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 NEW Week that Was in ASEAN@Smartkarma - Syariah Banking, XL Axiata, and Telkom's Tower Spinoff

XL Axiata (EXCL IJ) - High-Speed Digital Enabler

The Week That Was in ASEAN@Smartkarma - Indonesian Property Boon, Philippine NPLs, and Drugs

XL Axiata (EXCL IJ) - It's All About the Data

XL Axiata (EXCL IJ) - Rare and Ironic COVID-19 Beneficiary

XL Axiata (EXCL IJ) - Defensive Data Growth with a Fibre Twist

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

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Smartkarma hosted a Webinar with <a href="https://www.smartkarma.com/entities/xl-axiata-tbk-pt" target="_blank" data-smartkarma-citation="entities:15028:1" rel="noopener">XL Axiata (EXCL IJ)</a> this week, which revealed a positive long-term picture, despite some near term competitive headwinds. The company remains confident in its position as one of the key enablers of the Indonesian digital economy, with around 90% of revenues coming from data and 75% of its subscriber base on 4G. Given the share price impact of a recent pick up in competitive pricing driven by <a href="https://www.smartkarma.com/entities/telekomunikasi-indonesia" target="_blank" data-smartkarma-citation="entities:1051:1" rel="noopener">Telekomunikasi Indonesia (TLKM IJ),</a> valuations are looking appealing. 
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Competition has heated up with Telkomsel offering selective unlimited data plans in 65 cities although these are not truly unlimited but more add-ons. 
There has been no reaction from the smaller players to Telkom's move and it is still priced about the smaller players. 
<a href="https://www.smartkarma.com/entities/xl-axiata-tbk-pt" target="_blank" data-smartkarma-citation="entities:15028:1" rel="noopener">XL Axiata (EXCL IJ)</a> continues to focus on growing its presence outside Java, which is more favourable pricing wise and still only has a 13% market share leaving plenty of upside. 
The company is also focused on increasing fiberisation of its network, which helps maintain a better service and will pave the way longer term for 5G. It is also offering its own fixed line high speed broadband service. 
<a href="https://www.smartkarma.com/entities/xl-axiata-tbk-pt" target="_blank" data-smartkarma-citation="entities:15028:1" rel="noopener">XL Axiata (EXCL IJ)</a> looks attractive trading on 3.6x FY21E EV/EBITDA versus <a href="https://www.smartkarma.com/entities/telekomunikasi-indonesia" target="_blank" data-smartkarma-citation="entities:1051:1" rel="noopener">Telekomunikasi Indonesia (TLKM IJ)</a> on 5.0x FY21E EV/EBITDA and is a much purer play on data.


Smartkarma hosted a Webinar with XL Axiata (EXCL IJ) this week, which revealed a positive long-term picture, despite some near term competitive headwinds. The company remains confident in its position as one of the key enablers of the Indonesian digital economy, with around 90% of revenues coming from data and 75% of its subscriber base on 4G. Given the share price impact of a recent pick up in competitive pricing driven by Telekomunikasi Indonesia (TLKM IJ), valuations are looking appealing. 

Competition has heated up with Telkomsel offering selective unlimited data plans in 65 cities although these are not truly unlimited but more add-ons. 
There has been no reaction from the smaller players to Telkom's move and it is still priced about the smaller players. 
XL Axiata (EXCL IJ) continues to focus on growing its presence outside Java, which is more favourable pricing wise and still only has a 13% market share leaving plenty of upside. 
The company is also focused on increasing fiberisation of its network, which helps maintain a better service and will pave the way longer term for 5G. It is also offering its own fixed line high speed broadband service. 
XL Axiata (EXCL IJ) looks attractive trading on 3.6x FY21E EV/EBITDA versus Telekomunikasi Indonesia (TLKM IJ) on 5.0x FY21E EV/EBITDA and is a much purer play on data.

XL Axiata (EXCL IJ) - Enabling and Converging in Indonesia