NISP Sekuritas Daily 24 Jan 2011 (Economy, BBTN, MPPA, EPMT, KBLV, MBTO)

Bank Indonesia requests banks to lower dividend payout ratio

·          Bank Indonesia is requesting that banks, especially state banks, to lower their dividend payout ratio, and allocate the excess funds to strengthen capital for expansion. At the request of the government as its majority stakeholder, state banks have usually maintained a high dividend payout ratio.

·          In response to this, the Minister of SOE, states that he will review this input and will study the level of payout that will allow banks to expand.

·          For this year, there are two scenarios for credit growth assumed by Bank Indonesia, 19-21% and 20-23%. Bank Indonesia sees that inflation especial risks in commodity prices and the role of non-bank financial institution would be factors in affecting target this year.

Bank Tabungan Negara indicates 60-70% YoY jump for 2010 net income (BBTN, Rp1,260)

·          Bank Tabungan Negara indicates that it has booked Rp784-833bn in net income this year or up between 60-70% from Rp490.5bn in 2009. If realized the range inline with consensus expectation for Rp806.1bn net income.

·          Credit growth in 2010 is expected to have reached between 25-30% YoY. While credit growth this year is expected to reach 23.8% YoY to Rp26tn.

·          BBTN is trading at 2011F consensus PER of 10.1x and PBV of 1.6x.

Matahari books Rp5.80tn net income in 2010 (MPPA, Rp1,740)

·          Thanks to the sale of Matahari Department Store, Matahari Putra Prima booked a net income of Rp5.80tn in 2010 from only Rp300bn in 2009. Sales in return dropped by 16.9% YoY to Rp8.54tn from Rp10.28tn. It came inline with consensus expectation for sales figure of Rp8.72tn and net income of  Rp5.78tn.

·          On a quarterly basis, sales was also down in 4Q10 by 5.3% QoQ to only Rp2.03tn from Rp2.14tn. Operating profit was reduced by 82.7% QoQ to Rp13.9bn making operating profit in 4Q10 to only 0.7% from 3.8%.

·          MPPA is trading at 2011F consensus PER of 17.2x.

Source: Company                           

Enseval to conduct rights issue (EPMT, Rp1,000)

·          Enseval Putra Megatrading will conduct rights issue to raise a max.amount of Rp200.0-Rp300bn this year and will ask for shareholder approval in an EGM in March 2, 2011.  Its CEO, Vidjongtius, stated that it will use the fund to expand its distribution network and logistics. It plans to open 10-12 branches this year to 2012, where investment cost ranges between Rp10bn-Rp20bn.  

·          The company projects growth last year will be somewhere between 12%-15% and expects it could maintain that rate of growth for this year also. Capex this year will be between Rp100-150bn.

First Media disclaims sale rumor (KBLV, Rp1,000)

·          First Media CEO, Dicky Moechtar, has disclaimed any rumor that First Media will be sold as the prepaid TV channel market still has potential to growth.

·          Although it has appointed Merrill Lynch as financial advisor for its future business strategy, there has been no discussion on the issue of selling some or all of its shares.

Martina Berto indicates 71.1% YoY jump for 2010 net income (MBTO, Rp510)

·          Martina Berto indicates that net income this year has reached Rp38.0bn , up by 71.1% YoY from Rp22.2bn in 2009. Sales increased by 9.4% YoY to Rp565bn from Rp516bn previously. The company claims that this is higher than market size which has only grown by 5% in 2010.

·          Martina Berto plans to distribute 30% as dividends or Rp11.4bn or Rp10.7 per share. This makes impact neutral as it only offers 2.0% yield to share price.