ASEAN Insight Provider, CrossASEAN Research

Angus Mackintosh

In Equity Sales and Research for more than 25 years covering Asian markets. Possesses in-depth knowledge of a wide range of companies, economies, and markets in Asia. Over his career, he has specialised in HK/China and ASEAN markets at various different Investment Banks, most recently heading equities in Indonesia for Bank of America Merrill Lynch in Jakarta for more than three years. Whilst in Jakarta, he produced a well-read daily and weekly product on the Indonesian market, which included company visits, as well as political, economic and sector commentary. A former racing skier, who enjoys ultra-marathons and surfing in his spare time.

ASEAN Insight Provider

CrossASEAN Indonesia Strategy - The Stars Are Aligned

Ciputra Development (CTRA IJ) - Primed for the Recovery

Ace Hardware Indonesia (ACES IJ) - Back on an Expansion Tack

Ace Hardware (ACES IJ) - Renovation Complete, Time to Move-In

Ace Hardware Indonesia (ACES IJ) - Building A Road to Recovery

Ace Hardware (ACES IJ) - Lifestyle Express Train

CrossASEAN Research

At CrossASEAN Research we strive to produce unbiased and differentiated on the ground insights on companies across South East Asia. Our Research is produced for the most part after face to face meetings and conversations with company management to dig deep into the long term vision and strategy of the companies we cover. We seek to deliver investable and actionable themes on sectors and markets across SE Asia, often in collaboration with other Insight Providers across the region, pooling the vast experience of the analysts within the Smartkarma Ecosystem. We also offer bespoke work and tailor made trips for our clients. 

Insights across South East Asia

Equity Bottom-Up

Aspirasi Hidup Indonesia / Equity Bottom-Up

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<p><a href="https://www.smartkarma.com/entities/ace-hardware-indonesia" target="_blank" data-smartkarma-citation="entities:12808:1" rel="noopener">Ace Hardware Indonesia (ACES IJ)</a> released 1H2021 last week with sales down by -7.0% YoY and operating profits by -27.6% YoY, while net profit fell by -21.3% YoY. Obviously, 1Q2020 represented partial a high-base given that the pandemic had not yet impacted Indonesia in a big way.</p>
<p>The company saw sales in Jakarta affected most by the pandemic, with Java ex-Jakarta increased its share of sales and stores outside Java also increasing share of the total.</p>
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<section class="figure"><a href="https://www.smartkarma.com/entities/ace-hardware-indonesia" target="_blank" data-smartkarma-citation="entities:12808:1" rel="noopener">Ace Hardware Indonesia (ACES IJ)</a> continued to expand its stores in 1H2021 despite the pandemic.  The fact that  a large portion of stores are in malls has meant that it has been heavily impacted by the recent Emergency PPKM measures, which is not yet reflected in these numbers. </section>
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<section class="figure">The most recent round of Emergency PPKM measures has seen 155 stores closed in July, which remain closed in August. The company has managed to shift some of its sales online but this is still small.</section>
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<p><a href="https://www.smartkarma.com/entities/ace-hardware-indonesia" target="_blank" data-smartkarma-citation="entities:12808:1" rel="noopener">Ace Hardware Indonesia (ACES IJ)</a> continued to grow its members under its Ace Reward scheme, with member sales now accounting for 73.1% of total sales in 1H2021. Members spend significantly more than the average ticket size.</p>
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<p><a href="https://www.smartkarma.com/entities/ace-hardware-indonesia" target="_blank" data-smartkarma-citation="entities:12808:1" rel="noopener">Ace Hardware Indonesia (ACES IJ)</a> recently released predictably weak SSSG numbers for July, which saw a -50.7% decline YoY reflecting the imposition of Emergency PPKM mobility restrictions versus a more open environment last year. We would expect a gradual recovery in September, as PPKM measures are relaxed further. </p>
<p>The company trades on 30.1x FY21E PER and 23.0x FY22E PER, with forecast EPS growth of +13.7% and +30.7% for FY21E and FY22E respectively, making it look attractive versus its 5-year average forward PER of 25.0x </p>
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Ace Hardware Indonesia (ACES IJ) released 1H2021 last week with sales down by -7.0% YoY and operating profits by -27.6% YoY, while net profit fell by -21.3% YoY. Obviously, 1Q2020 represented partial a high-base given that the pandemic had not yet impacted Indonesia in a big way.
The company saw sales in Jakarta affected most by the pandemic, with Java ex-Jakarta increased its share of sales and stores outside Java also increasing share of the total.

Ace Hardware Indonesia (ACES IJ) continued to expand its stores in 1H2021 despite the pandemic.  The fact that  a large portion of stores are in malls has meant that it has been heavily impacted by the recent Emergency PPKM measures, which is not yet reflected in these numbers. 




The most recent round of Emergency PPKM measures has seen 155 stores closed in July, which remain closed in August. The company has managed to shift some of its sales online but this is still small.


Ace Hardware Indonesia (ACES IJ) continued to grow its members under its Ace Reward scheme, with member sales now accounting for 73.1% of total sales in 1H2021. Members spend significantly more than the average ticket size.

Ace Hardware Indonesia (ACES IJ) recently released predictably weak SSSG numbers for July, which saw a -50.7% decline YoY reflecting the imposition of Emergency PPKM mobility restrictions versus a more open environment last year. We would expect a gradual recovery in September, as PPKM measures are relaxed further. 
The company trades on 30.1x FY21E PER and 23.0x FY22E PER, with forecast EPS growth of +13.7% and +30.7% for FY21E and FY22E respectively, making it look attractive versus its 5-year average forward PER of 25.0x 


Ace Hardware Indonesia (ACES IJ) - Summer Lull