INVESTOR DIGEST HIGHLIGHT CORPORATE. Equity Research 1 Februay 2017

INVESTOR DIGEST Equity Research 1 Februay 2017 Economic Data Latest 2017F 7-DRRR (%), eop 4.75 4.75 Inflation (YoY %) 3.02 4.20 US$ 1 = Rp, period avg 13,352 13,450 Stock Market Data (31 Jan 2017) JCI Index 5,294.1-0.16% Trading T/O ( Rp bn ) 5,696.8 Market Cap ( Rp tn ) 5,759.0 HIGHLIGHT Bank bjb: 12M16 Results Below Expectations (BJBR; Rp2,300; Sell; TP;Rp1,600) Bank Central Asia: 12M16 Unconsolidated Results- In Line (BBCA; Rp15,300; Neutral; TP:Rp15,150) Bank Panin: 12M16 Unconsolidated Results- Above Expectations (PNBN; Rp825; Buy; TP:Rp1,190) Bank Rakyat Indonesia: 12M16 olidated Results In Line (BBRI; Rp11,725; Buy; TP:Rp13,800) Bank Tabungan Pensiunan Nasional: 12M16 Unconsolidated Results - Slightly Below ensus Expectations (BTPN; Rp2,580; Neutral; TP:Rp2,635) XL Axiata: FY16 EBITDA inline but outlook remains challenging (EXCL; Rp2,910; Neutral; TP:Rp2,400) Wijaya Karya: Analyst Meeting Key Takeaways (WIKA; BUY; Rp2,570; TP: Rp3,000) Market Data Summary* 2017 2018 EBITDA growth (%) 8.0 6.4 EPS growth (%) 16.1 13.1 EV/EBITDA (x) 9.4 8.9 P/E (x) 16.8 15.0 P/BV (x) 2.5 2.3 Div. Yield (%) 1.8 2.0 Earnings Yield (%) 5.9 6.7 Net Gearing (%) 27.4 23.1 ROE (%) 17.8 18.0 * Aggregate of 80 companies in MS research universe, representing of JCI s market capitalization CORPORATE Bank bjb: 12M16 Results Below Expectations (BJBR; Rp2,300; Sell; TP;Rp1,600) BJBR reported 12M16 unconsolidated net income of Rp1.6tn, +19% yoy, accounting for 101 FY16 consensus and 108 Mansek s expectations. Strong net income growth was driven by operating income growth of +23%yoy. Management indicates that the bank s syariah unit booked a net loss of approximately Rp400bn in 12M16, dragging down consolidated net income to Rp1.2tn, accounting for 77 consensus and 82 Mansek s expectations. The bank s syariah unit was able to recover Rp160bn of its NPL, reducing its net loss from Rp589bn in 11M16 to approximately Rp400bn in 12M16. Meanwhile, net income in the month of Dec totaled to Rp79bn, -20%mom/-70%yoy, mainly due to increase in provision expenses of +27%mom. Loan growth +14%yoy, deposit growth +16%yoy. BJBR indicates that strong loan growth was driven by commercial and consumer loans. On the other hand, deposit growth was mainly driven by time deposits at +30%yoy and savings deposits at +18%yoy. Meanwhile, demand deposit declined by -8%yoy due to drawdown of the government s budget. This brings CASA to 47% in Dec16 vs. 52% in Dec15. LDR stood at 87% in Dec16 vs 88% in Dec15. NIM increased to 7.4% in 12M16 from 6.2% in 12M15 as cost of funds declined by 91bps while asset yield increased by 30bps, mainly due to strong loan growth. On a monthly basis, NIM declined to 9.5% in Dec from 11.9% in Nov. Cost to income ratio remains flat at 66% in 12M16. However in the month of Dec, cost to income ratio deteriorated to 76% from 72% in Nov. Page 1 of 14

Provisioning expenses increased by +257%yoy to Rp157bn. We estimate Bjb to have written off about Rp786bn in 12M16 and Rp96bn in the month of Dec alone. Provisioning level declined to 0.9% in Dec16 from 1.0% in Nov16 while cumulative cost of credit increased to 2.7% in Dec from 2.3% in Nov. Maintain Sell with TP of Rp1,600. The counter is trading at 2.0x P/BV 2017F. We remain cautious on the bank s syariah unit which has been dragging down consolidated net income. Income Statement Dec-15 Nov-16 Dec-16 % MoM % YoY 12M15 12M16 % YoY Net interest income 471 536 518 (3) 10 4,747 5,905 24 5,879 100 Non interest income 65 33 76 131 17 561 643 15 624 103 Operating income 537 569 594 4 11 5,308 6,548 23 6,503 101 6,430 102 Provision expenses 161 (35) (44) 27 (127) (44) (157) 257 (518) 30 Operating expenses (356) (410) (454) 11 27 (3,522) (4,304) 22 (4,037) 107 Operating profit 341 124 96 (23) (72) 1,742 2,087 20 1,948 107 2,137 98 PPOP 180 159 140 (12) (22) 1,786 2,243 26 2,466 91 Pre-tax profit 335 126 101 (20) (70) 1,767 2,100 19 1,985 106 2,113 99 Net profit 263 99 79 (20) (70) 1,385 1,647 19 1,522 108 1,623 101 FY16 Balance Sheet Dec-15 Nov-16 Dec-16 % MoM % YoY Gross loans 55,311 63,728 63,144 (1) 14 Demand deposits 18,633 18,179 17,130 (6) (8) Saving deposits 14,279 14,186 16,826 19 18 Time deposits 29,838 34,510 38,871 13 30 Total deposits 62,749 66,876 72,828 9 16 CASA to deposits (%) 52.4 48.4 46.6 Ratio (%) Dec-15 Nov-16 Dec-16 12M15 12M16 LDR 88.1 95.3 86.7 88.1 86.7 NIM 7.3 8.1 7.6 6.2 7.4 ROE 41.6 11.9 9.5 18.3 16.4 Cost to income 66.4 72.1 76.4 66.4 65.7 Priscilla Thany (+62 21 5296 9546) priscilla.thany@mandirisek.co.id Bank Central Asia: 12M16 Unconsolidated Results- In Line (BBCA; Rp15,300; Neutral; TP:Rp15,150) BBCA reported unconsolidated 12M16 net income of Rp19.8tn, +13% yoy, accounting for 100 FY16 consensus and 103 Mansek s expectations. The bank booked strong PPOP growth of +16% yoy supported by operating income growth of +12% yoy and managed operating expenses at +7% yoy. In Dec, net income was Rp1.3tn, -31%mom/+43%yoy. BCA s subsidiaries only account for 3 its consolidated earnings in 9M16, using this ratio, Mansek estimates consolidated net income to total to Rp20.4tn, accounting for 103 consensus and 106 Mansek s expectations. Loan growth +7% yoy, deposit growth +12% yoy. Deposit growth was mainly driven by demand deposits at +19% yoy, followed by savings deposits at +11% yoy, and time deposits at +8% yoy. CASA stood at 77% in Dec16 from 76% in Dec15, meanwhile LDR declined to 79% in Dec16 vs. 82% in Dec15. NIM improved to 6.7% in 12M16 vs. 6.5% in 12M15 due to decline in time deposit rates and stronger CASA growth. On the monthly basis NIM also improved to 6.5% in Dec16 from 6.3% in Nov16. Provisioning expenses increased by +34% yoy to Rp4.2tn in 12M16, meanwhile in Nov alone provision expense increased by +137%mom to Rp728bn. We estimate total write offs around Rp635bn in 12M16 and Rp51bn in Dec alone. Provisioning to total loans and cost of credit (gross) remains stable at 3.0% and 1.5% in Dec16. Page 2 of 14

