BINAARTHA SEKURITAS
  • Home
  • Company
  • Research
  • Online Trading
  • E-IPO
  • NEWS
  • FAQ

INTP

Contact our analyst Eka
BUY, 23% Upside
5th April 2022 
​
Price Rp 10,800
Target price Rp 13,255
Sales continue to grow
  • In a challenging cement sector with oversupply, a price war, and higher coal prices, INTP still managed to book +5% growth in cement sales volume, with INTP’s domestic cement sales growing +2.2%, bag sales +3% and bulk a slight decrease of -0.6% in 2021. The Java bulk market was down -4.5% due to stricter mobility restriction for infrastructure and commercial projects while outside Java saw growth of +24.2% as more infrastructure projects were outside Java in 2021.
  • The total domestic cement sales volume continues to grow +4.3% YoY with bag volume +4.7% and bulk +3.2%.
  • With more easing of restrictions in early 2022 inline with a decline on covid-19 cases, In January – February 2022, domestic cement sales continue to grow +6.5% with January domestic cement sales alone +8% YoY. Bulk grew +8.3% driven by infrastructure projects such as toll roads and industrial estates, while bag grew +1.1%.
  • Cement demand is likely to remain overshadowed by rising prices such as higher coal prices, which will especially affect the bag market. However, we expect positive sales volume growth in 2022 as infrastructure projects will boost domestic demand.

Sign up now to trade; what you want, when you want, where you want.
Binaartha Online Trading

Lower Margin in 4Q2021
  • In 4Q2021, INTP net revenue increased +6% QoQ and +3% YoY to IDR 4.16 trillion due to higher sales volume. For 2021, net revenue increased +4.1% YoY to IDR 14.77 trillion.
  • With higher energy costs especially coal and higher sales volume in 4Q2021, cost of revenue increased +8% QoQ or +11% YoY. This resulted in a lower gross profit -8% YoY to IDR 1.52 trillion with a  lower GPM of 36.8% from 41.5% in 4Q2020.
  • To offset higher coal prices, INTP has raised ASPs with bag cement prices up 2 times or about 5%-9% and there are plans for a further increase in 1Q2022 to mitigate margin contraction.
  • Operating profit decreased -5% QoQ or -9% YoY to IDR 695 billion with a lower OPM of 16.7%  from 18.9% OPM in 4Q2020.
  • INTP net profit in 4Q2021 still decreased -16% YoY or -7% QoQ to IDR 580 billion. This resulted in a  lower NPM of 13.9% from 17.1% in 4Q2020. For 2021 net profit decreased slightly -1% YoY to IDR 1.78 trillion with a lower NPM of 12.1%
  • We are expecting INTP’s 2022F revenue and net profit will reach IDR 16.1 trillion and IDR 1.9 trillion which is growth of +9.3% and +9.1% respectively.

Valuation: maintain Buy with TP 13,255
  • We are now targeting INTP to trade at 23x 2022F PE within a year. Target Price is IDR 13,255 which represents +23% upside.
DOWNLOAD THE FULL REPORT

Previously
​INTP Nov2021
​INTP Aug2021
​INTP May2021
​INTP Mar2021
​INTP Nov2020
​INTP Aug2020
​INTP Jul2020
​INTP Mar2020
​January 2020
​March 2019
November 2018
​April 2018
February 2018
PT. Binaartha Sekuritas

Setiabudi Atrium, Jl. HR Rasuna Said No.62, RT.18/RW.2, Karet Kuningan, Setia Budi, Jakarta Selatan, DKI Jakarta 12920
+62215206678 | email: kyc.online@binaartha.com

Follow Our Social Media
Picture
Picture
Picture
Picture
Picture
  • Home
  • Company
  • Research
  • Online Trading
  • E-IPO
  • NEWS
  • FAQ