Equal
…
…
ROE = tax × interest × margin × turnover × leverage
| FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | |
|---|---|---|---|---|---|
| Tax burden | 0.80x | 0.80x | 0.77x | 0.79x | 0.80x |
| Interest burden | 1.00x | 1.00x | 1.00x | 1.00x | 1.00x |
| Operating margin | 39.3% | 35.8% | 34.6% | 37.9% | 37.6% |
| Asset turnoverdriver | 0.99x | 0.95x | 0.92x | 0.99x | 1.11x |
| Leverage (equity mult.) | 1.17x | 1.16x | 1.15x | 1.13x | 1.18x |
| = Return on Equity (consolidated) | 36.3% | 31.5% | 28.1% | 33.6% | 39.4% |
| Return on Invested Capital (ROIC) | 36.3% | 31.5% | 28.1% | 33.6% | 39.4% |
Consolidated (pre-minority-interest) basis; the headline ROE in the ratio grid is owners’ basis.
| FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | |
|---|---|---|---|---|---|
| Current Ratio(Current Assets / Current Liabilities) | 4.13x | 4.06x | 4.47x | 5.36x | 3.86x |
| Quick Ratio((Current Assets − Inventory) / Current Liabilities) | 3.29x | 3.05x | 3.59x | 4.31x | 2.95x |
| Cash Ratio(Cash / Current Liabilities) | 1.99x | 1.71x | 1.80x | 2.08x | 0.90x |
| Working Capital(Current Assets − Current Liabilities) | Rp 1.7 T | Rp 1.7 T | Rp 1.6 T | Rp 1.8 T | Rp 1.5 T |
| FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | |
|---|---|---|---|---|---|
| Debt to Equity (DER)(Total Debt / Total Equity) | 0.00x | 0.00x | 0.00x | 0.00x | 0.00x |
| Liabilities to Equity(Total Liabilities / Total Equity) | 0.17x | 0.16x | 0.15x | 0.13x | 0.18x |
| Debt to Assets(Total Debt / Total Assets) | 0.00x | 0.00x | 0.00x | 0.00x | 0.00x |
| Net Debt(Total Debt − Cash) | -Rp 1.1 T | -Rp 921 M | -Rp 821 M | -Rp 852 M | -Rp 458 M |
| Interest Coverage(EBIT / Interest Expense) | 2,139.65x | 2,154.59x | 2,273.75x | 1,136.95x | 942.08x |
| Equity Multiplier (Assets ÷ Equity) | 1.17x | 1.16x | 1.15x | 1.13x | 1.18x |
| FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | |
|---|---|---|---|---|---|
| Gross Margin(Gross Profit / Revenue) | 56.9% | 56.1% | 56.6% | 58.7% | 58.0% |
| Operating Margin(EBIT / Revenue) | 39.3% | 35.8% | 34.6% | 37.9% | 37.6% |
| Net Margin(Net Income / Revenue) | 31.4% | 28.6% | 26.7% | 29.9% | 30.1% |
| EBITDA(EBIT + D&A) | Rp 1.7 T | Rp 1.5 T | Rp 1.3 T | Rp 1.6 T | Rp 1.7 T |
| EBITDA Margin(EBITDA / Revenue) | 41.9% | 38.6% | 37.5% | 40.6% | 40.7% |
| Return on Assets (ROA)(Net Income / Total Assets) | 31.0% | 27.1% | 24.4% | 29.7% | 33.4% |
| Return on Equity (ROE)(Net Income (Owners) / Equity (Owners)) | 36.3% | 31.5% | 28.1% | 33.6% | 39.4% |
| Tax Burden (Net ÷ Pretax) | 0.80x | 0.80x | 0.77x | 0.79x | 0.80x |
| Interest Burden (Pretax ÷ EBIT) | 1.00x | 1.00x | 1.00x | 1.00x | 1.00x |
