BSDE - Key Takeaways from Corporate Access

KBVS Update
Friday, 11 July 2025

BSDE - Key Takeaways from Corporate Access
(Reiterate BUY - TP: IDR1,200)

The following are key takeaways from our recent corporate access:

* BSDE sets a presales target of IDR10 tn for ‘25F, slightly up from IDR9.7 tn in ‘24. In 1Q25, it booked IDR2.4 tn, with IDR1.5 tn expected from JV land sales. Management sees upside potential, as several delayed JV deals from ‘24 may close this year, with three currently under negotiation.

* BSD City remains the main growth engine, followed by Grand Wisata and Kota Wisata. Ongoing infrastructure projects, including Serpong-Balaraja toll and Legok gate, support future growth.

* Revenue recognition is expected to ramp up in 2Q25 and 2H25 as handovers increase post-holiday delays in 1Q25. Notably, higher-priced units (above IDR5 bn) made up 55% of 1Q25 landed house sales, indicating strong mid-to-upper market demand.

* Though recurring income yields lower margins, BSDE targets to raise its contribution from 15% to 20%-25% to enhance stability. No formal ‘25F P&L guidance was given, but management acknowledges ‘24 as an exceptional year, aided by one-offs like the SMDM gain.

Regards,
Steven Gunawan - KBVS Research