Kiwoom Research | 1H26 Equity Update - 07 September 2026 PT. Japfa Comfeed Indonesia Tbk. (JPFA) JPFA Earnings Recovery on Track, Broiler Prices Improve Key Takeaways: - Strong 1H26 performance, with revenue +28.7% YoY and net profit +100.2% YoY, reaching 54.4% and 55.17% of our FY26E estimates. - Broiler price recovery supports 3Q26 earnings, with prices reaching IDR 26.9k/kg as of September 4 (+5.4% MoM, +4.6% YoY), supported by seasonal demand and MBG absorption.. - FY26F outlook remains positive, with revenue and net profit estimates of IDR 65tn and IDR 4.47tn, respectively, while higher soybean meal costs remain manageable through price adjustments and operational efficiencies. Recommendation: "Buy” We maintain our “Buy” recommendation on JPFA with an unchanged target price of IDR 3,140. Our target price implies FY26F P/E of 9.1x, PBV of 1.8x, and EV/EBITDA of 7.7x. At the current share price of IDR 2,310, JPFA trades at FY26F P/E of 6.0x, PBV of 1.2x, and EV/EBITDA of 5.9x, indicating an attractive valuation relative to our target multiples. Meanwhile, downside risks to our recommendation include weaker consumer purchasing power, intensifying market competition, higher SBM prices from Berdikari, and USD appreciation, which could weigh on future profitability. Abdul Azis Setyo Wibowo Equity Research KIWOOM SEKURITAS INDONESIA