JAKARTA — PT TIMAH Tbk (IDX: TINS) held its 2024 Public Expose (Pubex) at Le Meridien Jakarta on Friday (November 22, 2024), presenting a number of matters, including the company’s performance achievements.
As previously conveyed in the Consolidated Financial Statements for the period ended September 30, 2024, through the third quarter of 2024 TINS recorded tin ore production of 15,189 tons, up 36% compared to 11,201 tons in the same period the previous year. The increase in production in the third quarter of 2024 compared to the previous year was driven by the addition of production operation fleet and the opening of new locations, gradually improving the Company’s production operation performance. During 2024, TINS recorded tin exports of 91%, with the top 6 export destination countries comprising Singapore 16%; South Korea 15%; India 11%; Japan 10%; the United States 9%; and the Netherlands 8%.
In terms of financial performance, as of September 2024 TINS successfully booked a positive profit of Rp908.81 billion, or 169% of the predetermined target. The Company recorded revenue of Rp8.25 trillion, up 29% from before, amid a 15% increase in the average selling price of tin metal from USD27,017 per metric ton in 9M 2023 to USD31,183 per metric ton in 9M 2024. On the other hand, the Company’s cost of revenue rose 4.5% from Rp5.79 trillion in 9M 2023 to Rp6.05 trillion in 9M 2024. As a result, the Company booked an operating profit of Rp1.42 trillion with EBITDA of Rp2.08 trillion, or 194% of 9M 2023. The Company’s asset value in 9M 2024 fell 0.3% to Rp12.82 trillion from Rp12.85 trillion at the year-end 2023 asset position.
The Company’s financial performance showed good results, as seen from several important financial ratios, including a Quick Ratio of 76.0%, a Current Ratio of 249.0%, a Debt to Asset Ratio of 44.0%, and a Debt to Equity Ratio of 78.4%.
“Efforts to improve production operation performance, financial performance, and tin mining governance have had a positive impact through the increase in net profit. Going forward, of course this must continue to be improved. For the company to be more agile and efficient, refining technology is a must. We will focus on improving technology, both in mining equipment and in processing, so that we can keep surviving and be more economical,” said Ahmad Dani Virsal, President Director of PT TIMAH Tbk.
Current conditions and future prospects
The average LME Cash Settlement Price for tin metal through September 2024 was USD30,130 per ton, up 13.9% compared to USD26,456 in the same period the previous year, while Bloomberg’s tin price projection is in the range of USD28,000 to 31,000 per metric ton. Going forward, TINS will continue to undertake various efforts, including a focus on optimization and improvements to systems related to increasing resources and reserves, mining, and processing, as well as efforts to improve the recovery rate of tin ore.
With the right strategy to identify existing opportunities, PT TIMAH Tbk will continue to be able to deliver maximum contribution to shareholders and to contribute to society through the company’s positive growth.