Cost to income ratio improved to 42% in 12M16 from 44% in 12M15 as operating expenses only grew +7% yoy while operating income increased +12% yoy. On a monthly basis, cost to income ratio deteriorated to 46% in Dec16 from 40% in Nov16. Maintain Neutral with TP Rp15,150. The counter is trading at 3.1x FY17 P/BV. BBCA s loan growth has been quite slow so far given the weak demand and wait and see situation by most of their clients. Meanwhile, the management has also been careful in extending new loans, in conjunction with rising lending risk. Income Statement Dec-15 Nov-16 Dec-16 % MoM % YoY 12M15 12M16 % YoY Net interest income 3,105 3,109 3,226 4 4 33,118 37,307 13 38,665 96 Non interest income 998 1,162 1,044 (10) 5 11,387 12,559 10 13,196 95 Operating income 4,103 4,271 4,271 (0) 4 44,505 49,866 12 51,861 96 52,824 94 Provision expenses (1,139) (308) (728) 137 (36) (3,177) (4,247) 34 (4,281) 99 Operating expenses (1,896) (1,708) (1,958) 15 3 (19,620) (21,020) 7 (23,333) 90 Operating profit 1,068 2,255 1,584 (30) 48 21,708 24,599 13 24,247 101 24,643 100 PPOP 2,207 2,563 2,312 (10) 5 24,885 28,846 16 28,528 101 Pre-tax profit 1,068 2,255 1,584 (30) 48 21,708 24,599 13 24,247 101 25,024 98 Net profit 887 1,834 1,265 (31) 43 17,522 19,834 13 19,326 103 19,922 100 FY16 Balance Sheet Dec-15 Nov-16 Dec-16 % MoM % YoY Gross loans 388,008 389,976 416,280 7 7 Demand deposits 115,681 141,100 137,880 (2) 19 Saving deposits 244,608 261,432 270,352 3 11 Time deposits 113,409 115,546 121,933 6 8 Total deposits 473,698 518,078 530,165 2 12 CASA to deposits (%) 76.1 77.7 77.0 Ratio (%) Dec-15 Nov-16 Dec-16 12M15 12M16 LDR 81.9 75.3 78.5 81.9 78.5 NIM 7.1 6.3 6.5 6.5 6.7 ROE 12.2 20.3 13.9 20.1 18.2 Cost to income 46.2 40.0 45.9 44.1 42.2 Tjandra Lienandjaja (+6221 5296 9617) tjandra.lienandjaja@mandirisek.co.id Bank Panin: 12M16 Unconsolidated Results- Above Expectations (PNBN; Rp825; Buy; TP:Rp1,190) PNBN reported unconsolidated net income of Rp2.2tn in 12M16, +71% yoy, accounting for 103 FY16 consensus and 99 Mansek s expectations. The bank s subsidiaries accounts for 8 consolidated earnings in 9M16, using this ratio, we estimate consolidated earnings to total to Rp2.4tn, accounting for 112 consensus and 107 Mansek s expectations. Strong PPOP growth of +57%yoy was driven by operating income growth of +19%yoy and decline in operating expenses of -4%yoy. In the month of Dec alone, PNBN recorded net income of Rp193bn, -22%mom/+250%yoy. Loan growth +6% yoy, deposit growth +11% yoy. Deposit growth was mainly driven by time deposits at +15%yoy, followed by demand deposits at +13%yoy, and savings deposits of +5%yoy bringing CASA to 39% in Dec16 vs. 41% in Dec15. LDR stood at 90% in Dec16 vs. 94% in Dec15. NIM improved to 4.8% in 12M16 from 4.2% in 12M15 as cost of funds declined by 82bps, outweighing decline in asset yield of 18bps. On a monthly basis, NIM improved to 4.8% in Dec from 4.7% in Nov. Provision expenses increased by +47%yoy to Rp1.5tn in 12M16, meanwhile provision expense in the month of Dec totaled to Rp71bn, -27% mom/+548%yoy. Provisioning to total loans declined to 2.4% in Dec16 from 2.5% in Nov16 while Page 3 of 14

cost of credit (gross) also declined to 1.3% in Dec16 from 1.4% in Nov16, this indicates improving asset quality (NPL as per Sept-16 was 2.6%). Cost to income ratio improved to 49% in 12M16 vs. 61% in 12M15 as operating expenses declined by -4%yoy while operating income increased by +19%yoy. On a monthly basis, cost to income ratio increased to 55% in Dec16 from 52% in Nov16. Maintain BUY with TP of Rp1,190, the counter is trading at 0.6x FY17E P/BV. We believe that the stock is a laggard to the sector. While NPL of peers under our coverage was on an increasing trend, PNBN was able to reduce NPL to 2.6% in Sept16 from 2.8% in Jun16. Income Statement Dec-15 Nov-16 Dec-16 % MoM % YoY 12M15 12M16 % YoY Net interest income 583 629 654 4 12 6,221 7,555 21 8,417 90 Non interest income 64 61 92 52 43 1,020 1,095 7 1,373 80 Operating income 647 690 746 8 15 7,241 8,650 19 9,790 88 9,380 92 Provision expenses (11) (97) (71) (27) 548 (1,049) (1,539) 47 (1,940) 79 Operating expenses (547) (362) (409) 13 (25) (4,431) (4,252) (4) (4,673) 91 Operating profit 89 231 267 16 199 1,761 2,859 62 3,177 90 3,177 90 PPOP 100 328 338 3 237 2,810 4,398 57 5,117 86 Pre-tax profit 86 309 256 (17) 199 1,763 2,916 65 3,206 91 3,090 94 Net profit 55 247 193 (22) 250 1,305 2,230 71 2,260 99 2,161 103 FY16 Balance Sheet Dec-15 Nov-16 Dec-16 % MoM % YoY Gross loans 115,367 119,586 122,300 2 6 Demand deposits 9,385 10,715 10,567 (1) 13 Saving deposits 41,016 42,092 43,115 2 5 Time deposits 72,004 79,880 82,690 4 15 Total deposits 122,406 132,687 136,372 3 11 CASA to deposits (%) 41.2 39.8 39.4 Ratio (%) Dec-15 Nov-16 Dec-16 12M15 12M16 LDR 94.2 90.1 89.7 94.2 89.7 NIM 4.7 4.7 4.8 4.2 4.8 ROE 2.5 10.1 7.9 4.9 7.6 Cost to income 84.5 52.5 54.7 61.2 49.2 Priscilla Thany (+62 21 5296 9546) priscilla.thany@mandirisek.co.id Bank Rakyat Indonesia: 12M16 olidated Results In Line (BBRI; Rp11,725; Buy; TP:Rp13,800) BBRI reported consolidated net income of Rp26.2tn, +3% y-y, in FY16, accounting for 102 consensus and 103% of our FY expectations. PPOP came in at Rp47.7tn, +21% y-y, supported by strong non-interest income at +37% y-y. Substantial increase in provisioning charges resulted in low single digit earnings growth while 4Q16 saw net income of Rp7.2tn, +4% y-y/+7% q-q. Loan growth +14% y-y/+5% q-q and deposit growth +13% y-y/+9% q-q. Above industry average loan growth was driven by non-soe corporate (+22% y-y), micro loans (+18% y-y, KUR at +184% y-y) and consumer loans (+14% y-y). Deposit growth was supported by demand deposit at +25% y-y, followed by savings at +11% y-y, and time deposit at +10% y-y, thus bringing CASA portion to 58 total deposits in Dec-16 vs. 57% in Dec-15 while consolidated LDR increased to 88% from 87% over the same period. Page 4 of 14

