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PT ADARO MINERALS INDONESIA TBK (IDX: ADMR) FY24 EARNINGS
NEWS RELEASE
Jakarta, March 03, 2025 – PT Adaro Minerals Indonesia Tbk (IDX: ADMR) today submitted its
consolidated financial statements for the year ending December 31, 2024 to OJK/IDX.
Mr. Christian Ariano Rachmat, President Director and Chief Executive Officer of PT Adaro
Minerals Indonesia Tbk said:
"We delivered on our guidance and continue to achieve consistent volume growth amidst
fluctuating prices. Despite a decline in ASP, our volume gains have helped offset the
impact on profitability. We continue executing on our strategic investments to support our
future development and drive long-term growth. Our focus on expansion is supported by
solid profitability and a healthy cash balance."


Highlights
•   Production volume of metallurgical coal in 2024 reached 6.63 million tonnes (Mt) with sales
    reaching 5.62 Mt, a 30% and 26% increase from 2023, respectively.
•   Overburden removal volume increased 26% to 23.55 million bank cubic meter (Mbcm), with
    lower strip ratio at 3.55x compared to 3.66x in 2023.
•   In FY24, we generated operational EBITDA of $580.02 million and core earnings of $445.38
    million, a 1% and 6% increase compared to FY23, respectively, driven by higher sales volume.
•   Capital expenditure in FY24 reached $405.68 million, more than triple the $134.73 million
    spent in FY23, driven by the ongoing construction of PT Kalimantan Aluminium Industry’s
    (KAI) aluminium smelter and infrastructure projects at PT Maruwai Coal (MC).
•   KAI continues to advance the construction of its aluminium smelter, with a focus on achieving
    COD by the end of 2025. Construction of the raw material berthing area at the jetty has been
    completed, while construction of the foundation and steel structure for the anode and
    electrolysis plant is still ongoing, along with the installation of the conveyor belt structure and
    office building at the jetty area.


ADMR’s FY25 Guidance
    •   Sales volume: 5.6 million tonnes – 6.1 million tonnes
    •   Strip ratio: 3.3x
    •   Capital expenditure: $300 million – $325 million. This capital expenditure target includes
        our equity investments in KAI’s aluminium smelter.




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                                             Financial Performance
      (US$ Thousand, except otherwise stated)                          FY24                                    FY23         % Change
       Revenue                                                     1,154,183                               1,085,962              6%
       Cost of Revenue                                             (576,393)                               (502,750)             15%
       Gross Profit                                                  577,790                                 583,212             -1%
       Operating Income                                              540,342                                 574,631             -6%
       Core Earnings    1                                            445,379                                 421,015              6%
       Operational EBITDA2                                           580,023                                 573,502              1%
       Total Assets                                                2,073,595                               1,695,420             22%
       Total Liabilities                                             571,331                                 657,370            -13%
       Total Equity                                                1,502,264                               1,038,049             45%
       Interest Bearing Debt                                         295,769                                 420,734            -30%
       Cash                                                          612,605                                 586,423              4%
       Net Debt (Cash)    3                                        (316,837)                               (165,688)             91%
       Capital Expenditure4                                          405,683                                 134,016            203%
       Free Cash Flow     5                                         155,798                                  194,576            -20%
       Basic Earnings Per Share (EPS) in US$                          0.0107                                  0.0108             -1%



                                                          Financial Ratios
                                                                                          FY24                   FY23             Change
    Gross Profit Margin (%)                                                              50.1%                 53.7%                 -4%
    Operating Margin (%)                                                                 46.8%                 52.9%                 -6%
    Operational EBITDA Margin (%)                                                        50.3%                 52.8%                 -3%
    Net Debt (Cash) to Equity (x)                                                        (0.21)                 (0.16)              32%
    Net Debt (Cash) to last 12 months Operational EBITDA (x)                             (0.55)                 (0.29)              89%
    Cash from Operations to Capex (x)                                                      1.29                   2.21              -42%


1
  Profit for the period, excluding non-operational items net of tax.
2
  EBITDA excluding non-operational items.
3
  After deduction of cash and cash equivalents.
4
  Capex spending defined as: purchase of fixed assets + payment for addition of exploration and evaluation assets + payment for
intangible assets + payment for mining property
5
  Operational EBITDA – taxes – change in net working capital – capital expenditure