| Return on Invested Capital (ROIC) | 36.3% | 31.5% | 28.1% | 33.6% | 39.4% |
| Turnover | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
| Asset Turnover(Revenue / Total Assets) | 0.99x | 0.95x | 0.92x | 0.99x | 1.11x |
| Inventory Turnover(COGS / Inventory) | 3.80x | 3.13x | 3.79x | 3.75x | 3.67x |
| Receivables Turnover(Revenue / Receivables) | 6.06x | 5.63x | 4.52x | 4.50x | 3.94x |
| Payables Turnover(COGS / Payables) | 9.20x | 8.11x | 8.27x | 9.14x | 8.11x |
| Conversion Period | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
| Days Inventory Outstanding (DIO)(365 × Inventory / COGS) | 96.0 days | 116.7 days | 96.4 days | 97.5 days | 99.5 days |
| Days Sales Outstanding (DSO)(365 × Receivables / Revenue) | 60.3 days | 64.8 days | 80.7 days | 81.2 days | 92.5 days |
| Days Payable Outstanding (DPO)(365 × Payables / COGS) | 39.7 days | 45.0 days | 44.2 days | 39.9 days | 45.0 days |
| Cash Conversion Cycle (CCC)(DIO + DSO − DPO) | 116.6 days | 136.5 days | 132.9 days | 138.7 days | 147.1 days |
| FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | |
|---|---|---|---|---|---|
| Free Cash Flow(Operating Cash Flow − Capex) | Rp 1.1 T | Rp 929 M | Rp 1.0 T | Rp 1.1 T | Rp 1.2 T |
Price Rp 362 · market cap Rp 11 T
| Multiple | SIDO | Peer median | vs median |
|---|---|---|---|
| P/E | 8.67x | 9.09x | -5% |
| P/B | 3.42x | 1.41x | +142% |
| P/S | 2.61x | 0.93x | +182% |
| EV/EBITDA | 6.14x | 5.35x | +15% |
| EV/EBIT | 6.64x | 6.62x | +0% |
| EV/Sales | 2.50x | 0.78x | +221% |
| FCF Yield | 11.21% | 7.21% | +55% |
| Dividend Yield | 10.22% | 6.85% | +49% |
EV = mkt cap Rp 11 T + debt Rp 4.1 M − cash Rp 463 M + minority interest Rp 7 jt = Rp 10 T
At today’s price, the market is paying for 1.8%/yr FCF growth (-1.0% at 12.0% to 4.5% at 16.0% discount rates). Delivered over the last 4 years: 2.6% FCF · 0.4% revenue.
Reverse DCF: single-stage FCF, terminal growth 2.5%, discount band 12.0–16.0% (β=1; build cited in Methodology). Not a forecast.
This model projects the operating cash the whole business generates, discounts it back at the blended cost of capital, and subtracts net debt. What remains is the equity value, stated per share. Every input below comes from the company's own audited record or from cited market data, and you can adjust each one yourself.
| Assumption | Value | Basis |
|---|---|---|
| Rf (risk-free) | 7.26% | Indonesia 10Y government bond, 8 Jul 2026 |
| ERP (Rm − Rf) | 6.69% | Damodaran Indonesia, Jul 2026 (Baa2, CRP 2.46%) |
| β | 0.89 → 0.89 | Drugs (Pharmaceutical) (unlevered) relevered at own D/E 0.00 |
| Cost of equity | 13.22% | Rf + β × ERP |