NIM improved to 8.10% from 7.77% in 2015 due to decline in cost of funds, in particular TD rates. NIM in 4Q16 however, declined to 7.95% from 8.23% in 3Q16 due to adjustment in KUR interest subsidy of ca. Rp800bn in November. Nevertheless, without this adjustment, NIM would decline to 8.1% in 4Q16 as more loan growth was recorded for corporate segment. Bank only NPL improved to 2.0% in Dec-16 from 2.2% in Sept-16 (consolidated NPL at 2.1% in Dec-16 vs. 2.3% in Sept-16). Among the segments, micro, consumer and small commercial loans posted asset quality improvement while medium loans and non-soe corporate loans still recorded rising NPL. Provisioning expenses increased 54% Rp13.7tn in FY16 while 4Q16 saw lower provisioning expenses of 41% q-q/+27% y-y to Rp2.3tr. Special mention loans also improved to 4.3% from 5.7% in Sep-16 while restructured loans increased to 5.8% from 5.4% in Sept-16. We estimate BRI wrote off Rp8.7tn in 2016, of which Rp2.6tn in 4Q16. Post the write off coverage ratio has been increased to 165% in De16 from 161% in Sep-16. The management indicated that 1Q17 will see improvement in non-soe corporate loans NPL, which stood at 5.6% (Rp4.7tr) in Dec-16. Of these NPL, they had already settled Rp1.4tr (1.7 non-soe corporate loans or 0.3% of total loans) through the sales of assets. Of the remaining NPL of Rp3.3tr, they have set aside Rp1.2tr as provisioning while another Rp1.4tr NPL (1.7 non-soe corporate loans or 0.3 total loans) will be settled through asset sales as well. This should bring down NPL in this segment, provided there is no more NPL creation, to 2.3% from 5.6%. Cost to income ratio further declined to 43.7% in FY16 vs. 44.3% in FY15. CIR declined to 40.1% in 4Q16 from 44.6% in 3Q16. 2017 targets: loan growth 12-14%, LDR 90+/-2%, NPL 2.2-2.4%, credit cost 2.2-2.4%, coverage ratio 160-170%, NIM 8.0-8.2%, opex +15-18%, net profit +3-5%. There seems to be some inconsistency in earnings growth expectation given the loan growth and similar credit cost to 2016. We believe the bank should be able to record higher earnings growth in 2017 and currently we expect some Rp28.3tr net profit for the year. Maintain BUY with TP of Rp13,800. The counter is trading at 1.7x FY17 P/BV. Income Statement 12M15 12M16 % YoY 4Q15 3Q16 4Q16 % YoY % QoQ Net interest income 58,279 67,574 16 15,415 17,074 17,517 14 3 67,062 101 Non-interest income 12,409 17,011 37 3,900 3,380 5,881 51 74 15,101 113 Fees and commissions 7,364 9,288 26 2,118 2,401 2,784 31 16 8,284 112 Others 5,045 7,724 53 1,782 979 3,097 74 216 6,817 113 Operating income 70,688 84,585 20 19,316 20,454 23,398 21 14 82,163 103 80,423 105 Provisioning expenses (8,891) (13,700) 54 (1,798) (3,892) (2,278) 27 (41) (14,014) 98 Operating expenses (31,285) (36,922) 18 (8,399) (9,113) (9,384) 12 3 (37,325) 99 Personnel Expenses (15,970) (17,953) 12 (4,600) (4,575) (3,350) (27) (27) (19,607) 92 Other Expenses (15,315) (18,970) 24 (3,799) (4,538) (6,034) 59 33 (17,718) 107 Operating profit 30,511 33,963 11 9,119 7,449 11,736 29 58 30,824 110 30,981 110 PPOP 39,403 47,663 21 10,916 11,341 14,014 28 24 44,838 106 Pre-tax profit 32,494 33,974 5 9,873 7,739 10,657 8 38 32,427 105 32,405 105 Net profit 25,398 26,196 3 6,981 6,775 7,245 4 7 25,479 103 25,653 102 FY16 Balance Sheet Dec-15 Sep-16 Dec-16 % YoY % QoQ Gross loan 580,753 628,286 662,811 14 5 Demand deposit 113,429 115,682 141,419 25 22 Saving deposit 268,059 268,582 298,110 11 11 Time deposit 287,507 310,579 314,997 10 1 Total deposit 668,995 694,843 754,526 13 9 CASA to deposits (%) 57.0 55.3 58.3 Page 5 of 14

Ratio (%) 12M15 12M16 4Q15 3Q16 4Q16 CAR 20.4 22.7 20.4 21.5 22.7 Tier 1 CAR 16.7 21.5 16.7 20.5 21.5 LDR 86.8 87.8 86.8 90.4 87.8 NIM 7.77 8.10 8.02 8.23 7.95 ROE 24.6 20.3 25.4 19.8 20.2 NPL, cat.3-5 2.02 2.03 2.02 2.22 2.03 Loan loss coverage 146 165 146 161 165 Cost to Income 44.3 43.7 43.5 44.6 40.1 Restructured Loans 3.6 5.8 3.6 5.4 5.8 Tjandra Lienandjaja (+6221 5296 9617) tjandra.lienandjaja@mandirisek.co.id Bank Tabungan Pensiunan Nasional: 12M16 Unconsolidated Results - Slightly Below ensus Expectations (BTPN; Rp2,580; Neutral; TP:Rp2,635) BTPN reported 12M16 unconsolidated net income of Rp1.5tn, -8% yoy, accounting for 80 FY16 consensus and 84 Mansek s expectations. As per 9M16 BTPN s unconsolidated net income accounts for 86 its consolidated net income, using this same ratio, Mansek estimates 12M16 consolidated results to total to Rp1.7tn, accounting for 93 consensus and 97 Mansek s expectations. Decline in net income was mainly due to increase in operating expenses of +14%yoy. In Dec alone, net income stood at Rp1bn, -99%mom/-95%yoy, mainly due to increase in provision expenses of +122%mom. Loan growth +6% yoy, deposit growth +8% yoy. Of deposits, time deposits and demand deposits grew by +10% yoy while savings deposits declined by -6%yoy bringing CASA to 11% in Dec16 vs. 12% Dec15. LDR stood at 96% in Dec16 vs. 97% in Dec15. NIM improved to 9.9% in 12M16 from 9.6% in 12M15 as decline in cost of funds of 114 bps outweighed decline in asset yield of 82bps. On a monthly basis, NIM declined to 9.8% in Dec from 10.3% in Nov. Provisioning expenses increased by +4% yoy to Rp733bn in 12M16. We estimate total write-offs of Rp661bn in 12M16 and Rp76bn in Dec alone. Provisioning to total loans and cost of credit increased to 1.0% in Dec (from 0.9% in Nov) and 1.3% in Dec (from 1.2% in Nov), indicating worsening asset quality (NPL at 0.7% in Sept16). Cost to income ratio increased to 63% in 12M16 vs 58% in 12M15 due to ongoing investments in BTPN s digital banking platform, BTPN WoW and Jenius. On a monthly basis, cost to income ratio increased to 71% in Dec from 65% in Nov. Maintain Neutral with TP of Rp2,635, the counter is trading at 0.9x FY17E P/BV. We expect BTPN to continue posting a high cost to income ratio over the next couple of years due to ongoing investments in its digital banking platform. Income Statement Dec-15 Nov-16 Dec-16 % MoM % YoY 12M15 12M16 % YoY Net interest income 535 606 596 (2) 11 6,379 6,925 9 8,633 80 Non interest income 65 60 61 2 (6) 703 607 (14) 609 100 Operating income 600 665 657 (1) 10 7,083 7,532 6 9,242 81 9,532 79 Provision expenses (59) (52) (116) 122 97 (707) (733) 4 (793) 92 Operating expenses (417) (434) (465) 7 12 (4,143) (4,738) 14 (5,924) 80 Operating profit 124 179 77 (57) (38) 2,233 2,061 (8) 2,525 82 2,585 80 PPOP 183 231 192 (17) 5 2,940 2,794 (5) 3,318 84 Pre-tax profit 58 176 77 (56) 34 2,168 2,055 (5) 2,514 82 2,592 79 Net profit 25 130 1 (99) (95) 1,587 1,466 (8) 1,756 84 1,831 80 FY16 Page 6 of 14

