Jakarta, November 1, 2013 - PT ANTAM (Persero) Tbk (ASX - ATM; IDX – ANTM; ANTAM) announces its unaudited consolidated financial statements for the first nine months of 2013. ANTAM's 9M13 financial performance recorded a 44% increase in gold sales over the same period in 2012 (9M12) to 7.6 tons inline with robust market demand. ANTAM's total consolidated revenue in 9M13 reached Rp8.807 trillion, a 24% increase over 9M12 sales. Gold was the largest contributor to total sales with a contribution of Rp3.849 trillion or 44% of ANTAM's total sales. ANTAM's income for the year attributable to owners of the parent reached Rp347 billion with Earnings per Share (EPS) of Rp36.5 for the first nine months of 2013.
ANTAM's President Director Tato Miraza said
"To strengthen our financial performance amidst commodity prices volatility, we intend to increase our gold sales, whilst at the same time maintaining the sales performance of our nickel ore and ferronickel. Efficiency continues to be our main objective, resulting in Rp73.5 billion in savings from a target of Rp98.9 billion in 2013. Having said that, we also remain prudent in the capital expenditure of our development projects to maintain a solid balance sheet."
In support of ANTAM's financial performance during this bearish commodity market, one of the key strategies undertaken by management is to expand the gold retail space through the opening of new retail Gold Boutiques, commencing with the official launch at the Head Office of ANTAM in Jakarta. The opening marks the company’s expansion strategy to widen the retail market in Indonesia, commencing with Jakarta. Throughout the remainder of 2013, ANTAM, through its Precious Metals Processing and Refinery Business Unit, will open an additional 4 retail outlets located in Jakarta, Bandung, Surabaya and Palembang. The 5 Gold Boutiques will increase the sales coverage of ANTAM's LM gold which is currently serviced in Pulogadung-Jakarta, Surabaya and Makassar. In 2014, ANTAM plans to expand a further 5 to 10 additional LM Gold Boutiques throughout Indonesia, subject to market expectations.
ANTAM also plans to increase its coal trading activity from its subsidiary to the Southeast Nickel Mining Business Unit at Pomalaa. The plan will ensure the consistent supply, price competitiveness and high quality coal supply for ANTAM's ferronickel plant.
ANTAM's financial condition remains solid. ANTAM's cash and cash equivalents amounted to Rp3.5 trillion as of September 30, 2013 with interest bearing debt to equity ratio of 51.9%.
Inline with the current bearish sentiment in commodity prices, ANTAM remains prudent in terms of its capital expenditure for its development projects to ensure its balance sheet remains solid. On October 28, 2013, ANTAM commenced the commissioning of its Tayan Chemical Grade Alumina plant. Meanwhile, as of the end of September 2013, the EPC progress of the Pomalaa Ferronickel Plant Expansion Project reached 24.5%.