| Cost of debt | 20.00% | FY2025 interest expense ÷ total debt (clamped to a 3–20% sane band) |
| Tax rate | 20.2% | median effective rate, FY2021–FY2025 (pretax ≈ EBIT − interest) |
| WACC | 13.22% | 100% E × CoE + 0% D × Kd × (1 − t) |
| Revenue growth (yr 1, fading) | 0.4% | delivered 4-yr revenue CAGR 0.4%, fading linearly to terminal |
| EBIT margin | 36.7% | mean EBIT margin, last 3 FYs |
| D&A / revenue | 2.9% | mean D&A/revenue, last 3 FYs |
| Capex / revenue | 1.3% | mean capex/revenue, last 3 FYs, for the explicit years; in the terminal year capex falls to replacement level (equal to depreciation, 2.9% of revenue) because holding a build-phase or pause-phase ratio in perpetuity misprices the company in whichever direction that phase points |
| ΔNWC / Δrevenue | 18.2% | median ΔNWC/Δrevenue across the seeded years (NWC = AR + inventory − AP) |
| Terminal growth | 2.5% | BI inflation-target midpoint (2.5% ± 1%) |
| Year | +1 | +2 | +3 | +4 | +5 | T∞ |
|---|---|---|---|---|---|---|
| Growth | 0.4% | 0.9% | 1.4% | 2.0% | 2.5% | 2.5% |
| Revenue | Rp 4.1 T | Rp 4.1 T | Rp 4.2 T | Rp 4.3 T | Rp 4.4 T | Rp 4.5 T |
| EBIT | Rp 1.5 T | Rp 1.5 T | Rp 1.5 T | Rp 1.6 T | Rp 1.6 T | Rp 1.6 T |
| NOPAT | Rp 1.2 T | Rp 1.2 T | Rp 1.2 T | Rp 1.3 T | Rp 1.3 T | Rp 1.3 T |
| + D&A | Rp 120 M | Rp 121 M | Rp 123 M | Rp 125 M | Rp 128 M | Rp 131 M |
| − Capex | Rp 55 M | Rp 55 M | Rp 56 M | Rp 57 M | Rp 59 M | Rp 131 M |
| − ΔNWC | Rp 2.7 M | Rp 6.7 M | Rp 11 M | Rp 15 M | Rp 19 M | Rp 20 M |
| FCFF | Rp 1.3 T | Rp 1.3 T | Rp 1.3 T | Rp 1.3 T | Rp 1.3 T | Rp 1.3 T |
| PV | Rp 1.1 T | Rp 989 M | Rp 884 M | Rp 793 M | Rp 716 M | Rp 6.5 T |
Check it yourself: revenue × margin = EBIT · NOPAT = EBIT × (1 − tax) · FCFF = NOPAT + D&A − Capex − ΔNWC · PV = FCFF ÷ (1+WACC)^yr · TV = FCFF(T∞) ÷ (WACC − g), discounted from year 5
EV = PV(explicit) Rp 4.5 T + PV(TV) Rp 6.5 T = Rp 11 T · TV 59% of EV · − net debt -Rp 458 M − minority Rp 7 jt
Model output: Rp 389/share (+7% vs price Rp 362)· exit-multiple check (5.4x): Rp 338
Under these assumptions the model lands close to today's price. The market and these inputs are telling broadly the same story.
| g \ WACC | 12.2% | 13.2% | 14.2% |
|---|---|---|---|
| 2.0% | 410 | 376 | 347 |
| 2.5% | 426 | 389 | 358 |
| 3.0% | 444 | 403 | 369 |
Model output under the stated assumptions. Every input above comes from the company's own audited record or from cited market data, and every one can be adjusted. This is not a price target and not advice.
Educational analysis. Multiples pair today’s price with the latest audited fiscal year (trailing-FY convention); peer figures are the covered peer sample, not the whole market. Never a price target.
| FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | |
|---|---|---|---|---|---|
| Revenue | Rp 4.0 T | Rp 3.9 T | Rp 3.6 T | Rp 3.9 T | Rp 4.1 T |
| Cost of Goods Sold | Rp 1.7 T | Rp 1.7 T | Rp 1.5 T | Rp 1.6 T | Rp 1.7 T |
| Gross Profit | Rp 2.3 T | Rp 2.2 T | Rp 2.0 T | Rp 2.3 T | Rp 2.4 T |
| Operating Income (EBIT) | Rp 1.6 T | Rp 1.4 T | Rp 1.2 T | Rp 1.5 T | Rp 1.5 T |
| Interest Expense | Rp 739 jt | Rp 642 jt | Rp 542 jt | Rp 1.3 M | Rp 1.6 M |
| Net Income | Rp 1.3 T | Rp 1.1 T | Rp 951 M | Rp 1.2 T | Rp 1.2 T |
| Net Income Attributable to Owners | Rp 1.3 T | Rp 1.1 T | Rp 951 M | Rp 1.2 T | Rp 1.2 T |
| Depreciation & Amortization | Rp 103 M | Rp 107 M | Rp 105 M | Rp 108 M | Rp 126 M |
| FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | |
|---|---|---|---|---|---|
| Cash & Equivalents | Rp 1.1 T | Rp 923 M | Rp 830 M | Rp 856 M | Rp 463 M |
| Accounts Receivable | Rp 664 M | Rp 687 M | Rp 789 M | Rp 872 M | Rp 1.0 T |
| Inventory | Rp 456 M | Rp 543 M | Rp 408 M | Rp 432 M | Rp 468 M |
| Current Assets | Rp 2.2 T | Rp 2.2 T | Rp 2.1 T | Rp 2.2 T | Rp 2.0 T |
| Total Assets | Rp 4.1 T | Rp 4.1 T | Rp 3.9 T | Rp 3.9 T | Rp 3.7 T |
| Accounts Payable | Rp 189 M | Rp 209 M | Rp 187 M | Rp 177 M | Rp 212 M |
| Current Liabilities | Rp 543 M | Rp 541 M | Rp 462 M | Rp 411 M | Rp 515 M |
| Total Liabilities | Rp 598 M | Rp 576 M | Rp 505 M | Rp 452 M | Rp 561 M |
| Total Interest-Bearing Debt | Rp 8.7 M | Rp 2.4 M | Rp 9.4 M | Rp 3.3 M | Rp 4.1 M |
| Total Equity | Rp 3.5 T | Rp 3.5 T | Rp 3.4 T | Rp 3.5 T | Rp 3.1 T |
| Equity Attributable to Owners | Rp 3.5 T | Rp 3.5 T | Rp 3.4 T | Rp 3.5 T | Rp 3.1 T |
| FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | |
|---|---|---|---|---|---|
| Operating Cash Flow | Rp 1.2 T | Rp 1.1 T | Rp 1.1 T | Rp 1.2 T | Rp 1.3 T |
| Capital Expenditure | Rp 123 M | Rp 178 M | Rp 50 M | Rp 46 M | Rp 59 M |
Sido Muncul is Indonesia’s leading maker of herbal medicine (jamu) and consumer health, led by Tolak Angin (the dominant herbal cold remedy), Kuku Bima Ener-G energy drinks and a range of supplements. It is the quality outlier in healthcare: the highest margins in the group (gross ~58%, net ~30%) and the best returns (ROE rising 28%→39%, FY22–25), all net-cash and asset-light. What sets it apart from the pharma names is that its herbal inputs are sourced locally, so it barely depends on imports or FX, and it owns an irreplaceable heritage brand. This is a high-margin, high-return defensive compounder, and the things that move it are Tolak Angin volume, the broader health-and-herbal trend, and how far export expansion runs.
SIDO buys its botanical raw materials largely inside Indonesia, unlike pharma names that import active ingredients.
EconomicsLocal sourcing keeps the biggest cost low AND removes FX exposure: this is the structural reason gross margin (~58%) beats import-reliant pharma.
It formulates and manufactures branded consumer-health products (flagship Tolak Angin, Kuku Bima) on a relatively asset-light plant base.
EconomicsLow input cost plus branded output plus a light asset base is what lifts operating margin to ~38%: the product sells for far more than the herbs cost to buy and process.
Tolak Angin is a category-defining heritage brand; SIDO prices it well above input cost and raises price over time.
EconomicsThat brand premium is the margin pool: it carries net margin to ~30%, the highest in Indonesian healthcare.
Because the model is asset-light and carries net cash, the equity base stays small relative to the profit it earns.
EconomicsThat is the lever that turns high margins into ROE of ~30–39% (a dip to 28% in FY23), the best returns in the group.
Growth needs little new capital, so SIDO pays most of its steady free cash flow (~Rp0.9–1.2tn) out as high dividends.