Balance Sheet Dec-15 Nov-16 Dec-16 % MoM % YoY Gross loans 54,909 57,879 58,172 1 6 Demand deposits 326 485 359 (26) 10 Saving deposits 6,712 6,684 6,316 (6) (6) Time deposits 49,425 51,503 54,140 5 10 Total deposits 56,463 58,672 60,814 4 8 CASA to deposits (%) 12.5 12.2 11.0 Ratio (%) Dec-15 Nov-16 Dec-16 12M15 12M16 LDR 97.2 98.6 95.7 97.2 95.7 NIM 9.5 10.3 9.8 9.6 9.9 ROE 2.2 10.2 0.1 11.8 9.5 Cost to income 69.5 65.2 70.7 58.5 62.9 Priscilla Thany (+62 21 5296 9546) priscilla.thany@mandirisek.co.id XL Axiata: FY16 EBITDA inline but outlook remains challenging (EXCL; Rp2,910; Neutral; TP:Rp2,400) FY16 EBITDA inline. EXCL s 4Q16 EBITDA declined by-21%yoy/-8%qoq to Rp1.8tr due to higher operating cost. This brings FY16 EBITDA to Rp8.1tr (-4%yoy), accounting for 98%/96 our and consensus' forecast. Its FY16 net profit of Rp376bn was above our and consensus forecast due to Rp1.7tr gain from tower sales Poor top line growth. EXCL s 4Q16 revenue declined by-12%yoy/flat qoq to Rp5.3tr with FY16 revenue declined by 7%yoy to Rp21.3tr. We suspect weak top line growth was due to sharp decline in the traditional voice and sms business while growth from data remains strong due to strong data traffic. EXCL is the only operators under our coverage with poor top line growth in 2016 despite double digit growth of peers (in 9M16). EBITDA margin declined to 34.7% in 4Q16 (vs 37.8% in 9M16) due to higher operating expenses (higher leasing cost and higher promotion expenses). Its EBITDA margin of 37.8% in FY16 is largely inline with guidance. However, EXCL booked Rp414bn operating loss in 4Q16 (-7.9% operating loss). Earnings outlook remains challenging. We reiterate our Neutral call on EXCL with Rp2,400TP (3%LTG, 11%WACC) due to still challenging growth outlook. The company s effort to improve its traditional distribution channel, if successful, may lead to better revenue outlook. EXCL quarterly results In Rpbn 4Q16 4Q15 %YoY 3Q16 %QoQ 12M16 12M15 %YoY % ours % to cons. Revenue 5,258 5,954-12% 5,229 1% 21,341 22,876-7% 21,759 98% 98% Operating expenses (5,673) (5,445) 4% (5,002) 13% (21,111) (21,373) -1% (20,657) 102% 102% Operating profit (414) 509-181% 228 na 230 1,504-85% 1,102 21% 20% EBITDA 1,822 2,320-21% 1,979-8% 8,058 8,393-4% 8,225 98% 96% Net profit 216 481-55% (65) na 376 (25) na 272 138% -80% Operating margin -7.9% 8.6% 4.4% 1.1% 6.6% 5.1% EBITDA margin 34.7% 39.0% 37.8% 37.8% 36.7% 37.8% Net margin 4.1% 8.1% -1.2% 1.8% -0.1% 1.2% Ariyanto Kurniawan (+6221 5296 9682) ariyanto.kurniawan@mandirisek.co.id Page 7 of 14

Wijaya Karya: Analyst Meeting Key Takeaways (WIKA; BUY; Rp2,570; TP: Rp3,000) Financial Closing for Jakarta-Bandung High Speed Railways (HSR) project to be signed in mid/end February 2017. Currently, Kereta Cepat Indonesia China (KCIC), the project owner of HSR project, is in negotiation with China Development Bank (CDB) on the scope of works as well as completing necessary documents. It is worth noting that WIKA has obtained Rp15.8tn contracts for the HSR project but there is a potential that WIKA s precast subsidiary, Wijaya Karya Beton (WTON), could obtain additional Rp3-5tn contracts for the project. 2016 net profit is expected to grow by 50% y-y. WIKA expects that unaudited 2016 net earnings to reach Rp940bn (+50% y-y), or 117%/118 Mansek/consensus estimate. This solid result in 2016 was partly caused by one-off gain from sales of property, amounting to around Rp200bn. On the other hand, WIKA expects 2016 sales of Rp19.4tn (+42% y- y) which translate to 118%/109 Mansek and consensus estimate. For 2017, WIKA targets net profit of Rp1,218bn (Mansek: Rp1,239bn, consensus: Rp1,182bn) and sales of Rp25.7tn (Mansek: Rp25.7tn, consensus: Rp24.1tn). Ytd new contracts reached Rp5.1tn. Less than one month into 2017, WIKA was able to book 12 its 2017FY new contracts target of Rp43.2tn. Major signed new contracts are Serang-Panimbang toll road (Rp3.6tn), Integrated Logistic Storage Terminal & Jetty (Rp875bn) and PLTU Sulsel 1x100MW (Rp253bn). For 2017, WIKA expects 40 its new contract to derive from private projects, followed by SOE (30%) and government (30%). The company also expects 2017 total order books to break Rp100tn mark. Developing Wika Realty into prominent property player. To accelerate development process, Wika Realty would seek partnership with foreign players in developing property site. Currently, Wika Realty has 35% stake in Makassar Coastal City (81ha land bank), 30% stake in Jakarta River City (10ha) and 35% stake in Tegalluar City Development (Transit Oriented Development for HSR project). WIKA also plans to IPO Wika realty in 3Q17, pending approval from SOE Ministry. Maintain BUY. We reiterate our positive outlook for WIKA, especially after completion of Rp6.1tn rights issue. WIKA should have better equity balance to bid new projects as well as execute existing contracts. Retain BUY with TP of Rp3,000. Bob Setiadi (+6221 5296 9543) bob.setiadi@mandirisek.co.id TAX AMNESTY Page 8 of 14

