BCAS: HEAL IJ - 9M25 Earnings Below Despite a Strong Quarter

COMPANY 
BCAS: AKRA IJ - 3Q25 – Came in below our estimate at 66.7% and the Street at 65.1%, weighed down by declining T&D margins
• In 3Q25, AKRA maintained solid top-line performance at IDR 10.9tn (–1.7% QoQ; +10.2% YoY), supported by strong trading and distribution revenue of IDR 10.1tn (+2.3% QoQ; +11.1% YoY), driven by resilient basic chemical demand offsetting flat petroleum sales. This brought 9M25 revenue to IDR 32.4tn (+13.2% YoY), achieving 79.0% of our estimate and 77.7% of consensus. 
• However, rising 3Q25 trading and distribution costs (93.9% of T&D revenue vs 93% in 2Q25), coupled with a lower-margin contribution from the industrial estate segment, dragged gross profit down to IDR 814bn (–20.6% QoQ; +5.9% YoY). This limited 9M25 gross profit growth to IDR 2.8tn (+17.6% YoY), slightly below our estimate (65.0%) and street (65.3%). 
• Consequently, net income fell to IDR 470bn in 3Q25 (–23.6% QoQ; +0.8% YoY), bringing 9M25 earnings to IDR 1.7tn (+12.3% YoY), below our forecast (66.7%) and street (65.1%). 
• Overall, weaker margins from higher T&D costs and limited contribution from the industrial segment weighed on 3Q25 performance. The recent B2C petroleum supply issue had minimal financial impact due to its low revenue share. We maintain a cautious view on 2H25 amid soft mining activity and rising geopolitical uncertainty. More clarity is expected after today’s earnings call.

BCAS: UNVR IJ – 3Q25 Earnings In-line; Strong Turnaround Momentum
• 3Q25 net profit came in at IDR1.1tn (+28.5% QoQ; +117.6% YoY), marking a sharp turnaround and bringing 9M25 earnings to IDR3.3tn (+10.8% YoY), in line with ours/cons estimates. The improved profitability was mainly driven by lower A&P spending, the absence of transformation costs, and better overall productivity. 
• 3Q25 revenue reached IDR9.4tn (+7.6% QoQ; +12.7% YoY), lifting 9M25 revenue to IDR27.6tn (+0.7% YoY), largely supported by volume recovery from a low base in 3Q24. Domestic sales grew +12.7% YoY (UPG +2.4% | UVG +10.1%), while export sales were flattish (+0.1% YoY). Despite a still-soft FMCG market, both HPC and F&R segments posted stable performance. 
• We view this quarter’s turnaround as a positive signal in line with the co’s transformation roadmap. Although market share remains below FY23 levels, the co continues to defend its position amid weak demand. We expect transformation costs of around IDR500–600bn to be booked in 4Q25F, implying a flattish 2H25 outlook. We remain cautiously optimistic on the ongoing progress.

BCAS: HEAL IJ - 9M25 Earnings Below Despite a Strong Quarter
• 3Q25 Net Profit came at IDR118bn (+31.0% QoQ; +2.5% YoY), bringing 9M25 earnings to IDR 356bn (-24.4% YoY) below ours, inline with cons at 69/71%. Profitability increased QoQ and YoY. However cumulative 9M25 still saw decline due to a weak 1H25 with increased fixed cost like medicines as well as interest expense. 
• 3Q25 revenue at IDR1.9tn (+12.0% QoQ, +12.9% YoY), bringing 9M25 revenue to IDR5.3tn (+5.2% YoY). 3Q saw better traffic with more working days, IP revenue increased by 17.9% YoY, while OP increased by 9.2% YoY. 
• 3Q25 recorded a better quarter with QoQ and YoY growth increased by double digit. However cumulative still saw double digit decline. More information on operational data to follow post earnings call on Monday.