Jakarta, June 29, 2024 - PT Aneka Tambang Tbk (ANTAM; IDX: ANTM; ASX: ATM), a member of PT Mineral Industri Indonesia (Persero) (MIND ID) - the State-Owned Enterprise of the Mining Industry, announced the Company’s financial performance in the first six months period of 2024 (January - June 2024, 1H24). Amid global geopolitical-economic challenges and commodity price volatility, ANTAM managed to maintain production and sales volumes at optimal levels.
ANTAM's positive financial performance was reflected in 1H24 net profit for the period of Rp1.51 trillion. The positive performance was supported by solid production and sales of main commodities and efficient cost control, thus recorded the achievement of Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of Rp2,42 trillion.
In 1H24, ANTAM recorded gross profit of Rp2.00 trillion and operating profit of Rp532 billion. Efficient management of operating expenses reflected in expense of Rp1.47 trillion in 1H24, decrease 23% compared to 1H23 of Rp1.91 trillion. Effective portfolio management and financial navigation have driven a significant increase in other income by 721% or Rp1.12 trillion, from 1H23 of Rp136.11 billion. In 1H24, ANTAM's net earning per basic share was recorded at Rp64,52 per basic share.
Regarding the Company's financial position, ANTAM recorded a consolidated asset value of Rp39.18 trillion in 1H24, an increase 8% from the asset value of Rp36.37 trillion in 1H23. ANTAM's 1H24 consolidated equity value was Rp29.69 trillion, an increase of 25% from 1H23 equity value of Rp23.68 trillion. In 1H24, ANTAM's total liabilities amounted to Rp9.49 trillion, decrease 25% from 1H23's liabilities value of Rp12.69 trillion. The increase of the position of cash and cash equivalents at the end of 1H24 amounting to Rp8.75 trillion, growing 33% from the position at the end of 1H23 period of Rp6.58 trillion, was reflected the Company's solid liquidity, effective cash management, and capacity for investment.
ANTAM's Production and Sales Performance in 1H24
ANTAM managed the operational challenges caused by permiting issues through adaptive strategies by recording 7% sales growth or Rp23.19 trillion, compared to sales in 1H23 of Rp21.66 trillion, with the dominant contribution coming from domestic net sales which reached Rp21.12 trillion or equivalent to 91% of ANTAM's total net sales in 1H24. This achievement is in line with the Company's strategy to strengthen its domestic customer to provide a more solid foundation for long-term growth and business resilience amid global geopolitical and economic challenges.
In 1H24, ANTAM strengthened its position in the domestic market through products in the Gold Segment which contributed 81% of ANTAM's total net sales with sales value of Rp18.83 trillion, 42% increase compared to the achievement in 1H23 of Rp13.30 trillion. In 1H24, ANTAM recorded a total gold metal production volume from the Company's mines of 439 kg (14,114 troy oz.). The Company's achievement in maintaining market share and the effectiveness of marketing strategies contributed to an 18% increase in sales reached 15,969 kg (513,415 troy oz.), compared to 1H23 sales of 13,508 kg (434,292 troy oz.).
ANTAM through the Precious Metals Processing and Refinery Business Unit, is the only gold refinery in Indonesia to be accredited as a "Good Delivery List Refiner" by the London Bullion Market Association (LBMA). To facilitate customers access to precious metal products, ANTAM implements an online gold sales mechanism through the official website www.logammulia.com, as well as through the marketplace platform Tokopedia (account “Butik Emas Antam Official”), Shopee (account “Butik Emas Antam Official Shop”), Blibli (account “Butik Emas Antam Official Store”) and TikTok Shop (account “@butikemasantamofficial”) in addition to offline purchase services at ANTAM's Precious Metal Boutique network spread across 12 major cities in Indonesia.
The sales contribution of the Nickel Segment (ferronickel products and nickel ore) in 1H24 with a proportion of 15% to total ANTAM net sales with sales value of Rp3.50 trillion. The Nickel Segment's sales performance was substantially affected by permit challenges that occurred early in 2024, which impacted the Company’s sales. Throughout 1H24, ANTAM's ferronickel production volume reached 10,169 ton of nickel in ferronickel (TNi), with the achievement of ferronickel product sales volume during 1H24 reached 6,778 TNi. ANTAM's consolidated nickel ore production volume reached 4.19 million wet metric ton (wmt), with the achievement of ANTAM's consolidated nickel ore sales volume in 1H24, which was recorded at 3.36 million wmt.
In 1H24, the sales of the Bauxite and Alumina Segment contributed 3% to ANTAM's total net sales with sales value reached Rp725 billion. Throughout 1H24 ANTAM recorded production volume of bauxite used as ore raw material for Chemical Grade Alumina (“CGA”) plant amounted to 543 thousand wmt. Following the permits obtained in March 2024, ANTAM prioritized its bauxite sales in 1H24 to fulfil the demands for CGA production operated by its subsidiary, PT Indonesia Chemical Alumina. The production volume of alumina products in 1H24 reached 62,736 ton of alumina. Sales volume of alumina products in 1H24 reached 88,441 ton of alumina, an increase of 23% from the f alumina sales in 1H23 of 72,107 ton of alumina.
ANTAM's Downstream Business Development
In accordance with ANTAM's commitment to focus on the completion of the Company's strategic projects in 2024, ANTAM develops various alternatives to continue the commissioning process at the Haltim Ferronickel Plant in North Maluku, to ensure the stability of the production process before commercial operations.
Regarding the EV Battery Ecosystem Development Cooperation Project in Indonesia, ANTAM with strategic partners committed to accelerate the achievement of milestones according to the Company's target in 2024.
In addition, as a commitment to downstream nickel commodities, on May 3, 2024, ANTAM's subsidiary, PT Gag Nikel (“PT GN”), signed a Conditional Share Purchase Agreement with Newton International Investment Pte Ltd. (“Newton”), subsidiary controlled by Tsingshan Group, regarding a series of transaction including purchase of certain shares owned by Newton in a subsidiary that operates in the nickel processing business. The series of transactions will become effective after the transfer Newton's share ownership in a subsidiary to PT GN on the transaction completion date. This cooperation is expected to drive the Company's sustainable growth.
In terms of downstream development of bauxite commodities, currently the Company continues to focus on the completion of the Smelter Grade Alumina Refinery (“SGAR”) plant developed jointly with PT Indonesia Asahan Aluminium with a processing capacity of 1 million tons of SGAR per year. As of June 2024, the construction progress of the SGAR plant has reached 89%.
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