INDF booked revenue growth of 2.5% YoY to IDR31.55 trillion in 1Q25. This growth was driven by a 28.67% YoY increase in agribusiness segment sales to IDR4.79 trillion in 1Q25, in line with the 15.3% YoY increase in average Crude Palm Oil (CPO) price to MYR4,675/ton in 1Q25.

Sales of the consumer-branded products segment also increased by 2.11% YoY to IDR19.97 trillion, and the distribution segment rose 1.48% YoY to IDR2 trillion in 1Q25. Meanwhile, the bogasari segment sales decreased by 4.63% YoY to IDR7.95 trillion in 1Q25.

INDF’s operating expenses decreased by 3.28% YoY to IDR3.86 trillion in 1Q25. This decrease was mainly due to a 10.21% YoY decrease in general and administrative expenses to IDR1.28 trillion in 1Q25 and an 87.22% YoY increase in other operating income to IDR1 trillion in 1Q25 resulting from the net gains on foreign exchange difference from operating and other activities.

INDF’s net profit increased by 10.5% YoY to IDR3.91 trillion in 1Q25. The increase in net profit was in line with solid operating profit in 1Q25 amid low single-digit revenue growth in 1Q25.

Therefore, we maintain our Buy rating for INDF with the same projection and fair value in the previous INDF company update at IDR9,000 per share or a potential upside of 18.42%.