Here’s a compilation of Hexindo historic annual reports. Note the one on the
far right is for the year 2008, titled “Awakening of the Giant”. Quite an
unusual title and style for a company that is known for being ultra
conservative.
Not entirely sure why the sudden change of style. Maybe Hitachi has turned more
aggressive in Indonesia, after gaineing full control of Hexindo last year
(buying out their local partner).
Whatever the reason may be, HEXA is indeed doing very well. As highlighted in a
recent report written by our research assistant Vera (please see attached):
Sales volume has bounced back from a low base in January 09 at 41 units to 138
units in Aug 2009.
Revenue in 3Q09 also increased by 45% YoY and 65% QoQ.
Valuation wise, HEXA looks very attractive at 6.5x 2010 PER, more than 50%
discount to peer UNTR (13.4x 2010 CLSA PER).
