Tuesday, February 14, 2012

Surya Citra Media (SCMA.IJ, HOLD) - No spectacular growth in sight

We expect Surya Citra Media (SCMA) to record a 20% YoY growth in FY11 revenue to Rp2.3t and a 61% YoY jump in net profit to Rp856b. Fourth-quarter revenue is likely to be lower than 3Q11’s (4Q revenue typically makes up 25-26% of full-year revenue, whereas 3Q revenue accounts for 30% on average). We are keeping our estimates for now as we await new earnings growth catalysts. Our TP is also unchanged at Rp8,500. However, we downgrade our rating to HOLD, from BUY.

source: KIMENG dated 13 February 2012

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