WIFI Sees 153% Profit Surge, Brokerage Sets 152% Upside Target
Main Takeaways
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JAKARTA, Investortrust.id — PT Solusi Sinergi Digital Tbk, or Surge (WIFI), has reported a 153.6% jump in net profit to Rp 228 billion ($14.25 million) in the first half of 2025, driven by strong growth in broadband subscriptions and digital advertising revenue.
The company’s revenue soared 66.2% year-on-year to Rp 513 billion ($32.05 million), while earnings before interest, taxes, depreciation, and amortization (EBITDA) nearly doubled to Rp 399 billion from Rp 206 billion. The surge in profitability came as the company expanded its fixed broadband service and capitalized on rising demand in low-income urban markets.
In a research note, analysts Jason Sebastian and Jonathan Guyadi at Samuel Sekuritas recommended a “buy” rating for WIFI, setting a target price of Rp 5,200—implying a potential upside of 152% from its latest closing price of Rp 2,060.
Starlite Boosts Customer Growth
The standout growth came from Surge’s telecommunications division, which saw revenue climb 183.1% year-on-year. The primary driver was the "Starlite" internet package, offering speeds of up to 200 Mbps at a monthly price of Rp 100,000 ($6.25). This product helped increase the company’s active customer base to 385,000 by midyear, with expectations to reach 420,000 by year-end.
Surge’s strategic emphasis on affordable high-speed broadband has enabled it to tap into Indonesia’s vast underserved market. Samuel Sekuritas estimates the company could reach 2 to 3 million users by the end of 2025, and up to 5.5 million by 2026, assuming continued infrastructure rollouts.
Capital Raise and Expansion Plans
The bullish outlook also reflects Surge’s strengthened financial position after raising Rp 8.5 trillion ($531 million) through a combination of rights issues, bonds, and sukuk. This was further bolstered by a Rp 1 trillion ($62.5 million) equity investment from Japan’s Nippon Telegraph and Telephone (NTT), which is now backing Surge’s expansion strategy.
These funds will support Surge’s network expansion beyond Java and the launch of Fixed Wireless Access (FWA) services to enhance last-mile connectivity across Indonesia.
Samuel Sekuritas projects the company’s revenue will triple to Rp 2.04 trillion ($127.5 million) in 2025, up from Rp 672 billion last year. Net income is forecast to jump to Rp 439 billion ($27.5 million) this year and reach Rp 1.2 trillion ($75 million) by 2026, a fivefold increase over 2024.
The firm values Surge at an estimated EV/EBITDA multiple of 7.6x for 2026—a 17% discount to the sector average—highlighting the upside potential in a market ripe for broadband expansion.