EconomicsThis is the signature of a mature, high-return brand: it compounds shareholder value by distributing cash rather than reinvesting heavily.
Cost structureInput-light, brand-heavy. The biggest cost, herbal raw material, is sourced domestically, so it is both cheap and FX-free unlike import-reliant pharma; manufacturing is asset-light. So most of the price a customer pays is brand margin, not cost, which is the structural source of the ~58% gross and ~38% operating margins. The main cost risk is modest: harvest and weather can nudge botanical input prices.
Cash cycleShort and self-funding. SIDO sells fast-moving consumer-health products through distributors and collects quickly, and it carries net cash, so it funds its own growth and dividends from operating cash flow (~Rp0.9–1.2tn) without borrowing. Working capital is light because the whole asset base is light.
Unit economicsPer product, the local-herb input is a small fraction of the shelf price and the rest is brand margin. Because the plants and working capital are light, almost every extra unit sold at that margin flows through to profit and then to cash, which is why a high-margin income statement becomes an even-higher ROE on a small, net-cash balance sheet.
Herbal/botanical inputs are largely domestic and abundant, unlike import-dependent pharma APIs.
Implication → A structural cost and FX advantage: the foundation of the highest margins in healthcare (gross ~58%).
Tolak Angin and Kuku Bima are category-defining brands with deep loyalty.
Implication → Strong pricing power underpins ~38% operating margins and ~30%+ ROE.
Heritage brands, herbal expertise and distribution are formidable barriers; Tolak Angin is iconic.
Implication → The franchise is highly defensible: the brand is essentially irreplaceable.
Modern pharma OTC, other jamu and home remedies substitute.
Implication → Caps the category, but the trusted brand and health trend defend it.
Competes with pharma OTC (KLBF) and other herbal/beverage players.
Implication → Brand dominance limits direct pressure; SIDO leads the herbal niche.
Pristine. Operating cash flow tracks net income closely (OCF/NI ~0.95–1.11x) with no debt, no leverage games and no one-off gains, the earnings are exactly what they look like. The only wobble is operating: FY2023 saw ROE dip to 28% on softer demand and a slightly lower margin before recovering to a record 39% by FY2025. High-quality, cash-backed profit from a fortress balance sheet.
Checked: no material one-offs found in the reviewed window.
Cash conversionOCF runs at roughly 1x net income every year (0.95–1.11x), light working capital and no debt mean profit converts almost fully to cash, which is what funds the very high dividend.
An extreme harvester: SIDO returns MORE than it earns. With a dividend payout above 100% (~112% of earnings), it is deliberately paying out its profit AND drawing down its net-cash pile, because an asset-light, high-return brand simply needs very little capital reinvested. Capex is tiny (1–5% of revenue) and the balance sheet stays net cash.
DeploymentMinimal reinvestment (capex 1–5% of revenue), zero debt, and a dividend above 100% of earnings, the surplus cash is returned rather than hoarded or deployed. The definition of a cash cow.
Returns trendROE (and ROIC, since there is no debt) runs an exceptional 28–39%, dipping to 28% in the soft FY2023 and rising to a record 39% by FY2025, the highest returns in the coverage, sustained by brand pricing on a tiny asset base.
Returns rest on a few flagship brands (Tolak Angin above all) in the culturally specific jamu/herbal category; a shift in that single franchise would matter disproportionately.
The FY2023 dip (ROE 31%→28%, lower margin) showed that even this "defensive" name softens in a weak consumer year, it is less staple-like than its margins suggest.
Paying out ~112% of earnings draws down the net-cash cushion; deliberate and sustainable for now given the fortress balance sheet and light capital needs, but not a lever that can rise further.
Pristine: cash-backed (OCF ~1x net income), net cash, no one-offs.
Curated narrative (educational interpretation), backed by the linked sources. The figures above are deterministic. Not investment advice.
A ~USD 10–12B market dominated by generics and shaped by JKN/BPJS reimbursement: Kalbe Farma leads ASEAN, but ~90% API import dependency and IDR exposure are structural cost risks.