PT Toyota Astra Financial Services Tbk “TAFS”
TAFS benefits from strong Toyota–Astra dual parentage and an integrated automotive ecosystem, supporting financing growth alongside Indonesia’s 4W market recovery. Astra’s 4W brands accounted for 49.8% of Indonesia’s market in 8M26, while TAFS’ financing grew 13.8% YoY to IDR41.59tn and net income rose 24.1% to IDR1.02tn. The Company maintains a solid financial profile, with equity increasing to IDR5.73tn in FY25, NPL at 0.55%, and NPF at 0.15%, while leverage is expected to improve with FY26E DER at 5.49x. ALM remains manageable, supported by IDR8.06tn in IDR-denominated bank facilities against a one-year liquidity gap of IDR1.28tn, with the cumulative gap turning positive from 2027. Despite these strengths, higher-for-longer rates and rising competition from Chinese EV and hybrid brands could weigh on financing demand and Astra’s market share, with receivables growth projected to moderate to 10.9% in FY27E. For secondary bonds, we prefer TAFS05CB2, TAFS04CC3, TAFS08BCN1, TAFS04BCN4, and TAFS04BCN3 on relative value.