Thursday, November 8, 2012
Malindo Feedmill
(MAIN.IJ, BUY) - Pecking Up
Malindo recorded
9M12 net profit growth of 76% YoY to IDR267b, while sales were up 28% YoY to
IDR2,516b. The results outpaced our expectations. Malindo’s capacity expansion
is still on track. The company incurred capital expenditure of IDR259b in 9M12,
in line with our FY12 capex estimate of IDR300b. Although net profit surprised
us and represented 85% our FY12 net profit forecast of IDR314b, we maintain our
estimates. We are concerned that the lower DOC prices from mid-October to early
this month will prove to be a drag on 4Q12 profit. We maintain our TP at
IDR2,400 (pegging the stock at 10.6x FY13F PER).
source: KIMENG dated 8 Nov 2012