PT Metrodata Electronics TbkFull report →1 / 14
MTDLIDXThe short version

PT Metrodata Electronics Tbk

PT Metrodata Electronics is Indonesia's largest ICT distributor and enterprise-IT solutions provider, family-controlled and net-cash, whose profits have compounded steadily even as the shares de-rated to roughly book value and under eight times earnings.

The stock reached Rp845 in early 2022; the four years since took it to Rp510, and the past six months have chopped between Rp488 and Rp605 — a de-rating, not a decline.
Net cash $65.9MP/E FY27E 6.4×
$0.029
Share price
$0.35B
Market cap
$1.6B
FY2025 revenue
7.7×
Trailing owner P/E
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IThe business
How it earns

Three-quarters of revenue, but only 40% of the profit that reaches owners

FY2025 group profit of $68.6m
The distribution engine runs through 50%-owned Synnex Metrodata Indonesia; the group consolidates all of its revenue but keeps only half its profit.
  • The engine is half-owned. Distribution supplies about 76% of revenue but only ~40% of owner earnings, because it flows through the 50%-owned Synnex Metrodata Indonesia joint venture.
  • A large, sticky leak. $19.7 million of FY2025 profit — 28.8% of the group total — went to minorities and never reached Metrodata shareholders.
  • Why per-share growth lags. In Q1 FY2026 revenue jumped 21.4% but owner profit rose just 3.4%, because the reaccelerating engine was distribution and the minority share climbed with it.
Two-speed business

A thin distributor bolted to a higher-margin, wholly-owned solutions arm

Segment economics, FY2025
SegmentRevenueGross marginOwner earnings
Distribution$1.24B6.0%~40%
Solution & Consultation$0.39B14.7%~60%
Solutions earns roughly 2.5x the gross margin on a quarter of the revenue, and it is 100% owned.
  • Volume vs value. Distribution moves hardware at ~6% gross margin; Solution & Consultation earns ~15% on IT services, software and managed contracts the group owns outright.
  • Mix is the lever. Because Solutions is wholly owned and higher-margin, owner earnings move on which engine grows — not on how fast the top line grows.
  • The catch. Solutions external revenue has sat near $0.39 billion since 2023, so the recent growth has come from the leakier distribution side.
The demand backdrop

A ~12% enterprise-IT market, briefly stalled by a public-sector freeze

Indonesia enterprise-IT growth by category
Software and services grow faster than hardware; the blended enterprise-IT market runs near 12% a year (IDC).
  • Structural demand. Indonesian enterprise IT is estimated to grow around 12% a year, with software (~18%) and services (~12%) outpacing hardware (~8%) — a mix that favours the solutions arm.
  • The 2025 stall. A government budget freeze (Inpres 1/2025) delayed public-sector and state-enterprise projects, cooling growth for part of the year.
  • The offset. A data-centre capital cycle is building behind it, anchored by a US$1.7bn hyperscaler build-out in Indonesia.
IIThe record
The statements

Steady growth on a thin, flat margin — with cash that rarely shows up

FY2021 → FY2025as reported · $
Revenue$1.6T+5%
Gross margin8.2%−0.3pp
Operating margin5.3%−0.2pp
Net income$49M+6%
EPS$0.00+6%
Free cash flow−$6M−$16M
As reported, converted to $. Consolidated statements of profit or loss, FY2021–FY2025.
  • Top line. Net revenue compounded about 9% a year over FY2022–FY2025 to $1.6 billion, driven by volume in a distribution-weighted business rather than by price.
  • Thin and flat. Gross margin holds a narrow ~8.2–8.7% band and net margin to owners sits near 3.0%; this is a scale business where volume, not pricing, is the lever.
  • The missing line. Owner EPS rose from $0.0031 to $0.0040 on an unchanged 12.28 billion shares, yet cumulative free cash flow over the four years was just $1.8 million — profits fund growth, not cash out.
Management's record

A reliable compounder, but margins haven't moved with the story

Group margins
Five years of near-flat margins, despite a narrative of mix shift toward higher-value digital solutions.
  • Delivery you can trust. Revenue and owner profit grew every year over FY2022–FY2025, compounding owner EPS about 12% annually with no dilution.
  • The gap. Group gross margin has held near 8.2–8.7% throughout, so the reported record supports the reliable distributor, not a re-rating on margin expansion.
  • What it means. The credible base case is trusting this team to compound the distributor — the mix-shift upside is the part the numbers have yet to show.
Cash conversion

Rising profit, near-zero cumulative free cash flow

Group net profit vs free cash flow
Free cash flow swung positive-to-negative year to year and summed to just $1.8m over four years.
  • Growth eats the cash. Financing an expanding book absorbs the profit: over FY2022–FY2025 trade receivables rose $37m, inventory $19m and contracts-in-progress $17m.
  • Not an accrual mirage. $90m of cash income tax was actually paid over the four years, so the earnings are real even when the cash isn't there yet.
  • Financed on the balance sheet. With operating cash absorbed by the growing book, the expansion — and lately the dividend — has leaned on short-term facilities rather than internally generated cash.
IIIThe story now
The setup

