PT Supreme Cable Manufacturing & Commerce Tbk specializes in the production of electrical cables and components, primarily serving the Indonesian market and select international clients. The company's competitive position is bolstered by its extensive manufacturing capabilities and a strong distribution network across Southeast Asia.
SCCO generates revenue through the manufacturing and sale of a wide range of electrical cables, including low-voltage and high-voltage products. The company benefits from strong pricing power due to its established brand reputation and extensive distribution channels, allowing it to maintain margins despite fluctuations in raw material costs.
Demand for electrical infrastructure in Indonesia, driven by government spending on energy projects
Fluctuations in copper prices, which impact raw material costs
Changes in regulatory policies affecting the electrical equipment sector
Expansion into new markets within Southeast Asia
Technological disruption from alternative energy solutions
Regulatory changes impacting manufacturing standards
Increased competition from low-cost manufacturers in Asia
Potential market entry by global players with established brands
Liquidity risk from high operating cash flow but low net margins
Potential pension obligations if applicable
high - SCCO's performance is closely tied to industrial activity and infrastructure spending, which are sensitive to GDP growth.
Rising interest rates could increase financing costs for SCCO's capital expenditures, potentially impacting profitability and expansion plans.
minimal - The company operates with a debt/equity ratio of 0.00, indicating low reliance on external financing.
value - Investors may be drawn to SCCO's low valuation metrics, including a price/sales ratio of 0.3x.
moderate - Historical volatility is moderate, reflecting the cyclical nature of the industrial sector.