JAKARTA, RAKYAT NEWS – The Indonesian based PT Timah Tbk (TINS) has reported a profit of IDR 908.81 billion for the first nine months of 2024, marking a significant turnaround from a loss of IDR 87.43 billion during the same period last year. This recovery highlights the company’s resilience amid fluctuating market conditions.

The financial report, filed with the Indonesia Stock Exchange (BEI), indicates a remarkable 22.79% increase in total revenue, which rose to IDR 8.25 trillion compared to IDR 6.37 trillion in 2023. This growth is attributed to a notable rise in global tin prices.

Average selling prices for tin saw a 15% increase, climbing from USD 27,017 per metric ton in 2023 to USD 31,183 per metric ton in 2024. This rise in price has significantly impacted TINS’ profitability, enabling the company to navigate previous financial difficulties.

In terms of production, TINS extracted 15,189 tons of tin ore in 2024, a substantial 36% increase from 11,201 tons in the same period last year. Metal production also rose, reaching 14,440 metric tons, a 25% increase over the previous year.

Sales of tin metal increased by 21%, amounting to 13,441 metric tons. The boost in production is attributed to the addition of new mining units and the opening of new operational sites, enhancing overall productivity.

For the first nine months of 2024, TINS exported 91% of its tin, with key markets including Singapore (16%), South Korea (15%), India (11%), Japan (10%), the United States (9%), and the Netherlands (8%). This diverse export strategy has contributed to the company’s growth.

Despite the strong revenue performance, TINS also faced rising costs. The company’s cost of revenue increased by 4.5%, reaching IDR 6.05 trillion, which still allowed for a gross profit of IDR 1.42 trillion and an impressive EBITDA of IDR 2.08 trillion.

Total assets for the company decreased slightly by 0.3% to IDR 12.82 trillion. However, liabilities saw a significant reduction of 14.8%, dropping to IDR 5.63 trillion, largely due to a decrease in interest-bearing debt.

To strengthen its financial position, TINS has implemented a debt restructuring plan, successfully reducing interest-bearing debt by IDR 1.4 trillion. This move has led to improved financial health ratios, positioning the company for future growth.

As TINS continues to adapt to the dynamic tin market, its recent performance underscores a successful strategy in capitalizing on rising global demand, showcasing its potential for sustained profitability. (Uki Ruknuddin)

 

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