Company Update / Property / IJ / Click here for full PDF version
Author(s): Ryan Dimitry ;Anthony
- booked a 1Q24 net profit of Rp1.4tr (+63% yoy/715% qoq) which was above ours/cons' at 65/57%.
- 1Q24 presales of Rp2.2tr (+3% yoy) and in-line with ours/company's target (at 24/23%).
- We upgrade our rating to Buy with a higher TP of Rp1,130 to reflect a higher revenue recognition and GPM due to product mix.
1Q24 results: beat on higher GPM and revenue recognition
reported 1Q24 net profit of Rp1.4tr (+63% yoy/+715% qoq), which was above ours/consensus estimates at 65/57% of FY24F, driven by a combination of change in product mix and sizable revenue recognition. 1Q24 gross profit of Rp2.7tr (+42% yoy/+52% qoq) also came above ours/consensus at 44/37% of FY24F. GPM improved to 70% in 1Q24 (+589bps yoy/+2,893bps qoq), given higher revenue contribution from housing (42% in 1Q24; vs. 33% in 1Q23). Meanwhile, revenue came in at Rp3.8tr (+31% yoy/-11% qoq), better than our/consensus estimates at 37/34%, due to revenue jump from the housing segment (+68% yoy) on sizable revenue recognition of VAT-exempt inventories from Grand Wisata Bekasi (Rp400bn), as well as handovers for Yuthica in BSD (Rp350bn).
1Q24 presales: in-line, driven by shophouse and apartment growth
1Q24 presales of Rp2.2tr (+3% yoy) met our/company's estimates, forming 24/23% of FY24F presales target. Shophouse/apartment presales reached Rp627/147bn (+75/44% yoy) in the quarter. Of note, the former presales were driven by sales of newly launched products, including Cascade Studio Loft in BSD City, as well as existing shophouse inventories. Meanwhile, apartment sales came from existing inventories of Southgate/Aerium/Akasa/Upper West, which contributed to 42/14/14/14% of 1Q24 presales. Housing presales reached Rp1.3tr (-16% yoy).
Upgrade from Hold to Buy with a higher TP of 1,130
reported a strong set of 1Q24 results. We revised up our EPS forecasts by +13-19% in FY24-25F to incorporate 1Q24 data points. We upgrade our rating on from Hold to Buy, with a higher TP of Rp1,130 (vs. Rp1,025 previously) based on a blended-valuation of P/E multiple (unchanged target of 10.5x; -0.5 SD) and disc. to NAV at -83% (unchanged at -1 SD). is currently trading at 7.5x FY24F P/E and -83% disc. to NAV. Risk are weak presales and purchasing power.
Sumber : IPS