Delta Dunia targets 20% revenue growth amid coal recovery
Saturday, April 8 2017 - 01:32 PM WIB
The paper quoted Delta Dunia Finance Director Eddy Purwanto as saying that the rising price of coal will positively affect its business this year. ?If coal price moves above US$75-$80 per ton, it will be very good for the company,? he said.
He said that the company aims to get at least two new contracts in the second quarter of this year to help meet the higher revenue target. He did not provide further details.
As has been previously reported by this portal, Delta Dunia turned to profit last year thanks to cost efficiency measures and recovery in the price of coal. The company booked a net profit of $37 million last year compared to a net loss of $8 million in 2015.
The company said it delivered overburden removal of 299.8 million bcm and coal production of 35.1 million tons. Net revenue increased from US$566 million in 2015 to $611 million in 2016. EBITDA also improved from $186 million to $217 million in 2016 as the result of improvement in volume, productivity and various cost efficiency measures.
Delta Dunia signed several contracts with coal miners throughout 2016 consisting mostly of contract extensions to life of mine and some, with significant additional volume. Contracts signed included contract extension with PT Tadjahan Antang Mineral valued at $288 million, contract amendments with PT Berau Coal valued at $3 billion, with PT UPS Sidrap Bayu Energy valued at $4 million, contract extension with PT Adaro Indonesia valued at $428 million, and a new contract with PT Angsana Jaya Energi valued at $66 million. Total contract on hand with customers is approximately $5 billion. (*)