ANTAM Posts Strong Financial Results Amid Global Challenges

Aneka Tambang, part of Indonesia's MIND ID, has reported solid financial performance for the first half of 2024. Despite facing global economic volatility and commodity price fluctuations, the company maintained robust production and sales levels.

For the period from January to June 2024, ANTAM achieved a net profit of Rp1.51 trillion (approximately $18.12 million). This performance was underpinned by stable production, efficient sales of key commodities, and stringent cost control measures, which contributed to an EBITDA of Rp2.42 trillion (approximately $29.04 million). The company's gross profit stood at Rp2.00 trillion (approximately $24.00 million), while operating profit reached Rp532 billion (approximately $6.38 million). Operating expenses were reduced by 23% year-on-year to Rp1.47 trillion (approximately $17.64 million), and effective financial management saw other income surge by 721% to Rp1.12 trillion (approximately $13.44 million).

ANTAM's consolidated assets increased by 8% to Rp39.18 trillion (approximately $470.16 million), and equity grew by 25% to Rp29.69 trillion (approximately $356.28 million). The company's total liabilities decreased by 25% to Rp9.49 trillion (approximately $113.88 million). Additionally, cash and cash equivalents rose by 33% to Rp8.75 trillion (approximately $105.00 million), indicating strong liquidity and effective cash management.

Production and Sales Highlights

In the first half of 2024, ANTAM's sales grew by 7% to Rp23.19 trillion (approximately $278.28 million), with domestic sales making up 91% of the total. The gold segment was a major contributor, accounting for 81% of total net sales, with sales amounting to Rp18.83 trillion (approximately $225.96 million), a 42% increase from the previous year. Gold production from the company's mines totaled 439 kg, while gold sales reached 15,969 kg.

The nickel segment, including ferronickel and nickel ore, contributed 15% to total net sales, amounting to Rp3.50 trillion (approximately $42.00 million). Ferronickel production was 10,169 tons, with sales of 6,778 tons. Nickel ore production was 4.19 million wet metric tons, with sales of 3.36 million wet metric tons.

The bauxite and alumina segment contributed 3% to total net sales, with sales of Rp725 billion (approximately $8.70 million). Bauxite production used for Chemical Grade Alumina (CGA) totaled 543 thousand wet metric tons. Alumina production was 62,736 tons, with sales of 88,441 tons, a 23% increase from the previous year.

Downstream Developments

ANTAM is focused on completing strategic projects, including the Haltim Ferronickel Plant in North Maluku, to ensure stable production before commercial operations. The company is also progressing on the development of an EV battery ecosystem in Indonesia.

In May 2024, ANTAM's subsidiary PT Gag Nikel signed a Conditional Share Purchase Agreement with Newton International Investment, a subsidiary of Tsingshan Group. This agreement involves a series of transactions aimed at driving sustainable growth for the company.

For the bauxite sector, ANTAM is working on the Smelter Grade Alumina Refinery (SGAR) plant, developed jointly with PT Indonesia Asahan Aluminium, with a processing capacity of 1 million tons per year. As of June 2024, the construction progress of the SGAR plant reached 89%.