MARKET Market Recap Jan 31 st 2016; JCI: 5,294.103 (-0.16%); USD/IDR: 13,352; Total Value: Rp6.8tn Indo shares were on the defensive on Tuesday as stringent curbs on travel to the US ordered by President Donald Trump brought home to investors that he is serious about putting his radical campaign pledges into action. Global stocks posted their biggest loss in six weeks after Trump signed an executive order on Friday to bar Syrian refugees indefinitely and suspend travel to the US from seven Muslim-majority countries, sparking widespread protests. Elevated uncertainty on Trump's policies, including his plans for tax cuts and fiscal spending, offset optimism on the US economy. Data on Monday showed US consumer spending accelerated in Dec while inflation showed some signs of picking up last month. The core PCE price index, the Federal Reserve's preferred inflation measure, rose 1.7% on a year-on-year basis after a similar gain in Nov. The share price of ASII registered its biggest intraday advance since Jan 13 th by 0.63% to close at 7950 after its subsidiary Astratel Nusantara acquires additional stake in toll road operators for Rp2.57tn from SSIA (close flat) and NRCA (+8.8%). Then, WIKA (+4.5%) jumped into wagon after reporting 20% increase in unaudited FY16 net profit at Rp940bn (vs management expectation of Rp750bn). Other SOE contractors followed suit: ADHI (-0.5%), PTPP (+2%), WSKT (flat) and TOTL (+0.7%). The JCI stayed in tight range of 5305-5315 throughout the day and last minute selling into heavyweight consumer including: HMSP (from -1% to close -1.3%); UNVR (from -0.24% to close -0.3%); and GGRM (from -1.2% to close -1.7%) pushed the JCI to close 0.15% lower at 5294. Turnover was good at US$428mn (excluding US$8.3mn CTRA; US$7.7mn MYRX; US$6.7mn INPC; US$3.7mn JGLE crossing). Foreign posted a net sell of Rp405.8bn (US$30.4mn) and foreign participants rose to 22% and came up better seller for 16%. Gainers and losers almost even out. The Bank of Japan ends a monetary meeting later on Tuesday and is widely expected to keep policy on hold. Worries about a political shift to populist leaders in Europe are rising. French bond yields rose to the highest level since Sept 2015, on rising uncertainty over the Presidential election later this year. ervative leader Francois Fillon, seen as the frontrunner, is now battling to contain a scandal over allegedly unlawful payments to his wife while the Socialists on Sunday picked a hard-left candidate, possibly helping popular far-right leader Marine Le Pen. Italian debt yields climbed to 1 1/2- year high partly as early elections could be called following a ruling from the country's constitutional court last week. By contrast, the yield on German debt fell on Monday even as data showed inflation in Germany hit a 3 1/2-year high in January. News of Germany posting a national inflation rate of 1.9% stoked talk of an unwinding of monetary stimulus by the European Central Bank, even though the inflation outcome was below expectations. TOP TURNOVER: BUMI ENRG ELTY TLKM BRMS WIKA ASII BBRI BBCA BBNI BMRI DEWA ANTM PTPP LPPF WSBP (40%) ADVANCING SECTOR: plantation +2.1%; auto & telco +1.1%; mining +0.6%; property & construction +0.4%; DECLINING SECTOR: consumer -0.8%; cement -0.5%; financial -0.3% The yield of 10-year government went up to 7.64% (+0.25%) and Rupiah was flat at Rp13,352. Sales Team +6221 527 5375 Page 9 of 14

FROM THE PRESS Bank Indonesia changes its Open Market Operation scheme BI changes its open market operation scheme from previously fixed-rate tenders to variable-rate tenders. With variable-rate tenders (VRT) scheme, the quantity of open market operation will be determined by BI, but the interest rate will be determined by the market. On the previous fixed-rate tenders scheme, the interest rate is set by BI. Note that the instruments offered in VRT exclude the ones with 7-days tenors. This scheme is expected to give more effect on bank s liquidity management and interest rates, thus affecting long-run interbank money market (e.g. 3 months and 6 months repo). (Kontan) Government to impose higher tax for land speculators Government plans to restrict movement of land speculators by changing taxation scheme of land transactions from taxable value taxation (NJOP) to capital gain taxation and imposing progressive tax on unutilized land. (Kontan) Adaro Energy (ADRO) reported coal production at 52.64mn tons in FY16 ADRO reported 4Q16 coal production at 13.31mn tons (+14% YoY, -1% QoQ), putting total coal production at 52.64mn tons in FY16 (+2% YoY), in-line with our target of 53mn tons. 4Q16 coal sales were at 13.64mn tons (+15% YoY, +2% QoQ), bringing total coal sales volume at 54.09mn tons (+2% YoY), also in-line with our target of 54.4mn tons. Meanwhile, 4Q16 strip ratio was realized at 4.46x, putting FY16 strip ratio at 4.45x (vs. planned SR of 4.71x). Lower than expected strip ratio was caused by prolonged rainfall in South Kalimantan operations. In FY17, ADRO guided flat production at 52-54mn tons (vs. our target at 54mn tons). Meanwhile the company aimed for higher strip ratio in FY17 at 4.85x (+9% YoY), vs. ours at 5.1x. Both EBITDA and capital expenditure are estimated between USD900mn-USD1.1bn and USD200mn-USD250mn respectively. (Company Release) Adhi Karya (ADHI) booked 12M16 new contracts of Rp16.5tn The 2016FY new contracts achievement of Rp16.5tn (+18% y-y) is below the company s revised 2016 target of Rp17.9tn but slightly higher than Mansek forecast of Rp16tn. Major contracts signed in Dec-16 include package I of 6 Inner City Toll Road (Rp785bn), Pasar Minggu flat (Rp481bn) and Entikong border facility (Rp211bn). In 2016, 37 ADHI s new projects are coming from government, followed by SOE (36%) and private (28%). For 2017, ADHI forecast sales of Rp14tn (Mansek: Rp15.6tn), net profit of Rp505bn (Mansek: Rp513bn) and new contracts (ex-lrt) of Rp21.6tn (Mansek: Rp18tn). (Company, Bisnis Indonesia) Rumah.com property survey: 52 participants are positive on the sector Property Affordability Sentiment Index 2016 survey conducted by Rumah.com states 52 Indonesians are interested to buy properties in 1H17. In addition, 76 participants are optimist on long-term upside in property pricing in the country. According to Country Manager Rumah.com, Wasudewan, landed housing price has increased with a median of Rp10mn/sqm. (Bisnis Indonesia) PP Properti (PPRO) to launch 2 malls in Bekasi and Balikpapan PPRO will launch Lagoon Avenue mall in Grand Kamala lagoon Bekasi, amounting to Rp130bn and a shopping mall in Balikpapan Ocean Square. PPRO Director of Commercial and Hospitality, Sinurlinda Gustina, stated that the company hopes to boost recurring revenues from the opening of two shopping malls. Current recurring income of 5% to total revenue comes from Park Hotel Jakarta and Bandung and one shopping mall in Surabaya. PPRO sets to increase recurring income to 18% in 2019. (Bisnis Indonesia) Waskita Beton Precast (WSBP) booked ytd new contracts of Rp1.4tn; add new director WSBP targets to book Rp12.3tn new contracts in 2017, of which Rp3tn projects was expected to be signed in 1Q17. Recently, the company signed Mesuji and Kayu Agung-Betung toll road worth Rp1.4tn. WSBP also plans to increase precast plant to 12 (current: 10) and batching plants to 83 units (current: 42 units). Meanwhile, during the Extraordinary Shareholder Meeting (RUPSLB), WSBP appoint Didit Oemar Prihadi as its new director. (Bisnis Indonesia) Page 10 of 14