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                                         Operating Segment

                                       Revenue                               Profit for the period

 (US$ Thousand)                FY24           FY23    % Change           FY24          FY23          % Change
 Mining                   1,153,338      1,084,004          6%        445,826       449,787               -1%
 Metal processing                  -              -           -        (6,801)       (1,397)             387%
 Other services                2,771          3,881       -29%         (4,255)       (7,547)             -44%
 Elimination                 (1,926)        (1,923)         0%               -             -                 -
 ADMR                     1,154,183      1,085,962          6%        434,769       440,843               -1%




       FINANCIAL PERFORMANCE ANALYSIS FOR THE FISCAL YEAR 2024 (FY24)


Revenue, Average Selling Price and Production
ADMR generated $1,154 million in revenue in FY24, a 6% increase year-over-year (y-o-y).
Despite a 16% lower ASP because of lower metallurgical coal prices, a 26% growth in sales
volume offset the impact on revenue. ADMR’s Enviromet product was sold to diversified regions
of blue-chip customers in Japan, China, India, Indonesia, and South Korea.
Production volume in FY24 increased 30% to 6.63 Mt, supported by heavy equipment availability
and solid contractor performance. Overburden removal of 23.55 Mbcm was 26% higher than in
FY23, resulting in a strip ratio of 3.55x for FY24.


Cost of Revenue
Cost of revenue in FY24 increased 15% to $576.39 million driven by higher volume. Royalties to
the Government declined 7% to $146.99 million in line with the decline in metallurgical coal prices.
The higher volume led to a 26% increase in mining costs to $188.06 million, a 24% increase in
processing costs to $61.01 million, and a 16% increase in freight and handling costs to $135.11
million. Fuel consumption in FY24 increased 24% from higher operational activities, while fuel
cost per litre was lower by 5% y-o-y. Coal cash cost per tonne in FY24 decreased by 2% year-
on-year.


Operating Expenses
In FY24, operating expenses increased by 335% compared to FY23 to $38.48 million. Employee
costs increased 15% to $10.10 million, in line with our business expansion plans.




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Operational EBITDA and Core Earnings
FY24 operational EBITDA of $580.02 million was 1% higher y-o-y. We maintain a strong
operational EBITDA margin of 50% for the period. Core earnings in FY24 increased 6% to
$445.38 million.


Total Assets
Total assets increased 22% to $2,074 million at the end of FY24, consisting of $842.80 million in
current assets and $1.23 billion in non-current assets. Meanwhile, cash balance increased 4% to
$612.61 million. Cash accounted for 30% of total assets.
 Fixed Assets
 Fixed assets at the end of FY24 increased by 64% to $899.70 million as we are advancing the
 investments in KAI’s aluminium smelter and infrastructure projects at MC. Fixed assets
 accounted for 43% of total assets.
 Mining Properties
 Mining properties at the end of FY24 declined by 5% y-o-y to $165.22 million in-line with
 production.


Total Liabilities
At the end of FY24, total liabilities declined by 13% to $571.33 million. Current liabilities increased
12% to $235.29 million, driven by higher trade payable and accrued expenses related to expenses
for suppliers and contractors.
Non-current liabilities declined by 25% to $336.04 million at the end of FY24, following the full
repayment of loans from related parties, with a total payment of $323.77 million made during the
year. Meanwhile, bank loans, net of loan financing costs, totaled $295.77 million, derived from
the drawdown of loan facility for KAI’s aluminium smelter.


Equity
At the end of FY24, equity increased 45% to $1,502 million driven by the 51% increase in retained
earnings to $1,290 million.


Cash Flows from Operating Activities
In FY24 our cash flows from operating activities increased by 77% to $524.15 million, mainly
driven by higher receipts from customers.




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Cash Flows from Investing Activities
We recorded net cash flows used in investing activities of $403.30 million in FY24, driven by a
significant increase in purchases of fixed assets of $399.77 million in FY24 related to MC’s
infrastructure projects and KAI’s aluminium smelter.
 Capital Expenditure and Free Cash Flow
 Capital expenditure in FY24 was $405.68 million, due to the construction of KAI’s aluminium
 smelter and MC’s infrastructure projects. Free cash flow in FY24 declined 20% to $155.80
 million in-line with the higher capex.
 Once completed, the MC’s infrastructure upgrade projects are expected to support increased
 volume, and will enable us to reliably deliver our volume commitments to customers. The first
 phase of KAI’s aluminium smelter is expected to reach its commercial operations date (COD)
 by the end of 2025 – which will diversify our revenue streams.


