Jasa Marga, In growing phase, CLSA

JSMR remains our preferred pick in infra space. It booked a strong 11%
YoY growth in 1Q12 traffic. While we trimmed our earnings to reflect
changes in accounting booking and some increases in ex-labor costs,
margin will continue to expand on the back of operational leverage and
more automation. We raised or DCF-valuation to Rp8,950/sh reflecting
higher assumptions on tariff and traffic and the additional NusaDua
project. Our TP reflects 28% disc to this DCF-valuation.

Tower Bersama, Towering Along, CLSA

TBIG’s 2011 results were solid with Core NPAT 13% better than our
expectations. While TBIG’s inorganic deal-making grabs the headlines –
the organic operational momentum should not be underestimated. TBIG
added 2,300 new tenancies in 2011 providing a strong platform for 2012
in addition to a strong pipeline of new builds. Finalisation of the ISAT
transaction is the game-changing growth driver. Factoring the deal into
our model we upgrade our target price to 3,850 implying 40% upside.

Tower Bersama, FY11 results show a strong growth trajectory, though not quite as strong as we had forecast, Credit Suisse

● TBIG’s revenue grew 44.5% YoY for FY11 as a whole. EBITDA
rose 48.9% YoY and net profit grew 45.2% YoY. Even though this
represents a high growth rate, the result was less strong than we
had anticipated, and TBIG missed our FY11 revenue, EBITDA
and net profit forecasts by 20.9%, 22.0% and 33.4%, respectively.
● The FY11 figures flow through our model, and we have revised
down our FY12 and FY13 revenue forecasts by 7.3% and 4.9%,
respectively. Our EPS forecasts for FY12 and FY13 have been
revised down by 10.7% and 8.1%, respectively.
● On the other hand, we are still believers in the long-term growth
trajectory of TBIG. Indeed, we expect TBIG to report a doubling of
net profit into FY12 and 29.2% net profit growth into FY13.
● Our DFC-based target price has therefore only been revised down
by 3.4%, from Rp2,900 to Rp2,800. With only 1.8% upside from
current levels we believe TBIG is relatively fairly priced, and we
maintain our NEUTRAL rating relative to the JCI.

Bakrie Telecom, New business units will help revenue grow, but Bakrie Telecom still loss-making and highly geared, Credit Suisse

● In an environment of rising price points in Indonesia, Bakrie
Telecom has also raised tariffs, with the standard price for on-net
calls in doubling from Rp1/second to Rp2/second. We therefore
expect a revenue bounce (circa 6.0% QoQ) into 4Q11.
● On the other hand, 9M11 revenue figures were very weak, and so
we have revised down our FY11 revenue and EBITDA forecasts
by 14.5% and 20.1%, respectively. The projected FY11 net loss
per share expands five-fold.

Jasa Marga, Only the Begining. CLSA

Jasa Marga is in the best position for infra boom in the future with the
potential implementation of the land bill. The company just signed a MoU
to be the sole operator for Trans Sumatra network, and may also get
three new toll road projects in North-East JORR2. We also highlighted
the power of connectivity which will boost IRRs of projects and our DCFvaluation
to Rp7,900/sh. Resilient traffic, future expansion, better cost
management and strong positioning remain its key success factors

Jasa Marga, Implementing regulation could be out soon, Deutsche Bank

Implementing regulation could be out soon
The implementing regulation draft on new land law was submitted to the
State Secretary last week. It is currently under review before being submitted
to the President for approval. Overall, we believe there is a high
probability that this regulation could be out soon (even in this month).

Tower Bersama, Tower Grab, CLSA

The TBIG/ISAT tower deal is attractive with interests aligned and a major
boost for the company‟s growth trajectory. The US$406m acquisition
price (US$162k/tower) implies an EV/EBITDA multiple of 8x and a day-1
ROIC of 9% comfortably covers the cost of capital. However the material
value creation will occur on ramping up the current 1.3 tenancy ratio on
these new towers to 2.0 or above. Our modelling of the deal shows there
is a further 20% upside to our current DCF valuation. TBIG is one of the
best ways to play the lower cost capital thematic in Indonesia. BUY.