FROM EQUITY RESEARCH DESK

IDEA OF THE DAY

Macro Strategy: Maturity vs Yield: The Reinvestment Effect Large SBN maturities support lower yields, but sustained declines require favorable global and domestic rate conditions. SRBI maturities do not ensure liquidity, as monetary operations, issuance strategy, and pricing remain drivers of yields. Tighter liquidity is increasingly evident as credit outpaces funding and wider IndONIA spreads signal funding pressure. To see the full version of this report, please click here    To see the full version of this snapshoot, please click here  RESEARCH COMMENTARY ITMG (Buy, TP Rp34,000) – Weak 2Q26 earnings amid capped cash margin ·         ITMG posted 2Q26 core profit of US$48mn (-14% qoq, +103% yoy), bringing 1H26 core profit to US$105mn (+13% yoy), representing 28%/49% of our/consensus FY26F (below/ inline). Operating profit showed a similar trend, declining 14% qoq but rising 49% yoy in 2Q26. This brought 1H26 operating profit growth to 14% yoy, reaching 27%/53% of our/consensus FY26F estimates. ·         Despite higher coal prices in 2Q26, ASP increased by only US$2.6/t qoq, which was fully offset by a US$2.8/t increase in cash cost, leaving cash margin broadly flat qoq. Production rose 10% qoq to 5.2Mt, while sales volume edged down to 6.1Mt. In 1H26, sales volume increased 5% yoy to 12.3Mt. ·         Overall, 2Q26 earnings were weighed by a higher DMO sales mix, which limited ASP improvement and compressed the benefit from higher coal prices. We see potential upside to production and sales volumes in 2H26 following the RKAB revision, although DMO policy remains a key risk to margins. (Erindra Krisnawan & Kafi Ananta – BRIDS)     Poultry (Overweight) – 1st Week of August 2026 Price Update ·         LB prices climbed further to Rp24.1k/kg, lifting the weekly average to Rp23.6k/kg (+2% wow). ·         Local corn prices held steady at Rp6.57k/kg, with the weekly average unchanged wow at Rp6.57k/kg. ·         SBM prices continued to ease to US$308/t, bringing the MTD Aug26 average to US$311/t (–3% mom, +10% yoy). ·         LB prices continued to grind higher this week, remaining well above the estimated breakeven of ~Rp18.9k/kg. On the cost side, the continued decline in SBM provides an additional tailwind, while stable corn prices leave the broader feed cost backdrop unchanged. The combination of rising LB prices and easing SBM costs continues to support a favorable margin environment for integrators. (Victor Stefano & Wilastita Sofi – BRIDS)     MARKET NEWS

MACROECONOMY

Indonesia’s Consumer Confidence Index Fell for a Third Straight Month

⁠Indonesia’s Consumer Confidence Index fell for a third straight month to 116.8 in July from 117.8, reflecting weaker current conditions and growing pressure on middle-income households. The Current Economic Conditions Index declined to 107.9 from 109.2, while durable goods purchases fell to 104.1. Pressure was sharpest among households spending Rp3.1–4.0mn/month, whose confidence dropped 4.9pts to 112.2 and durable-goods index fell 8.5pts to 96.2. Meanwhile, debt installments rose to 10.5% of income from 10.0%, pointing to more cautious household spending. (Bank Indonesia)

 

SECTOR

Commodity Price Daily Update August 10, 2026

 

 

Indonesia Car Wholesales Grow 18.3% yoy in 7M26

Indonesia's car wholesales reached 517,742 units in 7M26, up 18.3% yoy, while retail sales grew 12.3% yoy to 511,514 units. Growth strengthened in Jul26, with wholesales surging 33.3% yoy (+4.5% mom) to 81,115 units and retail sales rising 23.1% yoy (+3.6% mom) to 77,412 units. Toyota remained the market leader in 7M26, followed by Daihatsu and Suzuki. (Kontan)

 

CORPORATE

DRMA Expands into BESS to Support EV Ecosystem

DRMA is developing Battery Energy Storage Systems (BESS) for residential, commercial, industrial, and EV charging needs, with integration to solar power. The initiative aims to diversify DRMA's electrical business while strengthening its EV ecosystem and domestic energy supply chain. (Bisnis)

 

MYOR, RANS Expand Strategic Partnership into New Entertainment Projects

MYOR and RANS are expanding their long-term partnership, which has been in place since 2019, into new intellectual property (IP) and entertainment projects following RANS' transition into a public company. The collaboration covers live entertainment, music, festivals, and family experiences, with upcoming projects including D'MASIV Asia Concert and DUDAS-1 Asia Tour.

 

TOWR Secures Rp1.5tr Loan Facility from BNGA

TOWR, through its 99.99%-owned subsidiary PT Profesional Telekomunikasi Indonesia (Protelindo), has secured a Rp1.5tr credit facility from BNGA. The facility will be used to refinance existing loans. (Investor Daily)

 

WIFI Eyes Rp930bn NPV from Telecom Infrastructure Construction

WIFI is preparing to expand into the telecommunication infrastructure construction business, with a potential NPV of Rp929.8bn. The company plans to add Indonesian Standard Industrial Classification (KBLI) 42206 to broaden its revenue sources and strengthen its position in the telecom and digital infrastructure sectors. The plan requires shareholder approval at an EGMS scheduled for 11 September 2026. (Bisnis)