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

The Week that Was in ASEAN@Smartkarma - Sea Ltd's Runway, Telkom's Digital Edge, and Astra Intl

Telkom Indonesia (TLKM IJ) - Digital Evidence

The Week That Was in ASEAN@Smartkarma - Telkom Digitally Remastered, MAPI, and DTAC & True Merger

Telekomunikasi Indonesia (TLKM IJ) - The Trend Is Digital

Telkom Indonesia (TLKM IJ) - Digital Catalysts Abound?

XL Axiata (EXCL IJ) - Rising Through The Cloud

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

Telekomunikasi Indonesia / Equity Bottom-Up

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<p><a href="https://www.smartkarma.com/entities/telekomunikasi-indonesia" target="_blank" data-smartkarma-citation="entities:1051:1" rel="noopener">Telekomunikasi Indonesia (TLKM IJ)</a>'s recent results continued to reflect its transition into the digital ecosystem, both as an enabler, as well as increasingly as a participant, through its strategic investments through its venture capital arm as well as directly into <a href="https://www.smartkarma.com/entities/gojek" target="_blank" data-smartkarma-citation="entities:25976:1" rel="noopener">Gojek</a> for example. </p>
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<p>The company recently released results with revenues up by +3.9%, with EBITDA rising by +4.7%, and its net profit increased by +13.3% in 1H2021, as its net profit margin improved to 17.9%, an increase of +1.5% versus 1H2020.</p>
<p>Indihome saw explosive growth in 1H2021, with its revenues growing by +24.2% YoY driven by additional subscribers and a significantly higher ARPU. </p>
<p><a href="https://www.smartkarma.com/entities/telekomunikasi-indonesia" target="_blank" data-smartkarma-citation="entities:1051:1" rel="noopener">Telekomunikasi Indonesia (TLKM IJ)</a> continues to build its digital capabilities with the digital business now making up 77.3% of Telkomsel's revenue versus 72.4% last year. </p>
<p><a href="https://www.smartkarma.com/entities/telekomunikasi-indonesia" target="_blank" data-smartkarma-citation="entities:1051:1" rel="noopener"></a>The company continues to build synergy and collaborate with digital and technology companies, with additional investment in <a href="https://www.smartkarma.com/entities/gojek" target="_blank" data-smartkarma-citation="entities:25976:1" rel="noopener">Gojek</a> in May 2021. In August 2021, <a href="https://www.smartkarma.com/entities/telekomunikasi-indonesia" target="_blank" data-smartkarma-citation="entities:1051:1" rel="noopener">Telekomunikasi Indonesia (TLKM IJ)</a> signed an MOU with <a href="https://www.smartkarma.com/entities/microsoft-corp" target="_blank" data-smartkarma-citation="entities:15273:1" rel="noopener">Microsoft Corp (MSFT US)</a> to explore the cooperation in the development of intelligent infrastructure, recruit digital talent, and drive the company's digital transformation. </p>
<p><a href="https://www.smartkarma.com/entities/telekomunikasi-indonesia" target="_blank" data-smartkarma-citation="entities:1051:1" rel="noopener">Telekomunikasi Indonesia (TLKM IJ)</a> is also building its capacity in the data centre and cloud businesses, with already 26 data centre facilities with a total capacity of 43MW. The company is in the process of building a hyperscale data centre with a capacity of 25MW, to be completed by the end of 2021.</p>
<p>The company also continues to enhance its MAXStream mobile video streaming business with over 8m monthly active users (MAU), through several partnerships with OTT players such as Amazon Prime Video.</p>
<p><a href="https://www.smartkarma.com/entities/telekomunikasi-indonesia" target="_blank" data-smartkarma-citation="entities:1051:1" rel="noopener">Telekomunikasi Indonesia (TLKM IJ)</a> remains a core proxy to Indonesia's digital economy, providing high-quality data and broadband services, as its legacy voice and SMS businesses slowly become less significant. Valuations look attractive relative to historical comparisons, even without accounting for any digital re-rating, which we think will come at some point. Much more below the fold.</p>
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Telekomunikasi Indonesia (TLKM IJ)'s recent results continued to reflect its transition into the digital ecosystem, both as an enabler, as well as increasingly as a participant, through its strategic investments through its venture capital arm as well as directly into Gojek for example. 

The company recently released results with revenues up by +3.9%, with EBITDA rising by +4.7%, and its net profit increased by +13.3% in 1H2021, as its net profit margin improved to 17.9%, an increase of +1.5% versus 1H2020.
Indihome saw explosive growth in 1H2021, with its revenues growing by +24.2% YoY driven by additional subscribers and a significantly higher ARPU. 
Telekomunikasi Indonesia (TLKM IJ) continues to build its digital capabilities with the digital business now making up 77.3% of Telkomsel's revenue versus 72.4% last year. 
The company continues to build synergy and collaborate with digital and technology companies, with additional investment in Gojek in May 2021. In August 2021, Telekomunikasi Indonesia (TLKM IJ) signed an MOU with Microsoft Corp (MSFT US) to explore the cooperation in the development of intelligent infrastructure, recruit digital talent, and drive the company's digital transformation. 
Telekomunikasi Indonesia (TLKM IJ) is also building its capacity in the data centre and cloud businesses, with already 26 data centre facilities with a total capacity of 43MW. The company is in the process of building a hyperscale data centre with a capacity of 25MW, to be completed by the end of 2021.
The company also continues to enhance its MAXStream mobile video streaming business with over 8m monthly active users (MAU), through several partnerships with OTT players such as Amazon Prime Video.
Telekomunikasi Indonesia (TLKM IJ) remains a core proxy to Indonesia's digital economy, providing high-quality data and broadband services, as its legacy voice and SMS businesses slowly become less significant. Valuations look attractive relative to historical comparisons, even without accounting for any digital re-rating, which we think will come at some point. Much more below the fold.

















Telekomunikasi Indonesia (TLKM IJ) - Dancing with the Digital Economy