CIMB Mayora Indah Company update - An amazing growth engine

(MYOR IJ / MYOR.JK, OUTPERFORM - Maintained, Rp1,570 - Tgt. Rp2,150, Consumer)

Mayora's growth rate has accelerated in the last two years vs. the past five years at 38-44%. Core profit growth has been gathering pace of late on the back of economies of scale, softening commodity prices, an appreciating rupiah and improving purchasing power. Pricing power is back. We were pleasantly surprised by management's recent positive response to the idea of consolidating its distribution arm, which we view as a key share-price re-rating catalyst. Our DCF-based target price has been raised to Rp2,150 from Rp1,500 following our 28-63% earnings upgrade. Maintain Outperform.