Cokal (CKA) H2 2025 earnings summary

Executive summary

• Faced a challenging year with falling coal prices, leading to a temporary suspension of mining from January to September 2025, but secured funding to continue infrastructure development and maintain financial stability.

• Entered strategic partnerships, notably with PT Petrindo Jaya Kreasi, to upgrade the BBM haul road and enhance logistics, aiming for cost efficiency and future revenue streams.

• Maintained operational readiness and advanced permitting for key projects, positioning for a production ramp-up as market conditions improve.

Financial highlights

• Revenue for FY2025 was US$3.38 million, down from US$3.70 million in FY2024.

• Net loss after tax was US$7.28 million, an improvement from a US$9.83 million loss in FY2024.

• Basic and diluted loss per share was US$0.0067 (0.67 cents), compared to US$0.0091 (0.91 cents) in FY2024.

• Cash and cash equivalents at year-end were US$0.63 million, up from US$0.48 million in FY2024.

• No dividends were paid or recommended.

Outlook and guidance

• Medium-term outlook for metallurgical coal is constructive, with demand expected to rise from India and a recovery in Chinese steel margins.

• Production ramp-up planned for Q1 2026, leveraging completed infrastructure and improved market conditions.

• TBAR drilling and resource delineation scheduled for 2026, with production to follow.