Indices Currencies and ADRs Major Commodities Last Chg (%) YTD Chg (%) Currency Last Chg (%) YTD Chg (%) Last Chg (%) YTD Chg (%) JCI 5,294.1-0.2-0.0 Rp/US$ 13,440 +0.01 +1.0 Oil spot (US$/bl) 52.8 +0.3-1.7 Dow Jones 19,864.1-0.5 +0.5 US$/EUR 1.08 +0.96-2.6 Nickel spot (US$/mt) 9,899.5 +2.9-0.6 Nikkei 19,041.3-1.7-0.4 YEN/US$ 112.80-0.85 +3.7 Gold spot (US$/oz) 1,210.7 +1.3 +5.1 SET 1,577.3-0.8 +2.2 SGD/US$ 1.41-0.80 +2.6 Tin 3-month (US$/mt) 19,825 +0.9-6.2 Hang Seng 23,360.8 +0.0 +6.2 CPO futures (Ringgit/ton) 3,230.0-0.4 +0.4 STI 3,046.8-0.6 +5.8 ADR Stocks Soybean oil (US$/100gallons) 33.9 +0.7-1.7 S&P 500 2,278.9-0.1 +1.8 TLK in Rp 9,820 +1.10 +0.9 Rubber forward (US /kg) 285.0 +1.1 +26.9 Coal (US$/ton) 83.0-0.7-6.1 Ishares indo 24.4-0.2 +1.2 Baltic Dry Index 800.0-2.0-16.8 Property Valuation JCI Code Rec. Market Cap Share price Target Price Discount to NAV RNAV per share (Rp) Premium (discount) to replacement cost Replacement cost per share (Rp) PE (x) ROE 17F 18F 17F 18F BSDE Buy 35,221 1,830 2,570-61% 4,673 18% 1,546 13.3 14.2 12.3% 10.5% PWON Buy 26,969 560 720-54% 1,207 33% 420 11.1 8.7 24.7% 25.5% SMRA Neutral 18,896 1,310 1,575-67% 3,933 92% 681 36.5 14.7 7.9% 17.2% CTRA Buy 20,019 1,320 1,600-57% 3,073 69% 781 14.0 12.6 14.0% 14.0% JRPT Buy 12,031 875 1,300-73% 3,242 26% 695 11.2 10.2 20.4% 18.7% ASRI Neutral 7,506 382 450-67% 1,161 67% 229 9.5 17.6 10.3% 5.3% LPCK Buy 3,466 4,980 10,000-80% 24,683 6% 4,700 5.0 5.4 14.6% 11.9% MDLN Buy 4,186 334 470-71% 1,165 19% 280 8.4 7.3 7.4% 7.9% CTRS Buy 5,363 2,710 4,000-80% 13,390-33% 4,018 10.4 10.7 13.9% 12.2% Simple Average -68% 15.0 12.0 13.9% 13.7% Industrial Estate Valuation JCI Code Rec. Market Cap Share price Target Price Discount to NAV RNAV per share (Rp) Premium (discount) to replacement cost Replacement cost per share (Rp) PE (x) ROE 17F 18F 17F 18F DMAS Buy 11,471 238 350-66% 710 31% 182 11.6 11.3 12.5% 11.8% BEST Buy 3,222 334 410-60% 826-25% 448 10.4 8.7 9.0% 9.9% SSIA Buy 2,988 635 720-63% 1,701-27% 869 2.0 12.1 40.5% 5.6% LPCK Buy 3,466 4,980 10,000-80% 24,683 6% 4,700 5.0 5.4 14.6% 11.9% MDLN Buy 4,186 334 470-71% 1,165 19% 280 8.4 7.3 7.4% 7.9% Simple Average -68% 8.9 9.6 16.8% 9.4% Page 11 of 14

Equity Valuation Price Price Mkt Cap Net Profit EPS Growth PER (x) EV/EBITDA (x) P/BV (x) Div.Yield Code Rating (Rp) Target PT (Rp Bn) 2017 2018 2017 2018 2017 2018 2017 2018 2017 2018 2017 2018 MANSEK universe 5,294 5,550 3,997,845 237,572 266,553 16.1% 13.1% 16.8 15.0 9.4 8.9 2.5 2.3 1.8% 2.0% Banking 938,935 81,172 95,390 20.3% 17.5% 11.6 9.8 N.A. N.A. 1.6 1.4 1.7% 2.0% BBCA Neutral 15,300 15,150 (1.0) 377,222 21,729 24,163 12.4% 11.2% 17.4 15.6 N.A. N.A. 3.1 2.7 1.3% 1.3% BBNI Buy 5,700 6,300 10.5 106,297 12,995 15,316 20.5% 17.9% 8.2 6.9 N.A. N.A. 1.1 1.0 3.0% 3.7% BBRI Buy 11,725 13,800 17.7 289,246 28,258 34,539 10.9% 22.2% 10.2 8.4 N.A. N.A. 1.7 1.5 1.7% 2.4% BBTN Buy 1,905 2,350 23.4 20,174 2,843 3,370 17.0% 18.6% 7.1 6.0 N.A. N.A. 1.1 1.0 2.4% 2.8% BDMN Neutral 4,160 3,575 (14.1) 39,872 4,060 4,596 31.1% 13.2% 9.8 8.7 N.A. N.A. 1.0 0.9 1.8% 1.8% BJBR Sell 2,300 1,600 (30.4) 22,301 1,780 1,966 16.9% 10.5% 12.5 11.3 N.A. N.A. 2.0 1.8 2.7% 3.2% BJTM Neutral 615 550 (10.6) 9,174 1,107 1,242 7.2% 12.2% 8.3 7.4 N.A. N.A. 1.2 1.1 7.5% 7.5% BNGA Buy 980 1,130 15.3 24,629 3,290 3,986 97.0% 21.2% 7.5 6.2 N.A. N.A. 0.7 0.6 0.0% 0.0% BNLI Buy 675 690 2.2 15,079 816 1,434 N/M 75.7% 18.5 10.5 N.A. N.A. 0.6 0.6 0.0% 0.5% BTPN Neutral 2,580 2,635 2.1 15,068 1,730 1,910-1.5% 10.5% 8.7 7.9 N.A. N.A. 0.9 0.8 0.0% 0.0% PNBN Buy 825 1,190 44.2 19,872 2,565 2,868 13.5% 11.8% 7.7 6.9 N.A. N.A. 0.6 0.6 0.0% 0.0% Building Materials 119,190 6,308 7,056-23.6% 11.9% 18.9 16.9 9.7 8.5 1.7 1.6 2.3% 1.8% INTP Neutral 15,025 14,400 (4.2) 55,311 3,252 3,589-23.2% 10.4% 17.0 15.4 9.5 8.3 1.9 1.8 2.7% 1.9% SMCB Sell 900 800 (11.1) 6,897-336 -289-204.8% 14.2% -20.5-23.9 12.8 11.8 0.9 0.9 0.0% 0.0% SMGR Neutral 9,025 8,600 (4.7) 53,532 3,207 3,475-20.7% 8.4% 16.7 15.4 9.3 8.3 1.7 1.6 2.3% 1.8% ARNA Buy 470 610 29.8 3,450 185 281 99.8% 51.9% 18.7 12.3 9.8 6.9 3.2 2.7 1.6% 2.4% tructions 112,256 6,339 7,302 21.0% 15.2% 17.7 15.4 11.4 10.8 2.0 1.8 1.0% 1.3% ADHI Neutral 2,100 2,020 (3.8) 7,478 513 694 77.0% 35.2% 14.6 10.8 9.0 7.4 1.3 1.2 0.8% 1.4% PTPP Buy 3,590 4,700 30.9 22,258 1,323 1,623 9.9% 22.7% 16.8 13.7 9.1 7.8 2.1 1.8 0.9% 1.2% WIKA Buy 2,570 3,000 16.7 23,028 1,239 1,386 17.4% 11.9% 18.6 16.6 10.7 9.9 1.9 1.7 0.7% 1.1% WSKT Buy 2,560 3,200 25.0 34,255 1,842 2,031 12.7% 10.2% 18.6 16.9 14.0 15.0 2.3 2.0 1.1% 1.2% WTON Buy 825 1,000 21.2 7,190 345 392 33.8% 13.8% 20.9 18.3 12.1 10.5 2.7 2.4 1.1% 1.4% WSBP Buy 585 690 17.9 15,421 831 895 41.1% 7.8% 18.6 17.2 12.5 10.7 1.9 1.8 1.1% 1.6% TOTL Buy 770 1,040 35.1 2,626 247 282 17.4% 14.1% 10.6 9.3 5.8 4.9 2.4 2.2 4.7% 5.4% Toll road 30,628 1,805 1,889-1.7% 4.6% 17.0 16.2 12.5 12.4 2.0 1.9 1.1% 1.8% JSMR Buy 4,220 5,175 22.6 30,628 1,805 1,889-1.7% 4.6% 17.0 16.2 12.5 12.4 2.0 1.9 1.1% 1.8% Rice Mill 5,069 528 661 23.9% 27.9% 9.5 7.4 6.7 5.9 1.1 0.9 0.6% 0.9% AISA U/R 1,575 U/R U/R 5,069 528 661 23.9% 27.9% 9.5 7.4 6.7 5.9 1.1 0.9 0.6% 0.9% umer 1,101,734 37,839 41,950 11.1% 10.8% 29.1 26.3 17.9 16.3 7.4 6.9 1.1% 1.1% ICBP