JAKARTA – The performance of the infrastructure and construction industry has shown mixed results, at least through the first nine months (9M) of 2024.

Construction companies such as PT Adhi Karya (Persero) Tbk (ADHI) reported a net profit of IDR 69.3 billion, a significant increase of 194.6% year-on-year (yoy), despite a 20% yoy decline in revenue, which stood at IDR 9.1 trillion during the same period.

Meanwhile, infrastructure firm PT Jasa Marga (Persero) Tbk (JSMR) experienced a 44.75% yoy drop in net profit to IDR 3.3 trillion. This decline contrasts with its revenue performance, which grew 25.93% yoy to IDR 13.86 trillion.

PT Pembangunan Perumahan (Persero Tbk (PTPP) posted an 11.4% yoy increase in net profit, reaching IDR 267.2 billion, supported by a revenue rise of 14.5% yoy to IDR 14 trillion.

In the private sector, construction company PT Total Bangun Persada Tbk (TOTL) saw its net profit soar by 64.5% yoy to IDR 180.3 billion, while its revenue grew 6.8% yoy to IDR 2.2 trillion.

Given this varied performance, PT Ina Sekuritas Indonesia has assessed that the stocks of these four infrastructure companies are still worth accumulating. In its research report, Ina Sekuritas gave a BUY recommendation for all four stocks.

The target price for ADHI’s stock is set at IDR 295, while the target for JSMR is IDR 5,850, PTPP at IDR 465, and TOTL at IDR 9,000. (KR/ZH)

Read full report here.