due to issues regarding the tax calculation and auditing process conducted by BPKP. The payment to ADHI would be the first tranche payment for the project which would be based on the works carried out as of Sep 17. Furthermore, the second payment would be based on the works for the period from Oct to Dec Meanwhile, WSKT as the contractor for the Palembang LRT is also awaiting payment. WSKT won IDR10.9tn of construction works for the development of the LRT in Palembang with a construction period from Oct 15 to Jun 18. As of Dec 17, the construction progress has reached ~81%. Hence, WSKT has receivables from the project amounting to IDR9.1tn from Kereta Api Indonesia (KAI) as the project owner. (Bisnis Indonesia) Insurance: Insurers target 5% growth in 2018 Despite a small increase in premium revenues in 2017, the General Insurance Association of Indonesia (AAUI) remains confident on the prospects for expansion of the insurance industry given the positive economic outlook. The insurance industry posted 2.7% growth in premium revenues last year, the lowest in the past five years. In 2016, premium revenues growth stood at 5.1%. Meanwhile, economic growth reached 5.07% yoy in 2017 while growth in financial services and the insurance sector was 5.55%. With firm economic growth, AAUI expects stronger consumption, including more purchases of houses and vehicles which will translate into more insurance needed. AAUI estimates maximum growth of 5% in each insurance product line. (Jakarta Post). Poultry: BUMN poultry company to enter the business PT Berdikari, a BUMN poultry company, will soon enter the poultry business in Indonesia by importing 36,000 DOC GPS from France in March The company seeks to produce an estimated 2.8 million PS in November 2018 and 400 million FS in According to PINSAR, the import quota for GPS in 2018 is about 636,000. In terms of competition, the impact of the new player, PT Berdikari, will perhaps be more pronounced in (Kontan) CORPORATE Agung Podomoro claims a 30% take-up rate for the fourth tower in Podomoro Golf View Agung Podomoro (APLN) claims that the take-up rate for the fourth apartment tower in Podomoro Golf View, Cimanggis Depok has reached 30%. APLN is offering 5,500 apartment units in four towers with the units having an area of 22sqm to 45sqm with prices starting from IDR11.5mn/sqm. (Bisnis Indonesia)

5 Intiland to launch a new project in 4Q18 Intiland Development (DILD) plans to launch four new projects in 4Q18, including: (i) Tierra, a mixed use project in Dharmo Harapan, (ii) apartments in TB Simatupang, (iii) Alenia apartment in Graha Golf Surabaya, and (iv) South Quarter II apartment in South Jakarta. The company expects demand for property to remain fairly solid despite next year s elections. The Tierra project will be developed on 6ha of land bank with prices of IDR500-2,000mn/unit. Meanwhile, for apartments in TB Simatupang, the company is still completing the necessary licenses. The Alenia apartment in Graha Golf Surabaya will target the mid-upper class with prices above IDR3bn/unit. (Investor Daily)