Neutral 8,400 9,350 11.3 97,960 3,904 4,450 6.6% 14.0% 25.1 22.0 15.2 13.4 4.9 4.3 1.7% 1.8% INDF Buy 7,925 11,050 39.4 69,597 4,221 4,705 5.5% 11.5% 16.5 14.8 7.9 7.3 2.1 2.0 3.0% 3.2% MYOR Neutral 1,770 1,550 (12.4) 39,575 1,443 1,727 7.2% 19.7% 27.4 22.9 14.0 12.2 5.8 5.0 1.4% 1.5% ULTJ U/R 4,390 U/R U/R 12,680 729 809 19.8% 10.2% 17.3 15.7 10.2 9.4 3.8 n/a 0.5% 0.6% UNVR Neutral 41,200 41,900 1.7 314,356 7,274 8,083 13.4% 11.1% 43.2 38.9 30.0 27.0 50.1 44.3-2.0% -2.3% GGRM Buy 61,750 75,500 22.3 118,812 7,272 7,916 20.8% 8.9% 16.3 15.0 10.4 9.6 2.7 2.4 1.6% 1.6% HMSP Neutral 3,850 3,850 0.0 447,825 12,996 14,259 8.1% 9.7% 34.5 31.4 25.0 22.8 12.8 12.2 2.6% 2.8% WIIM U/R 442 U/R U/R 928 n/a n/a 0.0% 0.0% n/a n/a n/a n/a n/a n/a 0.0% 0.0% Healthcare 84,739 3,779 4,211 12.8% 11.9% 22.6 20.2 14.3 12.8 4.0 3.7 2.1% 2.5% KLBF U/R 1,450 U/R U/R 67,969 2,569 2,869 12.3% 11.2% 26.4 23.8 16.9 15.3 5.1 4.7 1.7% 2.1% SIDO Buy 560 700 25.0 8,400 528 607 11.1% 15.0% 15.9 13.8 9.6 8.3 2.8 2.7 3.8% 5.1% TSPC U/R 1,860 U/R U/R 8,370 682 734 16.4% 12.4% 12.8 11.4 8.1 7.2 1.7 1.5 3.7% 3.8% Hospital 50,019 884 1,076 12.2% 21.7% 56.6 46.5 27.0 22.3 8.3 7.4 0.6% 0.7% MIKA Buy 2,500 3,070 22.8 36,377 736 855 11.1% 16.1% 49.4 42.6 37.7 31.0 9.1 8.1 0.8% 0.9% SILO Neutral 11,800 10,820 (8.3) 13,642 148 222 17.7% 49.4% 92.0 61.6 16.3 13.5 6.8 6.1 0.0% 0.0% Retail 89,197 4,637 5,475 16.2% 17.9% 19.2 16.3 11.3 9.9 4.5 4.1 2.5% 3.4% ACES Neutral 745 970 30.2 12,777 615 709 10.4% 15.3% 20.8 18.0 14.3 12.1 3.9 3.5 2.2% 2.4% ERAA U/R 610 U/R U/R 1,769 307 404 17.4% 25.2% 5.5 4.4 4.9 5.1 n/a n/a 5.7% 6.9% LPPF Buy 14,775 19,200 29.9 43,112 2,355 2,755 13.1% 17.0% 18.3 15.6 13.0 11.0 15.2 12.4 3.4% 4.9% MAPI Buy 5,525 6,400 15.8 9,172 335 455 84.0% 35.5% 27.3 20.2 7.8 7.1 2.6 2.4 0.0% 0.5% MPPA Sell 1,225 900 (26.5) 6,588 63 98 10.7% 55.4% 104.5 67.2 13.2 11.4 2.3 2.3 0.3% 0.3% RALS Neutral 1,340 1,180 (11.9) 9,509 416 443 6.5% 6.5% 22.9 21.4 17.3 16.2 2.6 2.5 2.7% 2.8% TELE U/R 880 U/R U/R 6,271 545 610 18.6% 14.2% 11.9 10.4 9.5 8.8 1.7 1.5 1.8% 2.1% Automotive 325,439 18,303 19,250 10.1% 6.0% 17.9 16.9 16.0 14.7 2.5 2.3 2.3% 2.5% Page 12 of 14

Price Price Mkt Cap Net Profit EPS Growth PER (x) EV/EBITDA (x) P/BV (x) Div.Yield Code Rating (Rp) Target PT (Rp Bn) 2017 2018 2017 2018 2017 2018 2017 2018 2017 2018 2017 2018 ASII Neutral 7,950 8,200 3.1 321,844 18,054 18,863 9.5% 4.5% 17.8 17.1 16.0 15.0 2.6 2.4 2.3% 2.5% IMAS U/R 1,300 U/R U/R 3,595 249 387 1819.1% 267.7% 34.1 9.3 16.3 10.2 0.6 0.6 0.0% 0.2% Heavy Equipment 84,275 5,799 5,813 25.3% -0.3% 14.4 14.5 6.2 5.8 1.8 1.7 3.7% 2.1% HEXA* U/R 3,300 U/R U/R 2,772 13 16 100.0% 0.0% 12.6 12.6 9.6 7.8 1.6 1.4 51.6% 4.0% UNTR Neutral 21,850 21,000 (3.9) 81,503 5,623 5,603 23.5% -0.4% 14.5 14.5 6.1 5.7 1.8 1.7 2.1% 2.1% Plantation 44,703 3,099 3,468 38.7% 14.0% 14.5 12.7 7.7 6.8 1.5 1.4 1.8% 2.4% AALI Buy 15,775 16,500 4.6 30,362 2,008 2,290 19.8% 14.0% 15.1 13.3 8.3 7.1 1.7 1.5 1.8% 2.3% LSIP Buy 1,550 1,950 25.8 10,571 789 848 62.5% 7.5% 13.4 12.5 6.9 6.3 1.3 1.2 1.8% 3.0% SGRO U/R 1,995 U/R U/R 3,771 302 330 30.5% 31.4% 13.4 10.2 6.7 6.0 1.1 1.0 1.8% 2.0% Property 138,169 11,535 12,687 12.8% 9.3% 12.1 11.0 8.7 8.2 1.5 1.4 0.8% 0.8% APLN U/R 220 U/R U/R 4,510 927 909 5.5% -12.6% 5.3 6.0 3.7 4.5 0.5 0.5 3.9% 2.9% ASRI Neutral 382 450 17.8 7,506 791 426-33.4% -46.1% 9.5 17.6 9.3 12.3 0.9 0.9 3.0% 1.5% BSDE Buy 1,830 2,570 40.4 35,221 2,648 2,480 53.8% -6.4% 13.3 14.2 11.4 12.6 1.6 1.4 1.0% 1.0% CTRA Buy 1,320 1,600 21.2 20,019 1,429 1,592-3.1% 11.4% 14.0 12.6 8.5 8.1 1.9 1.7-1.5% -1.4% CTRS Buy 2,710 4,000 47.6 5,363 517 501 1.8% -3.1% 10.4 10.7 7.9 8.3 1.4 1.2 2.2% 2.2% JRPT Buy 875 1,300 48.6 12,031 1,074 1,175 11.6% 9.4% 11.2 10.2 8.9 8.1 2.1 1.8 0.9% 0.9% LPCK Buy 4,980 10,000 100.8 3,466 696 646-15.9% -7.1% 5.0 5.4 2.2 2.1 0.7 0.6 0.0% 0.0% MDLN Buy 334 470 40.7 4,186 501 575 10.7% 14.7% 8.4 7.3 7.8 6.3 0.6 0.6 0.0% 0.0% PWON Buy 560 720 28.6 26,969 2,435 3,096 25.9% 27.1% 11.1 8.7 8.3 6.7 2.5 2.0 1.6% 2.1% SMRA Neutral 1,310 1,575 20.2 18,896 518 1,286 78.2% 148.5% 36.5 14.7 14.0 9.4 2.8 2.3 0.0% 0.0% Industrial Estate 17,681 2,814 1,636 112.8% -41.9% 6.3 10.8 8.5 7.8 1.1 1.0 1.8% 3.5% DMAS Buy 238 350 47.1 11,471 989 1,017 8.4% 2.8% 11.6 11.3 9.1 8.5 1.4 1.3 2.4% 2.6% BEST Buy 334 410 22.8 3,222 309 372 18.8% 20.4% 10.4 8.7 10.6 9.0 0.9 0.8 0.4% 0.5% SSIA Buy 635 720 13.4 2,988 1,516 248 907.4% -83.7% 2.0 12.1 6.2 6.3 0.7 0.7 1.0% 10.2% Poultry 73,479 5,544 6,818 12.6% 18.8% 12.5 10.5 8.8 7.8 2.5 2.1 2.0% 2.4% CPIN U/R 3,100 U/R U/R 50,834 3,525 4,198 16.0% 17.6% 14.2 12.1 10.5 9.1 3.0 2.5 1.9% 2.4% JPFA U/R 1,755 U/R U/R 20,025 1,688 2,224 6.5% 22.2% 10.3 8.4 6.9 6.4 2.0 1.7 2.4% 2.2% MAIN U/R 1,170 U/R U/R 2,619 332 397 14.0% 12.8% 7.4 6.6 5.5 5.2 1.3 1.1 2.3% 2.8% Coal 103,837 8,370 8,639 31.0% 3.4% 12.2 11.8 6.0 5.6 1.5 1.4 4.0% 4.1% ADRO* Sell 1,695 1,200 (29.2) 54,216 299 308 19.6% 2.9% 13.8 13.4 5.9 5.4 1.3 1.2 2.5% 2.6% HRUM* Sell 2,200 1,600 (27.3) 5,940 36 38 153.7% 7.3% 12.7 11.8 4.3 3.7 1.4 1.4 4.3% 4.7% ITMG* Sell 15,000 12,250 (18.3) 16,949 132 120 23.3% -9.3% 9.8 10.8 4.3 4.5 1.4 1.4 8.2% 7.4% PTBA Sell 11,600 9,500 (18.1) 26,732 2,256 2,536 46.4% 12.4% 11.2 9.9 8.5 7.3 2.4 2.1 4.2% 4.7% Oil & Gas 69,816 5,529 5,554 6.3% 5.9% 12.9 12.2 8.0 7.7 1.5 1.4 3.6% 4.1% PGAS* U/R 2,880 U/R U/R 69,816 422 424 6.3% 5.9% 12.9 12.2 8.0 7.7 1.5 1.4 3.6% 4.1% Shipping 2,118 637 0 0.0% N/A 4.6 0.0 6.7 0.0 0.0 0.0 0.0% 0.0% SOCI* U/R 300 U/R U/R 2,118 49 n/a 0.0% -100.0% 4.6 n/a 6.7 n/a n/a n/a 0.0% 0.0% Metal 31,177-221 278-72.4% N/M ### 97.6 12.4 10.4 0.8 0.8 0.0% 1.1% ANTM Neutral 800 500 (37.5) 7,628-752 -852 10.3% -13.3% -10.1-9.0 35.2 44.2 0.5 0.5-3.5% -3.9% INCO* U/R 2,370 U/R U/R 23,549 41 86 0.0% 125.0% 45.2 20.1 8.7 6.8 1.0 0.9 1.1% 2.8% Telco 446,187 23,840 27,982 15.9% 17.6% 18.7 15.9 5.5 5.0 3.6 3.3 3.3% 3.9% EXCL Neutral 2,910 2,400 (17.5) 31,056 529 729 81.6% 37.7% 58.7 42.6 4.5 4.1 1.5 1.4 0.3% 0.5% ISAT U/R 6,450 U/R U/R 35,049 1,871 2,622 84.3% 43.5% 18.6 13.0 3.3 3.2 2.3 2.1 2.2% 3.3% TLKM