Regulatory Headwinds Unwind

Research evidence excerpt

Regulatory Headwinds Unwind

Update

July 31, 2026 12:00 AM GMT

Morgan Stanley Asia (Singapore) Pte.+MUnited Tractors Tbk PT | Asia Pacific Mayank Maheshwari

Equity Analyst

Regulatory Headwinds Unwind Mayank.Maheshwari@morganstanley.comRyan M Heng +65 6834-6719

Ryan.Heng@morganstanley.com +65 6834-6465

AlphaSignals Earnings Reaction Morgan Stanley India Company Private Limited+

Unchanged Modest shortfall Largely unchanged Hinal Choudhary

Impact to our thesis Financial results versus consensus Direction of next 12-month Research Associate

consensus EPS Hinal.Choudhary@morganstanley.com +91 22 6118-2044

Source: Company data, Morgan Stanley Research

Morgan Stanley Asia (Singapore) Pte.+

Vivek Rajamani

Key Takeaways EquityVivek.Rajamani@morganstanley.comAnalyst +65 6834-6740

Core profit (ex ~Rp2.1bn impairment on geothermal power plant) missed MSe on

Morgan Stanley India Company Private Limited+

weaker coal mining EBITDA; coal sales guidance raised with higher quotas in Pranitha Shetty

2H26. Research Associate

Pranitha.Shetty@morganstanley.com +91 22 6118-3022

Gold business turned around as Martabe resumed operations at ~10k oz/month;

management maintains guidance for 60-65k ounce production for 2026.

Coal mining volumes fell as production quotas were capped by the government;

higher domestic market obligations led to higher ASP discount vs index in 2Q26.

Contract mining posted in-line EBITDA with coal mined -2% YoY and mining fees United Tractors Tbk PT (UNTR.JK, UNTR IJ)

flattish QoQ. Strip ratio declined to 6.8x as miners prioritize profitability. ASEAN Energy and Materials | Indonesia

Heavy equipment remained weak, -27% YoY, below mid-cycle levels on a drop in Stock Rating Overweight

Industry View Attractive

higher-margin big machines in the sales mix.