PT Delta Dunia Makmur Tbk (DOID) hopes that the various mining acquisition efforts undertaken by the company will positively impact its performance next year.
Referring to the financial report for the first half of 2024, this coal mining contractor faced weakening financial performance. As of June 2024, DOID recorded a decline in revenue from USD 857.07 million to USD 854.98 million.
DOID also reported a loss of USD 26.58 million, or approximately IDR 432.03 billion, compared to a profit of USD 4.92 million in the same period of 2023.
Referring to separate statements, the Group reported a net loss due to a decrease in operating profit and a foreign exchange loss of USD 12 million from the weakening of IDR and AUD, without impacting cash flow. The foreign exchange loss is an unrealized loss resulting from accounting treatment.
Despite the declining financial performance, DOID’s Director, Dian Sofia Andyasuri, remains optimistic that the company's mining acquisitions will provide a positive outlook for its future business.
"We are optimistic, we have already made 3 acquisitions that are progressing well. Of course, once the acquisitions are completed, and we are very disciplined in this process, all of this will reflect in EBITDA from producing acquisitions. This will contribute to us next year," Dian said during a Public Expose in Jakarta on Tuesday (10/12/2024).
Further, DOID’s Director, Iwan Fuad Salim, mentioned that the results of the acquisition of the U.S.-based anthracite coal mine Atlantic Carbon Group, Inc. (ACG) would be visible in the third quarter of 2024.
"The results will be included in the financial statements that we will publish for Q3," Iwan said.
Additionally, the acquisition of the copper mine in Australia, 29Metals, is expected to be completed within two weeks. However, Iwan noted that the results of this investment will not be included in the company’s consolidated financial statements.
"Our expectation is that, since this is an equity investment, we will get returns from it, but not in the form of consolidation in the financial statements," added Iwan.
Furthermore, the acquisition of BUMA International's controlling stake in one of the largest metallurgical coal mines in Australia, Dawson, is targeted to be completed in the first half of 2025.
If on schedule, the results of this acquisition will also begin to appear in the third-quarter financial report of 2025.
