Business Summary
Ace Hardware Indonesia sells more than 80,000 products. These products are categorized in three main segments:
• Home improvement
•
Lifestyle
• Toys
In 2010, ACE Hardware introduced the 'Toys Kingdom' retail concept to Indonesia. Its Toys Kingdom outlets are toy stores that specifically aim at children but also at the adult and adolescent markets through a diverse collection of collectible items, family games and baby products (including world-class brands). At end-2016, the company had 26 Toys Kingdom stores in 11 Indonesian cities.
ACE Hardware has been recording solid growth in recent years as Indonesia's retail business is growing amid a positive macroeconomic environment: the country has a large population with increasingly higher purchasing power. One characteristic of the Indonesian economy is that household consumption is the main driver of economic growth, accounting for approximately 55 percent of the country's total GDP growth. Important for ACE Hardware is that this growth gives rise to a booming property and real estate sector, and thus people need more home appliances.
The company’s main strategy for business expansion is the opening of new stores throughout Indonesia. ACE Hardware also provides online shopping for consumers through www.ruparupa.com (a subsidiary of Kawan Lama Sejahtera). Ruparupa allows customers to order products online and pick them up at the local ACE Hardware store.
ACE Hardware Indonesia's Financial Highlights:
2014 | 2015 | 2016 | 2017 | |
Net Sales | 4,541.5 | 4,742.5 | 4,935.9 | |
Gross Profit | 2,193.6 | 2,253.7 | 2,351.8 | |
Net Income | 556.7 | 584.9 | 706.2 | |
Operational Income | 728.5 | 768.9 | 880.6 | |
Income before Tax | 692.3 | 736.6 | 836.1 | |
Total Assets | 2,958.4 | 3,267.5 | 3,731.1 | |
Total Liabilities | 629.2 | 638.7 | 682.4 | |
Earnings per Share¹² | 32,90 | 34,50 | 41,69 | |
Cash Dividend per Share¹² | 6.0 | 16.0 |
2009 | 2010 | 2011 | 2012 | 2013 | |
Net Sales | 1,358.8 | 1,641.1 | 2,409.9 | 3,223.3 | 3,895.4 |
Gross Profit | 552.4 | 708.6 | 1,119.6 | 1,551.6 | 1,933.5 |
Net Income | 154.4 | 171.0 | 279.5 | 428.8 | 503.0 |
Operational Income | 178.2 | 208.7 | 381.6 | 562.5 | 651.2 |
Income before Tax | 206.3 | 220.0 | 370.8 | 537.3 | 623.0 |
Total Assets | 974.9 | 1,198.0 | 1,451.7 | 1,916.9 | 2,478.9 |
Total Liabilities | 120.3 | 173.4 | 219.9 | 298.9 | 563.4 |
Earnings per Share¹² | 9,18 | 10,0 | 16,29 | 24,98 | 25,00 |
Cash Dividend per Share¹² | 0.76 | 0.92 | 5.19 | 2.50 | 10.0 |
in billion IDR rupiah unless otherwise stated
¹ in IDR rupiah
² numbers adjusted to 1:10 stock split
Source: ACE Hardware, Annual Report 2016
Projection Ace Hardware Indonesia's Future Corporate Earnings:
2018 | 2019 | 2020F | 2021F | 2022F | |
Net Revenue | 7,240 | 8,143 | 7,830 | 9,284 | 10,247 |
Net Profit | 965 | 1,030 | 888 | 1,136 | 1,252 |
EBITDA | 1,168 | 1,279 | 1,083 | 1,347 | 1,478 |
P/E Ratio (x) | 27.6 | 25.9 | 30.0 | 23.5 | 21.3 |
P/BV (x) | 6.3 | 5.6 | 4.9 | 4.5 | 4.1 |
ROAA (%) | 19.8 | 18.3 | 14.1 | 16.2 | 16.3 |
in billion IDR, unless otherwise stated
Source: Danareksa Sekuritas (23.09.2020)
Kawan Lama Building 5th FloorLocation
Contact Details
Jalan Puri Kencana No. 1
Meruya Kembangan,
Jakarta 11610
Phone: +62 21 582 2222
Fax: +62 21 582 4022
Email:
www.acehardware.co.id