6 DANAREKSA VALUATION GUIDE Equity Valuation Rating Price (Rp) Price Mkt Cap Net profit, Rp bn EPS (Rp) Core EPS (Rp) EPS Growth PER (x) EV / EBITDA (x) PBV (x) ROE Target Rp Bn Danareksa Universe 4,322, , , % 10.8% Auto 329,941 18,895 20, % 11.0% Astra International BUY 8,150 9, ,941 18,895 20, % 11.0% Banks 1,662,039 90, , % 14.0% BCA HOLD 22,875 21, ,983 23,620 27, , , % 14.6% N/A N/A BNI HOLD 9,550 10, ,095 13,616 15, % 15.6% N/A N/A BRI BUY 3,770 4, ,014 29,044 31, % 8.9% N/A N/A Bank Tabungan Negara BUY 3,800 4,000 40,242 3,135 3, % 16.7% N/A N/A Bank Mandiri HOLD 8,225 8, ,833 20,640 24, % 18.7% N/A N/A BTPN HOLD 3,440 3,900 20,091 1,273 1, % 27.8% N/A N/A BPD Jatim BUY ,781 1,282 1, % 3.0% N/A N/A Cement 173,509 4,000 4, % 4.9% Indocement SELL 20,700 14,700 76,202 1,887 1, % 2.7% Semen Indonesia SELL 10,850 8,600 64,357 1,945 2, % 8.4% Semen Baturaja SELL 3, , % -11.0% Cigarettes 704,899 20,595 22, % 10.7% Gudang Garam BUY 79,200 83, ,388 7,498 8,487 3,897 4,411 3,897 4, % 13.2% HM Sampoerna HOLD 4,750 4, ,511 13,097 14, % 9.2% Construction 138,845 8,554 10, % 21.0% Wijaya Karya BUY 1,875 2,100 16,819 1,225 1, % 45.5% Pembangunan Perumahan BUY 3,020 4,000 18,724 1,295 1, % 21.2% Adhi Karya BUY 2,330 2,800 8, % 37.3% Waskita Karya BUY 2,910 3,000 39,500 2,383 3, % 27.4% Waskita Beton BUY ,021 1,104 1, % 19.5% Wika Beton BUY , % 20.2% Jasa Marga BUY 5,325 7,800 38,648 1,747 1, % -8.1% Consumer 640,259 16,992 19, % 12.0% Indofood CBP BUY 9,000 9, ,957 3,894 4, % 10.3% Indofood BUY 7,600 9,100 66,731 4,381 4, % 10.6% Unilever HOLD 53,975 52, ,829 7,324 8, , , % 13.7% Kino Indonesia HOLD 2,000 2,100 2, % 25.8% Mayora Indah HOLD 2,410 1,960 53,884 1,277 1, % 10.4% Healthcare 89,274 2,700 2, % 11.5% Kalbe Farma HOLD 1,600 1,700 75,000 2,411 2, % 10.3% Kimia Farma SELL 2,570 1,910 14, % 12.7% Heavy Equipment 131,207 7,463 8,439 2,001 2, % 13.1% United Tractors BUY 35,175 38, ,207 7,463 8,439 2,001 2,262 2,001 2, % 13.1% Industrial Estate 14,345 2,352 1, % -49.5% Puradelta Lestari BUY , % 1.8% Bekasi Fajar BUY , % 11.3% Surya Semesta HOLD ,823 1,131 (103) 240 (22) (119) (32) % % 2.5 (27.5) (2.8) Media 61,328 2,965 3, % 13.5% Media Nusantara Citra BUY 2,720 2,800 39,771 1,491 1, % 7.6% Surya Citra Media BUY 1,510 1,750 21,557 1,474 1, % 19.5% Mining 211,233 13,615 13, % -3.8% Adaro Energy BUY 2,320 2,200 74,207 6,489 5, % -8.6% Timah BUY 1,215 1,100 9, % 3.0% Vale Indonesia HOLD 3,140 3,100 31,200 (74) 233 (7) 23 (7) % % (421.3) (0.3) 1.0 Aneka Tambang HOLD ,868 (264) (68) (11) (3) (11) (3) % -74.4% (82.9) (323.5) (1.4) (0.4) Bukit Asam BUY 3,090 2,900 35,599 3,332 3, % -0.5% Indo Tambangraya Megah HOLD 27,300 21,100 30,847 3,183 2,717 2,817 2,404 2,936 2, % -14.6% Harum Energy HOLD 3,130 2,200 8, % 2.1% Plantation 43,195 3,010 2, % -0.8% Astra Agro Lestari HOLD 14,875 14,300 28,630 1,908 1, % -3.0% Sampoerna Agro SELL 2,490 2,240 4, % 6.4% PP London Sumatra BUY 1,445 1,770 9, % 1.7% Poultry 77,903 4,078 5, % 29.8% Charoen Pokphand HOLD 3,540 3,100 58,049 2,576 3, % 32.2% Japfa Comfeed BUY 1,585 1,650 18,086 1,463 1, % 23.8% Malindo Feedmill HOLD , % 91.5% Property 113,900 8,450 8, % -0.2% Alam Sutera HOLD ,663 1,379 1, % 4.1% Bumi Serpong Damai BUY 1,825 2,000 35,125 3,909 2, % -29.5% Ciputra Development BUY 1,265 1,350 23, , % 58.8% Pakuw on Jati HOLD ,989 1,937 2, % 24.0% Summarecon BUY 1,015 1,100 14, % 28.3% Retail 81,333 3,402 3, % 12.4% Mitra Adi Perkasa BUY 7,200 8,100 11, % 46.8% Ramayana HOLD 1,235 1,400 8, % 4.9% Matahari Department Store BUY 11,000 12,500 32,097 1,928 2, % 5.3% Matahari Putra Prima SELL , % 2.7% Ace Hardw are BUY 1,320 1,450 22, % 9.3% Erajaya Sw asembada BUY 1,220 1,100 3, % 11.8%

7 COVERAGE PERFORMANCE LEADERS Price as on Code 05-Mar Mar-18 Chg, % w-w, % m-m, % YTD, % Rating Erajaya Swasembada ERAA 1,220 1, BUY Malindo Feedmill MAIN HOLD Kimia Farma KAEF 2,570 2, (4.8) SELL Timah TINS 1,215 1, BUY Pakuwon Jati PWON HOLD Charoen Pokphand CPIN 3,540 3, (0.6) HOLD Matahari Department Store LPPF 11,000 10, BUY Ciputra Development CTRA 1,265 1, (1.9) 6.8 BUY Semen Baturaja SMBR 3,320 3, (12.6) SELL Bank Tabungan Negara BBTN 3,800 3, BUY Sources: Bloomberg LAGGARDS Price as on Code 05-Mar Mar-18 Chg, % w-w, % m-m, % YTD, % Rating Indo Tambangraya Megah ITMG 27,300 28,675 (4.8) (13.3) (6.2) 31.9 HOLD Harum Energy HRUM 3,130 3,280 (4.6) (8.7) HOLD Indocement INTP 20,700 21,450 (3.5) (0.5) 2.6 (5.7) SELL Pembangunan Perumahan PTPP 3,020 3,120 (3.2) (3.2) BUY Bank Mandiri BMRI 8,225 8,475 (2.9) (0.9) HOLD Adhi Karya ADHI 2,330 2,390 (2.5) (4.5) BUY Summarecon Agung SMRA 1,015 1,040 (2.4) (8.1) (10.6) 7.4 BUY Ramayana RALS 1,235 1,265 (2.4) HOLD Ace Hardware ACES 1,320 1,350 (2.2) (3.6) BUY Waskita Beton WSBP (2.1) (1.7) BUY Sources: Bloomberg

