MIDI booked revenue growth of 5.99% YoY to IDR10.37 trillion in 6M25. This growth was driven by an increase in sales of the fresh food segment by 30.34% YoY to IDR1.74 trillion and the non-food segment by 15.92% YoY to IDR2.82 trillion in 6M25. Meanwhile, the food segment decreased by 3.51% YoY to IDR5.78 trillion in 6M25.

MIDI’s operating expenses decreased by 1.65% YoY to IDR1.91 trillion in 6M25. This decrease was mainly due to a decrease in selling and distribution expenses by 1.53% YoY to IDR1.8 trillion in 6M25. On a quarterly basis, MIDI’s operating expenses decreased significantly by 22.62% QoQ to IDR833 billion in 2Q25.

MIDI’s net profit grew 28.7% YoY to IDR391 billion in 6M25. This growth was in line with operational efficiency in 2Q25 and a decrease in income tax expenses to IDR58 billion in 6M25 (vs. IDR98 billion in 6M24). We estimate that MIDI’s net profit can potentially grow by 52% YoY to IDR725 billion in FY25F. This is based on the estimated continued operational efficiency that can drive net profit growth in FY25.

MIDI is targeting the opening of 200 new stores in FY25 (Alfamidi & Alfa Super). We assess that MIDI’s commitment to continuing its store expansion by focusing on potential outside Java could be the primary driver of MIDI’s future revenue growth. In addition, sales through online channels such as MIDI Kriing and various e-commerce platforms continue to show positive trends.

We give a Buy recommendation for MIDI by increasing the target price of MIDI shares from IDR428 to IDR530 per share. This recommendation is based on a calculation using the Discounted Cash Flow method with a Required Return of 9.83% and a Terminal Growth of 3.54%.

By PHINTRACO SEKURITAS | Research
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