Cash Flows from Financing Activities
Net cash flows used in financing activities in FY24 increased 12% to $92.28 million, mainly due
to the repayment of $323.77 million in loans to related parties, along with the drawdown of $200
million in bank loans and proceeds from share subscription by non-controlling interest of $31
million.




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PT ADARO MINERALS INDONESIA TBK (IDX: ADMR) FY24 ACTIVITIES
REPORT
HIGHLIGHTS
•     ADMR’s metallurgical coal production volume in FY24 reached 6.63 million tonnes (Mt), with
      a sales volume of 5.62 Mt, a 30% and 26% increase from FY23, respectively.
•     Overburden removal volume in FY24 increased 26% to 23.55 million bank cubic meter
      (Mbcm), resulting in a strip ratio of 3.55x, 3% lower compared to 3.66x in FY23.
•     Our strategic investments in infrastructure to support higher metallurgical coal volume target
      continue to make good progress. In FY24, we completed two projects, consisting of a new
      employee camp in Tuhup, and additional fuel storage tanks in Tuhup and Lampunut.
      Furthermore, we are proceeding with our hauling road upgrade project, the construction of a
      new camp in Lampunut, and the construction of second barge loading conveyor.
•     We continue to make construction progress at our mineral processing business through PT
      Kalimantan Aluminium Industry (KAI) and completed the work for raw material berth in jetty
      area in FY24.


OPERATIONAL PERFORMANCE
PT MARUWAI COAL (MC) AND PT LAHAI COAL (LC)
      •   Metallurgical coal production volume in FY24 reached 6.63 Mt, a 30% increase over FY23.
          Sales volume in FY24 reached 5.62 Mt, 26% higher than in FY23.
      •   Overburden removal volume in FY24 reached 23.55 Mbcm, 26% higher y-o-y, with a lower
          strip ratio of 3.55x in FY24, compared to 3.66x in FY23.
                                                                           4Q24                        FY24
                                                        4Q24 vs.
                           Units    4Q24     3Q24                  4Q23      vs.    FY24     FY23       vs.
                                                         3Q24
                                                                           4Q23                        FY23
    Overburden Removal     Mbcm     6.46     6.72         -4%      4.89     32%     23.55   18.71       26%
      Maruwai              Mbcm     5.70     5.58          2%      3.02     89%     19.92   15.22       31%
      Lahai                Mbcm     0.76     1.14        -34%      1.87    -60%     3.63    3.49         4%
    Production Volume       Mt      1.80     1.85         -3%      1.13     59%     6.63    5.11        30%
      Maruwai               Mt      1.72     1.73          0%      0.93     85%     6.24    4.83        29%
      Lahai                 Mt      0.08     0.12        -33%      0.20    -60%     0.39    0.28        39%
    Sales Volume            Mt      1.83     1.20         52%      1.45     26%     5.62    4.46        26%
      Maruwai               Mt      1.65     1.13         46%      1.25     32%     5.20    4.26        22%
      Lahai                 Mt      0.18     0.07        157%      0.20    -10%     0.42    0.20       110%



      •   The domestic market accounted for 32% of FY24’s total sales volume of metallurgical
          coal, driven by solid demand from domestic coke plants. Japan led our export market,
          accounting for 29% of sales volume, followed by China and South Korea at 16% and 14%,
          respectively. Below graph shows our sales destination in FY24.


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                          Malaysia
                       India 2%
                        7%
         South Korea                  Indonesia
            14%                          32%



          China
           16%


                              Japan
                               29%




   •   Our investments in infrastructure projects to support higher metallurgical coal volume
       target continue to progress. In FY24, we completed the new 400 beds camp in Tuhup,
       and the additional fuel storage tanks with a capacity of 2x1,500 KL and 4x2,500 KL in
       Lampunut dan Tuhup, respectively. We are in the final construction phase for our second
       barge loading conveyor, designed with a loading capacity of 3,000 tph, which will speed
       up our barge loading time.