Earnings up ~60%, the share price down ~40% — the fall is in the multiple

Owner EPS
Owner EPS rose ~60% over five years while the share price fell ~40% from its $0.0592 peak; the P/E went from ~20x to 7.7x.
  • A fallen star. The stock changed hands near 20x trailing earnings at its January 2022 peak of $0.0592; at $0.029 it sits at about 7.7x FY2025 earnings, with the compression entirely in the multiple.
  • Earnings never stalled. Owner profit rose every year through the de-rating, from $35.6 million in 2021 to $48.8 million in 2025 — the market re-rated the business down while its results kept climbing.
  • A fall without a stumble. The re-rating came with no down year — owner profit rose in each of the four years the shares fell, the shape of a name the market has quietly given up on rather than one in trouble.
What the price is

Cheap on the P&L, not on the assets

7.7×
Trailing owner P/E≈12.9% earnings yield
1.33×
Price to owner bookvs ~1.0x on total equity
$1.8m
Free cash flow, FY22–250.7% of group profit
$90m
Cash tax paid, FY22–25the profits are real
Multiples struck on the $0.029 close of 27 July 2026 against FY2025 owner earnings and owner equity.
  • Cheap on the P&L, not on the assets. The de-rating that left Metrodata at 7.7x earnings looks cheap only on the income statement: its FY2022-FY2025 profits converted into just $1.8m of cumulative free cash flow (0.7% of $252m group profit), and on the $283m of equity that actually belongs to owners the stock trades at 1.33x book
  • ($0.023/share at $0.0286), not the ~1.0x the total-equity headline implies.
  • The earnings are real. About $90m of cash tax was paid over FY2022–FY2025, and the negative free-cash years are the cost of financing growth off the balance sheet, not distress — the downside rests on a 12.9% owner yield, net cash, and $308m of undrawn facilities, not an asset floor.
Who owns it

Family-controlled, with a value fund alongside and modest management pay

Shareholder register
Register as reported; the Ciputra family holds control through PT Ciputra Corpora.
  • Aligned control. The founding Ciputra family holds 36.2%, and Singapore value investor Pangolin has built a 6.4% stake — long-term holders who have sat through the drawdown, not exited it.
  • Restrained pay. Key-management compensation was $5.7m in FY2025, about 11.7% of owner profit, and directors hold little direct equity of their own.
  • Reader fit. A founder-run, net-cash business the market has left for dead is exactly the profile a value or special-situation buyer screens for.
IVThe price
The payout

A dividend more than doubled — now partly funded by the revolver

Dividend per share
The payout ratio rose from about 25% to roughly 40% of owner profit over four years.
  • Cash back to owners. The dividend rose from $0.00068 to $0.0014 a share, a ~4.7% trailing yield on a payout the board lifted toward 40% of owner earnings.
  • The tension. Because free cash sits near zero, that rising dividend has recently been bridged by short-term borrowing rather than by operating cash.
  • What to weigh. The $0.0015 dividend approved for 2026 continues the policy, but its funding is the cleanest early tell of whether cash conversion is turning.
Three paths

The downside is a flat share price plus a yield; the upside roughly doubles

3-year implied price
Owner EPS grown three years off the FY2025 base of $0.0040; price change is capital only, excluding the ~5% dividend.
  • Bear. Distribution keeps leading, the minority share rises, the multiple holds — the stock stays near $0.029 and the holder is paid the dividend to wait.
  • Base. Near-10% owner-EPS growth at today's multiple returns roughly the earnings growth plus the yield; nothing re-rates.
  • Bull. Solutions re-accelerates, mix shifts to owners and owner free cash turns positive; on a re-rating to ~11x the shares roughly double over three years.
What $0.029 assumes

At $0.029, the price pays for a slowdown Metrodata has not shown

Six-month range Rp488–Rp605, last Rp510 on 27 July 2026.
  • The arithmetic. $0.029 is 7.7x trailing and about 7.0x forward owner earnings — a single-stage model backs out only ~6–8% perpetual growth, below the ~10% consensus and the ~12% delivered.
  • The trigger is specific. A re-rating needs evidence growth reaches owners: owner EPS reaccelerating and, above all, working capital releasing so owner free cash turns positive.
  • The floor. Net cash, a 1.9x current ratio and $308m of undrawn facilities put the bankruptcy this reader fears near zero — the safety is earnings- and balance-sheet-based, not asset-based.
What to watch

A self-funding compounder priced for permanent deceleration — cheap on earnings, if growth ever reaches owners.

Read the full report →

This distills a guided study built chapter by chapter — the statements, the profit leak, cash conversion, stewardship, and what the price implies.

Compiled from the full report · 2026-07-28 · For information, not investment advice.