8 PREVIOUS REPORTS Plantation: India Hikes Palm Oil Import Taxes Again, Timah: Strong sales and high prices boost profits SnapShot Japfa Comfeed Indonesia: Robust growth in animal feed and DOC, Media: Feb 18: Flattish all-time audience share for MNCN, PP London Sumatra: Boosted by One-Time Gains, Waskita Karya: Above expectations SnapShot Waskita Beton Precast: Strong earnings growth but still below expectations SnapShot ASII: 2017: Boosted by strong commodity prices, BMRI: Pursuing new avenues, UNVR: Solid earnings on improved operating margin, UNTR: Strong coal price boosted net profit, INCO: Strong prices improved quarterly profit, LSIP: Disappointing FY17 Results, BSDE: Highest net profit since its inceptions, LPPF: More optimistic in 2018 SnapShot Astra Agro Lestari: Decent Performance, Bank Negara Indonesia: Challenges loom, Indo Tambangraya: Focus on organic expansion, Matahari Department Store: Attractive valuation SnapShot

9 PT Danareksa Sekuritas Jl. Medan Merdeka Selatan No. 14 Jakarta Indonesia Tel (62 21) Fax (62 21) Equity Research Team Helmy Kristanto Stefanus Darmagiri Natalia Sutanto S helmy.kristanto@danareksa.com (62-21) ext Head of Research, Strategy stefanus.darmagiri@danareksa.com (62-21) ext Auto, Coal, Heavy Equip, Metal, Cement natalia.sutanto@danareksa.com (62-21) ext.3508 Consumer, Tobacco, Property Maria Renata maria.renata@danareksa.com (62-21) ext.3513 Construction Eka Savitri Eka.savitri@danareksa.com (62-21) ext.3506 Banking Yudha Gautama Yudha.gautama@danareksa.com (62-21) ext.3509 Plantation Adeline Solaiman adeline.solaiman@danareksa.com (62-21) ext Retail, Poultry Antonia Febe Hartono, CFA antonia.hartono@danareksa.com (62-21) ext.3504 Cement, Property, Industrial Estate Ignatius Teguh Prayoga ignatius.prayoga@danareksa.com (62-21) ext.3511 Research Associate Lucky Bayu Purnomo lucky.purnomo@danareksa.com (62-21) ext.3512 Technical Analyst Sales team Novrita E. Putrianti novrita@danareksa.com (62-21) ext Tuty Sutopo tuty@danareksa.com (62-21) ext Ehrliech Suhartono ehrliech@danareksa.com (62-21) ext Upik Yuzarni upik_y@danareksa.com (62-21) ext Laksmita Armandani laksmitaa@danareksa.com (62-21) ext Giovan Sitepu giovanp@danareksa.com (62-21) ext Rendy Ben Philips rendy.philips@danareksa.com (62-21) ext. 3148

10 Disclaimer The information contained in this report has been taken from sources which we deem reliable. However, none of P.T. Danareksa Sekuritas and/or its affiliated companies and/or their respective employees and/or agents makes any representation or warranty (express or implied) or accepts any responsibility or liability as to, or in relation to, the accuracy or completeness of the information and opinions contained in this report or as to any information contained in this report or any other such information or opinions remaining unchanged after the issue thereof. We expressly disclaim any responsibility or liability (express or implied) of P.T. Danareksa Sekuritas, its affiliated companies and their respective employees and agents whatsoever and howsoever arising (including, without limitation for any claims, proceedings, action, suits, losses, expenses, damages or costs) which may be brought against or suffered by any person as a results of acting in reliance upon the whole or any part of the contents of this report and neither P.T. Danareksa Sekuritas, its affiliated companies or their respective employees or agents accepts liability for any errors, omissions or misstatements, negligent or otherwise, in the report and any liability in respect of the report or any inaccuracy therein or omission there from which might otherwise arise is hereby expresses disclaimed. The information contained in this report is not be taken as any recommendation made by P.T. Danareksa Sekuritas or any other person to enter into any agreement with regard to any investment mentioned in this document. This report is prepared for general circulation. It does not have regards to the specific person who may receive this report. In considering any investments you should make your own independent assessment and seek your own professional financial and legal advice.