   •   The first stage of the hauling road upgrade, which spans 39 km, is ongoing with foundation
       layers (LPA and LPB) spread and chipseal applied in several road parts to level and
       reinforce the road’s contour. The construction of the new 500 beds camp in Lampunut
       also remains on track. These projects will support us in achieving our productivity goals
       and higher volume targets of metallurgical coal.


PT KALIMANTAN ALUMINIUM INDUSTRY (KAI)

Our commitment in pursuing sustainable growth and supporting the green economy is reflected
in the development of our downstream mineral processing activities through KAI. In 4Q24, the
work for the aluminium smelter area focused on the construction of foundation and steel structure
for anode and electrolysis plant. On the jetty area, KAI focused on installing the conveyor belt
structure and office building, while the construction of the raw material berthing area has been
completed. Furthermore, the building foundation and upper structure work for the permanent
dormitory are still in progress.

HEALTH, SAFETY, AND ENVIRONMENT (HSE)
In 2024, we had a total of six lost time injuries (LTIs) including one fatal incident. We had
thoroughly investigated all the incidents and we will do our best to prevent safety-related incidents.
The lost time injury frequency rate (LTIFR) and severity rate (SR) in FY24 were 0.34 and 0.47,

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respectively, with a total of 16,938,123 man-hours worked at both MC and LC. In addition, KAI
recorded two LTIs, leading to LTIFR of 0.06 and SR of 0.71, with a total of 32,342,851 man-hours
worked.


CORPORATE EVENTS AND AWARDS
    •    In December 2024, PT Maruwai Coal won gold and platinum awards in Temu Karya Mutu
         dan Produktivitas Nasional (TKMPN) XXVIII 2024 event, held in Bali, Indonesia. This
         achievement shows our commitment in implementing sustainable innovation and
         productivity in the operational activities.
    •    In November 2024, PT Adaro Minerals Indonesia Tbk participated in French Mining &
         Critical Metals and Minerals Tour 2024 organized by Business France Indonesia featuring
         26 organizations aiming to build strategic connections with leaders in Indonesia’s mining
         sector.
    •    In November 2024, PT Maruwai Coal received two gold awards in the 49th International
         Convention on Quality Control Circles (ICQCC) 2024, held in Colombo, Srilanka. This
         event is an international innovation convention which recognizes the implementation of
         continuous improvement program in corporations.
    •    In November 2024, PT Lahai Coal was awarded by the Ministry of Energy and Mineral
         Resources (ESDM) for the Tambang Mensejahterakan Masyarakat (TAMASYA) award for
         Small-Scaled Company category.



                                                            ###
These materials have been prepared by PT Adaro Minerals Indonesia Tbk (the “Company”) and have not been
independently verified. No representation or warranty, expressed or implied, is made and no reliance should be placed
on the accuracy, fairness or completeness of the information presented or contained in these materials. The Company
or any of its affiliates, advisers or representatives accepts no liability whatsoever for any loss howsoever arising from
any information presented or contained in these materials. The information presented or contained in these materials
is subject to change without notice and its accuracy is not guaranteed.
These materials contain statements that constitute forward-looking statements. These statements include descriptions
regarding the intent, belief or current expectations of the Company or its officers with respect to the consolidated results
of operations and financial condition of the Company. These statements can be recognized by the use of words such
as “expects,” “plan,” “will,” “estimates,” “projects,” “intends,” or words of similar meaning. Such forward-looking
statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ
from those in the forward-looking statements as a result of various factors and assumptions. The Company has no
obligation and does not undertake to revise forward-looking statements to reflect future events or circumstances.
These materials are for information purposes only and do not constitute or form part of an offer, solicitation or invitation
of any offer to buy or subscribe for any securities of the Company, in any jurisdiction, nor should it or any part of it form
the basis of, or be relied upon in any connection with, any contract, commitment or investment decision whatsoever.
Any decision to purchase or subscribe for any securities of the Company should be made after seeking appropriate
professional advice.



For further information please contact:

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Investors

Danuta Komar | danuta.komar@alamtri.com

Media

Febriati Nadira | Febriati.Nadira@alamtri.com




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linked org ADARO MINERALS INDONESIA TBK p.1 ×17
unresolved person Christian Ariano Rachmat p.1 ×2
unresolved org PT Maruwai Coal p.1 ×4
unresolved org PT LAHAI COAL p.6 ×2
unresolved org Ministry of Energy and Mineral Resources p.8

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