Surge Broadband Growth Keeps Buy Call Intact, Says Samuel Sekuritas

JAKARTA, Investortrust.id — PT Solusi Sinergi Digital Tbk or WIFI posted strong third-quarter results on Thursday, Dec 18, 2025 in Jakarta as rapid growth in its fiber-to-the-home business drove revenue sharply higher, prompting Samuel Sekuritas to reaffirm its buy recommendation on the stock. The brokerage maintained a target price of Rp 5,200, implying upside of about 50 percent from the previous close of Rp 3,470.

Revenue in the third quarter of 2025 reached Rp 501 billion, rising nearly 78 percent from the previous quarter and more than doubling from a year earlier. The surge was fueled by the rapid expansion of its low-cost FTTH service, Starlite, which added roughly 400,000 new subscribers during the period.

Samuel Sekuritas analysts Jason Sebastian and Jonathan Guyadi said the subscriber gains lifted Surge’s total customer base to about 800,000 by September 2025, up from 400,000 in the first half of the year. Home-passes expanded to 1.5 million, underscoring the pace of network rollout across key regions.

“Subscriber momentum from Starlite continues to exceed expectations and has become the main growth engine for the company,” the analysts wrote in their note.

Cumulatively, Surge booked revenue of Rp 1.0 trillion in the first nine months of 2025, up 101 percent from a year earlier. That figure represented nearly three quarters of the brokerage’s revised full-year forecast and more than 60 percent of market consensus.

Samuel Sekuritas projected the customer base would reach 1.3 million by the end of 2025, pushing annual revenue close to Rp 1.4 trillion. For 2026, revenue was forecast to jump nearly 178 percent to Rp 3.8 trillion, supported by a target of 2.5 million Starlite subscribers and the rollout of a new fixed wireless access service branded Internet Rakyat.

Profitability in the third quarter was pressured by one-off expenses, including office acquisition costs and professional fees tied to corporate actions. EBITDA margin fell to 50.3 percent from 77.4 percent in the previous quarter, while the digital advertising unit posted a negative EBITDA of Rp 75 billion.

Despite the margin compression, Surge still posted net profit of Rp 32.2 billion in the quarter, broadly in line with revised estimates and above market expectations. Analysts expect margins to recover in the fourth quarter as operational costs normalize.

Looking ahead, Samuel Sekuritas said the company’s medium-term outlook was supported by major expansion plans, including the launch of 5G fixed wireless access services after winning spectrum in Region 1, covering Java, Papua, and Maluku. The service is scheduled to begin in January 2026 with a target of up to five million subscribers.

In the FTTH segment, Surge aims to expand to five million home-passes and three million home-connects, supported by the construction of an additional 2,000 kilometers of backbone network in Sumatra starting in early 2026. The brokerage said these initiatives strengthened the investment case for WIFI amid Indonesia’s large underserved broadband market.