Delta Dunia Group just dropped some solid news about their 9M 2024 results, and it’s looking lit. They’re cruising through the year with steady revenue of $1.35 billion, even with some wild weather throwing shade in Indonesia and Australia. Rainfall was up big time, but they managed to keep things rolling with only a 9% dip in overburden removal and a 3% boost in coal production. Talk about resilience.
The Group’s EBITDA took a hit, down 16.4% to $252.3 million, but they’re all about that long-term game, investing in their future. With the Indonesian Rupiah and Australian Dollar flexing against the US Dollar, they’re handling financial pressures like pros. Sure, they faced a net loss of $17.4 million, but that’s way better than the $26.6 million loss from earlier this year. They’re making moves to strengthen their financial foundation, like paying off debt early and buying back bonds. Smart plays for the win.
Iwan Fuad Salim, the Director, is hyped about the journey. He said, “9M 2024 is a major phase for us, with big milestones that set us up for sustained growth. We’re all about operational excellence, expanding our reach, and diversifying our commodities. We’re building a future-ready biz that delivers value for everyone involved.”
They’ve scored some epic contracts, including an 11-year, $7.8 billion deal with PT Indonesia Pratama and a $755 million Life-of-Mine contract with PT Persada Kapuas Prima. These moves are not just about cash; they’re spreading out risks and boosting confidence in their capabilities.
Delta Dunia is also stepping into the US market with a majority stake in Atlantic Carbon Group, which is a game-changer. Non-thermal coal is now 26% of their revenue, and they’re aiming for 28% by the end of the year. Plus, they’re snagging a 51% stake in the Dawson Complex, one of Australia’s biggest metallurgical coal mines. This place has been around for over 60 years and has solid ties with key Asian markets.
Their capital expenditures hit $133.1 million in Q3 2024, a 79% jump YoY, showing they’re all in on growth. They’re also managing their cash flow like champs, with operating cash flow up 2% to about $232 million. Free cash flow took a dip post-acquisition, but that’s just part of the strategy to build a lasting legacy.
Delta Dunia is all about keeping shareholder value high while staying financially fit. Their Net Debt/EBITDA ratio is looking healthy at 2.17x, and with recent acquisitions, they’re set to boost performance even more.
And guess what? They just dropped BUMA II 2024 Rupiah Bonds, which were 1.4x oversubscribed. That’s some serious investor love, showing confidence in their cash flow and credit profile.
Iwan wrapped it up saying, “We’re committed to solid financial management and reinforcing our presence in the mining game across Indonesia, Australia, and the US. Our financing strategy is all about building a strong foundation and growing our biz, making us a globally diversified mining company.”
