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New Street: EM Tower Trends Decent quarter, continue to prefer Indonesia; CY1Q22 review

Tower companies fared decently on the topline but saw pressure on their EBITDA margin in Q1. Indus Towers had a stable quarter; Indonesian towers’ growth continued to supported by acquisitions while China Tower rebounded from its weaker Q4 (due to one-off discounts).
Underlyings
China Tower Corp Ltd

PT Sarana Menara Nusantara Tbk

Sarana Menara Nusantara Tbk PT. PT Sarana Menara Nusantara Tbk is an Indonesia-based company engaged in telecommunications infrastructure industry. The Company owns and operates tower sites and repeater sites for lease to wireless communications companies in Indonesia through its subsidiary, PT Profesional Telekomunikasi Indonesia (Protelindo). As of December 31, 2011, Protelindo owned and operated 6,363 tower sites (6,325 tower sites and 38 indoor repeater sites) located all over Indonesia, with its concentration of tower sites in Java, Sumatra, Sulawesi and Kalimantan.

PT Tower Bersama Infrastructure Tbk

PT Tower Bersama Infrastructure is engaged in leasing space for antennas and other equipment for wireless signal transmission at tower sites and shelter-only sites under long-term lease agreements with telecommunication operators. Co. also provides telecommunication operators with access to its Distributed Antennae System (DAS) networks in shopping malls and office buildings in major urban areas. As of Dec 31 2014, Co. had 11,820 telecommunication sites, which comprised of 10,825 telecommunication towers, 941 shelter-only sites, and 54 DAS networks.

Provider
New Street Research
New Street Research

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Analysts
Chris Hoare

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