PT Indo Tambangraya Megah Tbk (ITMG) is aiming to increase performance in terms of coal production and sales for 2023. Director of Corporate Communications & Investor Relations Yulius Gozali said, for this year ITMG is aiming for coal sales of around 21.5 million tons to 22.2 million tons . This number has increased from the realization in 2022 where ITMG coal sales amounted to 18.9 million tons which were marketed to China around 5.9 million tons, Indonesia amounted to 4.2 million tons, Japan amounted to 2.9 million tons, the Philippines around 1.5 million. tons, India as much as 1.1 million tons, other countries in Asia Pacific, and Europe.
"ITM's financial performance, including revenue and net profit will be affected by coal commodity prices because ITM's main business is as a coal producer," Yulius told Kontan, Friday (10/3). Yulius has yet to detail his revenue and net profit targets this year. What is clear is that in order to streamline this year's work plan, ITMG has allocated capital expenditure of US$ 84.3 million. Later, these funds will be used for general maintenance (equipment overhaul), construction of supporting facilities, preparation of new mines, and expansion into the renewable energy business sector.
Previously, Main Director of ITMG Mulianto said of the sales volume target in 2023, as much as 20% of the selling price had been set, 45% referring to the coal price index. While the remaining 35% has not been sold. "ITMG will continue to explore mining assets to ensure organic growth of its coal reserves, develop new mining areas, and pay attention to opportunities that exist in other minerals," Mulianto said in an official statement, Wednesday (1/3). Meanwhile, in order to ensure sales of 35% of uncontracted coal volume, ITMG is preparing a number of strategies, including offering it to regular buyers and participating in tenders both in the domestic market and the export market. "Also offering prospects and potential buyers, especially ITMG, will optimize the premium market," said Yulius. Just so you know, ITMG recorded a net profit of US$ 1.2 billion in 2022. This number shot up 152.34% from the net profit realized in 2021 which was only US$ 475.57 million.
The increase in net profit was in line with the increase in Indo Tambangraya's revenue. This coal mining issuer posted revenue of US$ 3.63 billion, up 75.14% from revenue in 2021 which was only US$ 2.07 billion. Revenue from coal sales to third parties dominated ITMG's revenue, amounting to US$ 3.52 billion, followed by coal sales to related parties amounting to US$ 105.09 million. As for customers who have transactions of more than 10% of total consolidated net income, namely to Marubeni Corporation worth US$ 433.39 million. In terms of geographical segmentation, Southeast Asia (except Indonesia), India and Pakistan were the main destinations for ITMG sales, which reached US$ 1.02 billion, followed by sales to Japan worth US$ 962.56 billion, sales to East Asia regions such as Taiwan, China, Hong Kong and Korea valued at US$ 958.79 million, sales to the domestic market amounted to US$ 664.48 million, and sales to Europe amounted to US$ 25.39 million.
Source: https://investasi.kontan.co.id/news/indo-tambangraya-itmg-anggarkan-capex-us-843-juta-di-2023
