Rezension:
In a meeting literary analysis essay for the crucible Manageable financial leverage: Protelindo\'s funds flow from operations (FFO)-adjusted net leverage rose to 3.9x at end-March 2013 (2011: 3.4x) due to an acquisition investment of IDR992bn (USD104m). Fitch expects Protelindo\'s leverage to remain below 4.0x in 2013 as internally generated cash should be sufficient to fund capex. The agency also derives comfort from management\'s commitment to keep net debt/quarterly annualised EBITDA at around 3.0x-3.5x.Solid business model: Protelindo draws stable and predictable cash flows from long-term non-cancellable contracts (10-12 years), which provide for in-built annual price increases linked to the inflation rate. The company receives more than half of its total revenue annually in advance and had about USD2.7bn (IDR25.6trn) of contracted revenue through to 2027 at end-March 2013. The rating also factors in strong EBITDA margins (2012: 83%) and a favourable regulatory regime, which encourages telcos to share towers, as opposed to building new single-tenancy towers.
