Tuesday, October 30, 2012
ASII
Astra
International (ASII.IJ, BUY) - 2013F-14F: Shifting Into Higher
Gear
v
Astra International (ASII.IJ) will
report its 9M12 financial results on 31st October. Based on the 9M12
volume realisation across all business units, we expect earnings growth to have
slowed to single digits from 12.7% YoY realisation in 1H12.
v
On a quarterly basis, 3Q12
earnings should dip on the seasonality factor of lower auto sales during the
Ramadan holiday in August. Additionally, we expect Komatsu volume performance to
worsen in 3Q12. On palm oil division, higher production would be offset by lower
CPO price.
v
Despite seasonal dip in 3Q12, we
raise our FY13F‐14F
earnings by 4% in anticipation of higher car sales volume growth of 16% on Low
Cost Green Car (LCGC). Thus, we raise our sum‐of‐the‐parts
TP to IDR8,800 and reiterate our BUY rating.
source: KIMENG dated 25 October 2012