Buy 3,870 4,700 21.4 380,082 21,439 24,631 11.2% 14.9% 17.7 15.4 6.1 5.5 4.2 3.9 3.7% 4.2% Tower 59,453 4,471 5,191 26.3% 16.1% 13.3 11.5 9.5 8.1 3.5 2.4 0.0% 0.0% TBIG Neutral 4,950 6,000 21.2 23,743 1,558 1,957 39.1% 25.6% 15.2 12.1 11.2 10.0 5.6 3.9 0.0% 0.0% TOWR Buy 3,500 5,000 42.9 35,710 2,913 3,234 20.4% 11.0% 12.3 11.0 8.1 6.6 2.7 2.0 0.0% 0.0% Media 65,431 3,681 4,226 16.0% 14.8% 17.8 15.5 12.1 10.6 4.2 3.7 2.7% 3.1% SCMA Buy 2,820 3,500 24.1 41,233 1,870 2,124 16.9% 13.6% 22.1 19.4 15.6 13.7 9.3 7.9 2.7% 3.2% MNCN Buy 1,695 2,600 53.4 24,198 1,812 2,102 15.0% 16.0% 13.4 11.5 9.1 7.9 2.2 1.9 2.6% 3.0% Textile 4,314 878 0 33.3% N/A 4.4 0.0 5.6 0.0 0.8 0.0 5.6% 0.0% SRIL* U/R 232 U/R U/R 4,314 67 n/a 33.3% -100.0% 4.4 n/a 5.6 n/a 0.8 n/a 5.6% 0.0% Note: - *) net profit in USD mn - U/R means Under Review - n/a means Not Available - N/M means Not Meaningful - N.A means Not Applicable Page 13 of 14

Mandiri Sekuritas A subsidiary of PT Bank Mandiri (Persero) Tbk Plaza Mandiri 28 th Floor, Jl. Jend. Gatot Subroto Kav. 36-38, Jakarta 12190, Indonesia General: +62 21 526 3445, Fax : +62 21 527 5374 (Equity Sales) RESEARCH Tjandra Lienandjaja Deputy Head of Equity Research, Banking tjandra.lienandjaja@mandirisek.co.id +6221 5296 9617 Liliana S Bambang Property, Building Material liliana.bambang@mandirisek.co.id +6221 5296 9465 Adrian Joezer umer, Strategy adrian.joezer@mandirisek.co.id +6221 5296 9415 Ariyanto Kurniawan Telecom, Coal, Metal, Automotive ariyanto.kurniawan@mandirisek.co.id +6221 5296 9682 Bob Setiadi truction, Toll Road bob.setiadi@mandirisek.co.id +6221 5296 9543 Francis Lim Quant, Health Care, Hospital francis.lim@mandirisek.co.id +6221 5296 9522 Yudha Gautama Mining, Plantation yudha.gautama@mandirisek.co.id +6221 5296 9623 Laura Taslim Retail laura.taslim@mandirisek.co.id +6221 5296 9450 Priscilla Thany Banking priscilla.thany@mandirisek.co.id +6221 5296 9569 Ferdy Wan Building Material, Industrial Est., Media ferdy.wan@mandirisek.co.id +6221 5296 9572 Lakshmi Rowter Research Assistant lakshmi.rowter@mandirisek.co.id +6221 5296 9549 Gerry Harlan Research Assistant gerry.harlan@mandirisek.co.id +6221 5296 9488 Leo Putera Rinaldy Chief Economist leo.rinaldy@mandirisek.co.id +6221 5296 9406 Wisnu Trihatmojo Economist wisnu.trihatmojo@mandirisek.co.id +6221 5296 9544 Aziza Nabila Amani Research Assistant aziza.amani@mandirisek.co.id +6221 5296 9688 INSTITUTIONAL SALES Lokman Lie Co-Head Institutional Equities lokman.lie@mandirisek.co.id +6221 527 5375 Silva Halim Co-Head Institutional Equities silva.halim@mandirisek.co.id +6221 527 5375 Aditya Sastrawinata Institutional Sales aditya.sastrawinata@mandirisek.co.id +6221 527 5375 Andrew Handaya Institutional Sales andrew.handaya@mandirisek.co.id +6221 527 5375 Cindy Amelia P. Kalangie Institutional Sales cindy.amelia@mandirisek.co.id +6221 527 5375 Feliciana Ramonda Institutional Sales feliciana.ramonda@mandirisek.co.id +6221 527 5375 Kevin Halim Institutional Sales kevin.halim@mandirisek.co.id +6221 527 5375 Mirna Santikara Salim Institutional Sales santikara.salim@mandirisek.co.id +6221 527 5375 Oos Rosadi Institutional Sales oos.rosadi@mandirisek.co.id +6221 527 5375 Zahra Aldila Niode Institutional Sales zahra.niode@mandirisek.co.id +6221 527 5375 Kusnadi Widjaja Equity Dealing kusnadi.widjaja@mandirisek.co.id +6221 527 5375 Edwin Pradana Setiadi Equity Dealing edwin.setiadi@mandirisek.co.id +6221 527 5375 Jane Theodoven Sukardi Equity Dealing jane.sukardi@mandirisek.co.id +6221 527 5375 Michael Taarea Equity Dealing michael.taarea@mandirisek.co.id +6221 527 5375 RETAIL SALES Andreas M. Gunawidjaja Head Retail Equities andreas@mandirisek.co.id +6221 526 9693 Boy Triyono Plaza Mandiri boy.triyono@mandirisek.co.id +6221 526 5678 A. A. Damargumilang Pondok Indah Office Tower damar.gumilang@mandirisek.co.id +6221 2912 4005 Herianto Pondok Indah Prioritas herianto@mandirisek.co.id +6221 7591 8400 Hendra Riady Mangga Dua hendra.riady@mandirisek.co.id +6221 6230 2333 Indra Mas'ari Bandung indra.mas ari@mandirisek.co.id +6222 426 5088 Yogiswara P. Yogyakarta yogiswara.perdana@mandirisek.co.id +62274 560 596 Widodo Solo widodo@mandirisek.co.id +62271 788 9290 Linawati Surabaya Linawati@mandirisek.co.id +6231 535 7218 Bambang Suwanto Malang bambang.suwanto@mandirisek.co.id +62341 336 440 Ruwie Medan ruwie@mandirisek.co.id +6261 8050 1825 Aidil Idham Palembang aidil.idham@mandirisek.co.id +62711 319 900 Yuri Ariadi Pontianak yuri.ariadi@mandirisek.co.id +62561 582 293 INVESTMENT RATINGS: Indicators of expected total return (price appreciation plus dividend yield) within the 12-month period from the date of the last published report, are: Buy (15% or higher), Neutral (-15% to15%) and Sell (-15% or lower). DISCLAIMER: This report is issued by PT. Mandiri Sekuritas, a member of the Indonesia Stock Exchanges (IDX) and Mandiri Sekuritas is registered and supervised by the Financial Services Authority (OJK). Although the contents of this document may represent the opinion of PT. Mandiri Sekuritas, deriving its judgement from materials and sources believed to be reliable, PT. Mandiri Sekuritas or any other company in the Mandiri Group cannot guarantee its accuracy and completeness. PT. Mandiri Sekuritas or any other company in the Mandiri Group may be involved in transactions contrary to any opinion herein to make markets, or have positions in the securities recommended herein. PT. Mandiri Sekuritas or any other company in the Mandiri Group may seek or will seek investment banking or other business relationships with the companies in this report. For further information please contact our number 62-21-5263445 or fax 62-21-5275374. ANALYSTS CERTIFICATION: Each contributor to this report hereby certifies that all the views expressed accurately reflect his or her views about the companies, securities and all pertinent variables. It is also certified that the views and recommendations contained in this report are not and will not be influenced by any part or all of his or her compensation.