EXCL - Subsidiary eyes 40% growth in revenue

XL Axiata (EXCL) subsidiary, Hipernet Indodata, a managed service arm, is aiming to reach 40% growth in revenue in 2023 following greater collaboration with Link Net (LINK) coupled with expansion in security segment. However, as the company has merged its business into EXCL, management has made business convergence with the group, especially in B2B segment as its top priority. Meanwhile, the company will be focused on value added service for customers for end customers. (Source : Swa) Comment : The company's target of 40% growth could be achievable in our view, as it is expected that demand for cyber security especially for business to strongly increase amid growing concerns of data protection. The company is focused on network or infrastructure layer of IT security realm. IT security primarily comprises of network, data and application. In addition, we are also sanguine that the company to enjoy significant rise from corporate digitalization.