ACE Hardware Indonesia

PT ACE Hardware Indonesia Tbk is an Indonesian retail company engaged in the business of home improvement and lifestyle products. At the end of 2014, the company managed a network of 110 retail stores in various large cities across Indonesia. With a total floor area of more than 255,000 square meters, ACE Hardware is the largest modern network in the retail home improvement and lifestyle business in Indonesia.

The company is the master franchise/license holder of the ACE Hardware brand in Indonesia (appointed by the US-based ACE Hardware Corporation).

Profile

Industry Sector Trade, Services & Investment
Industry Sub Sector Retail Trade
Established 3 February 1995
Listed 6 November 2007
Listed Company Code ACES
Listed Shares 1,715,000,000
Dividend Yes
Major Shareholders (>5%) Kawan Lama Sejahtera (59.97%)
Key Subsidiaries Toys Games Indonesia


Stock Quote ACE Hardware Indonesia - ACES:

The graph below shows a steep decline as ACE Hardware conducted a stock split with a ratio of 1:10 in November 2012. This measure was taken to increase the company’s share liquidity. 

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Business Summary

Ace Hardware Indonesia sells over 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-2014, the company had 24 Toys Kingdom stores.

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 Indonesia's Financial Highlights:

      2008     2009     2010     2011     2012     2013     2014
Net Sales  1,222.2  1,358.8  1,641.1  2,409.9  3,223.3  3,895.4  4,541.5
Gross Profit    502.7    552.4    708.6  1,119.6  1,551.6  1,933.5  2,193.6
Net Income    130.6    154.4    171.0    279.5    428.8    503.0    548.9
Operational Income    164.5    178.2    208.7    381.6    562.5    651.2    716.3
Income before Tax    183.5    206.3    220.0    370.8    537.3    623.0    681.9
Total Assets    790.3    974.9  1,198.0  1,451.7  1,916.9  2,478.9  2,947.3
Total Liabilities    112.8    120.3    173.4    219.9    298.9    563.4    585.1
Earnings
per Share¹²
    7,65     9,18     10,0    16,29    24,98    29,70    32,44
Cash Dividend
per Share¹²
    0.35     0.76     0.92     5.19     2.50     10.0      6.0

in billion IDR rupiah unless otherwise stated
¹ in IDR rupiah
² numbers adjusted to 1:10 stock split
Source: ACE Hardware, Annual Report 2014


Future Projection ACE Hardware Indonesia's Financial Highlights:

      2012     2013     2014     2015F     2016F
Net Sales   3,223.3   3,895.4   4,541.5   5,579.0   6,911.0
Net Income     428.8     503.0     548.9     733.9     909.7
EBITDA     582.0     651.0         941.0   1,146.0
P/E (x)      28.0      25.9          17.4      14.0
P/BV (x)      7.98      6.71        4.25      3.42

in billion IDR rupiah unless otherwise stated
Source: CIMB Securities

Contact Details

Kawan Lama Building 5th Floor
Jalan Puri Kencana No. 1
Meruya Kembangan, Jakarta 11610
Phone: +62 21 582 2222
Fax: +62 21 582 4022
Email: helen_tanzil@acehardware.co.id
www.acehardware.co.id

Location