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

Arwana Citramulia (ARNA IJ) - Tiling the Nation in 2022

Arwana Citramulia (ARNA IJ) - Tiling a Porcelain Path

Arwana Citramulia (ARNA IJ) A Finely Glazed Future

Arwana Citramulia (ARNA IJ) - Garuda Versus Dragon

Arwana Citramulia (ARNA IJ) - Jumping Jack Flash

Arwana Citramulia (ARNA IJ) - Fired Up Top Quality Industrial

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

<p>Indonesia's leading low-cost tile producer <a href="https://www.smartkarma.com/entities/arwana-citramulia-tbk-pt" target="_blank" data-smartkarma-citation="entities:17042:1" rel="noopener">Arwana Citramulia (ARNA IJ)</a> released a strong set of results for 1H2021, with revenues increasing by +25.2% YoY driven by decent organic growth, new capacity plus continuing improvements in product mix.</p>
<p><a href="https://www.smartkarma.com/entities/arwana-citramulia-tbk-pt" target="_blank" data-smartkarma-citation="entities:17042:1" rel="noopener">Arwana Citramulia (ARNA IJ)</a> continues to increase its production capacity whilst operating at very high rates of capacity utilisation above 100%. </p>
<p>The company has started production of its new higher-end ARNA brand 60cmx60cm tiles, which compete for head-on with Chinese imports but where Arwana has cost advantages, faster turnaround times, and can provide better terms for customers.</p>
<section class="figure">Apart from the increase in new capacity for the higher-end porcelain tiles, <a href="https://www.smartkarma.com/entities/arwana-citramulia-tbk-pt" target="_blank" data-smartkarma-citation="entities:17042:1" rel="noopener">Arwana Citramulia (ARNA IJ)</a> also continues to shift its product mix towards its higher-end ceramic tiles under the UNO brand name, whilst reducing the production of cheaper products, helping to support margins.</section>
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<p>The company saw its gross profit increase by +60% YoY and gross profit margin to 35.4% versus 27.5% the previous year, mainly helped by lower gas prices, which were reduced by -30% last April</p>
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<p>We continue to view <a href="https://www.smartkarma.com/entities/arwana-citramulia-tbk-pt" target="_blank" data-smartkarma-citation="entities:17042:1" rel="noopener">Arwana Citramulia (ARNA IJ)</a> as one of the best quality industrial companies in Indonesia, which will continue to see the positive tailwind of better product mix and lower gas prices in 2H2021, suggesting more to come on margin improvements in the second half.</p>

Indonesia's leading low-cost tile producer Arwana Citramulia (ARNA IJ) released a strong set of results for 1H2021, with revenues increasing by +25.2% YoY driven by decent organic growth, new capacity plus continuing improvements in product mix.
Arwana Citramulia (ARNA IJ) continues to increase its production capacity whilst operating at very high rates of capacity utilisation above 100%. 
The company has started production of its new higher-end ARNA brand 60cmx60cm tiles, which compete for head-on with Chinese imports but where Arwana has cost advantages, faster turnaround times, and can provide better terms for customers.
Apart from the increase in new capacity for the higher-end porcelain tiles, Arwana Citramulia (ARNA IJ) also continues to shift its product mix towards its higher-end ceramic tiles under the UNO brand name, whilst reducing the production of cheaper products, helping to support margins.


The company saw its gross profit increase by +60% YoY and gross profit margin to 35.4% versus 27.5% the previous year, mainly helped by lower gas prices, which were reduced by -30% last April

We continue to view Arwana Citramulia (ARNA IJ) as one of the best quality industrial companies in Indonesia, which will continue to see the positive tailwind of better product mix and lower gas prices in 2H2021, suggesting more to come on margin improvements in the second half.

Arwana Citramulia (ARNA IJ) - Glazed Porcelain