EXCL ADD TP 3500 (fr 3900)
XL Axiata
3Q18: earnings miss but bigger improvement expected in 4Q18F
9M18 EBITDA did not meet expectations, forming 65%/70% of our/Bloomberg consensus’ FY18F forecasts.
Mobile service revenue rose 4.5% qoq (-5.3% yoy), but still lags peers.
Retain Add with a 10% lower DCF-based TP of Rp3,500. XL is one of our top 3 ASEAN telco picks.
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