Indomobil Sukses Internasional, the country’s second-largest automotive distributor, says its profit jumped by a third in the first half, boosted by sales of Nissan sedans and other new vehicles.
Net income rose to Rp 451.71 billion ($47.8 million) in the six months ended June from Rp 339.92 billion in the same period last year, Indomobil said in a filing to the Indonesia Stock Exchange on Monday. Revenue rose 42 percent to Rp 9.82 trillion.
Still, on a quarter-on-quarter basis, net income dropped 9 percent in the second quarter from the January-March period, according to Frederick Daniel Tanggela, an analyst with Trimegah Securities. From the second quarter last year, net income fell 27 percent.
Frederick also said first-half revenue finished slightly below the consensus estimate. Revenue was 43 percent of Inomobil’s full-year target, while in the past three years the company reached 45 percent of its sales in the January-June period, he said.
The lower-than-expected earnings were “mostly stemming from higher-than-projected operation expenses and lower earnings from associates,” Frederick said in a note to clients on Monday.
Shares of Indomobil fell 7.6 percent to Rp 6,100 on Monday.
Nissan is Indomobil’s biggest brand. Nissan’s market share in the first half stood at 6.4 percent of the domestic car market, according to data from the Association of Indonesian Automotive Manufacturers (Gaikindo). Indomobil also distributes Volkswagen, Audi and Volvo brands.
“We believe that [analysts’ consensus] will maintain their full-year sales estimate, given that Nissan’s first-half sales of 34,229 units jumped 57 percent year-on-year,” Frederick said in his notes to clients on Monday.
By comparison, during the first semester car sales at Astra International, the country’s biggest automotive distributor, rose 32 percent to 535,000 units for brands like Toyota and Daihatsu, among others.
Net income from Astra’s automotive division were Rp 4.9 trillion, or more than half its total net income of Rp 9.7 trillion from January to June.