Estika Tata Tiara Tbk PT

The company’s capital structure is highly leveraged, with a debt-to-equity ratio of 4.01, indicating significant reliance on long-term debt to fund operations. Despite a market price of 188.0 and a price-to-book ratio of 3.91, the firm’s liquidity is rated as medium, and its operating cash flow is negative at -124.87 billion IDR, raising concerns about short-term financial flexibility. Profitability metrics show a return on equity of 33.13%, which is strong relative to the industry median of 18.5% for Food & Beverages firms, but return on assets of 5.47% lags behind the 9.2% median, suggesting underutilization of asset base. Gross profit of 410.94 billion IDR and operating income of 225.01 billion IDR reflect decent margins, but the firm’s net income of 129.26 billion IDR is constrained by high interest costs and capital expenditures. The company operates in two segments: Distribution and Sales and Food Processing. Revenue concentration is not disclosed, but the firm’s geographic exposure is primarily domestic, with no material international operations reported in the latest financials. Growth trajectory is mixed. Revenue for the latest period was 6.47 trillion IDR, and the outlook for the current fiscal year is a 3.2% increase, driven by expanded distribution channels and new product launches. However, the next fiscal year is projected to see a 1.8% decline due to market saturation and rising input costs. Risk factors include a negative net cash position and a high debt load, which could limit the firm’s ability to respond to market volatility. Dilution risk is currently low, with no material share issuance expected in the near term, and no adjustments to valuation metrics were applied in the custom valuations. Recent events include the launch of new frozen food products under the KIBIF and MURATO brands, as well as a strategic partnership to expand cold storage capacity. No material regulatory or legal issues were disclosed in the latest filings.