Other stocks here
MBTO, at 0.14X assets
Current, target price 127, 96 (-25%)
September 4th, 2021
1 minute read
Sales down again
Costs a bit better
1 minute read
Sales down again
- Sales declined by another -18% in the second quarter to 41 billion rupiah which is well below our forecast 68 billion rupiah.
- This brings the average quarterly growth to a whopping -14%.
- We predict average growth of 5% in this next 12 months to bring sales to 49 billion rupiah in the second quarter of 2022.
Costs a bit better
- The cash cost ratio of net profit add non cash costs minus sales as a percent of sales was even higher at -166% in the second quarter & the loss increased to -26 billion rupiah.
- Average quarterly costs are now at -169%.
- We use lower -99% costs from Cashflow to predict an improved -6 billion rupiah profit in the second quarter of 2022.
Cashflow positive
Balance sheet, lower leverage
Value, at 0.14X assets
- Cashflow turned positive 4 billion rupiah with investment spending of -2 billion rupiah in the second quarter.
- Average quarterly Cashflow is steady at -1 billion rupiah.
- We use 0 billion rupiah investment spending which with higher sales gives a small positive 0.4 billion rupiah cashflow in the second quarter of 2022.
Balance sheet, lower leverage
- Cash was unchanged at 3 billion rupiah in the second quarter.
- Liabilities increased from 402 to 431 billion rupiah so net cash worsened from -399 to -428 billion rupiah.
- With our forecast cashflow & an no equity payout, net cash will be -426 billion rupiah in 12 months time.
Value, at 0.14X assets
- MBTO capital from the last six years improved to -120 billion rupiah in the second quarter.
- At the current market value of 136 billion rupiah, based on our forecasts, it’s at 0.14X assets with a 0% yield.
- Our sales forecast is 189.9 billion rupiah. At 0.6X , this gives a -25% higher target price of 96 rupiah.
