PT Merdeka Copper and Gold Tbk (MDKA) earned a net profit of USD70.3 million or equivalent to IDR 1.09 trillion in the third quarter of 2022. (Exchange Rate: IDR 15,617/USD)
Quoted by The Balance Sheet Daily, where MDKA also recorded an operating profit that increased by 106.2% to USD108.4 million, from USD52.5 million on an annual basis.
It is known that MDKA's net profit increased by 279.3% compared to the third quarter of 2021 which was USD18.5 million. As for MDKA's net cash and cash equivalents as of September 30, 2022, it is USD365 million.
And MDKA also recorded revenue of USD626 million or equivalent to RP9.7 trillion.
MDKA's revenue increased by 139.7% compared to the same period in 2021 of USD261 million.
This gold mining issuer explained that the additional revenue of USD255 million from the sale of PT Merdeka Battery Materials (MBM) Nickel Pig Iron (NPI) was 15,386 tons of nickel with an average selling price of USD16,602 per ton.
This revenue is the sale of BOP after the completion of the MBM acquisition on May 17, 2022.
Then, there was an increase in seven Bukit gold mining revenue by 36% to USD220 million in 9 months of 2022 mainly driven by an increase in gold production, from 95,883 ounces in 9 months of 2021, to 107,168 ounces in 9 months of 2022 and an increase in the average realized gold price from USD1,795/oz in 9 months of 2021 to USD1,820/oz in 9 months of 2022.
Wetar copper mining revenue also increased 49% from USD95 million in 9 months of 2021 to USD142 million in 9 months of 2022.
This happened because it was driven by higher copper production from 13,388 tons in 9 months of 2021 to 15,793 tons in 9 months of 2022, with an increase in the average realized copper price of US$9,321 per ton. Meanwhile, MDKA recorded a gross profit of USD144.1 million, an increase of 95.5% compared to the same period in 2021 of USD73.7 million.
As of September 30, 2022, MDKA has an undisbursed facility of US$ 269 million, namely MDKA revoving credit facility (RCF), BSI RCF, and part of MTI's term loan portion and MTI's VAT financing facility. Recently, two MDKA subsidiaries, namely PT Merdeka Battery Materials (MBM), conducted an affiliate transaction with PT Batutua Pelita Investama (BPI) with a transaction value of USD100 million.
With the implementation of the transaction, MBM entered into an agreement with BPI with the total value of the transaction as much as USD100 million, with a value of USD34.98 per share.
For information, MBM will become one of BPI's shareholders so that MBM can provide funding support that will be used by BPI to develop and strengthen its portfolio in its business group.
This affiliate transaction is expected to have a positive impact on MDKA which in turn can create added value for the company's shareholders.
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