PT Indika Energy (INDY) Q1 2025 earnings summary

Executive summary

• Revenue for Q1/3M25 declined 13.7% year-over-year to $489.6M, with net profit plunging 85.6% to $2.9M and gross profit margin down to 13% from 16.5%.

• Coal remains the dominant revenue contributor at 82% for 3M25, but diversification into renewables, EVs, minerals, and digital ventures is ongoing.

• The company is executing Net Zero 2050 and 50% non-coal revenue by 2028 strategies, with significant investments in green business.

• Total assets stood at $2.91B and equity at $1.35B as of March 31, 2025.

• Major business segments include energy resources, services, infrastructure, logistics, minerals, green business, and digital ventures.

Financial highlights

• Adjusted EBITDA for 3M25 was $46.8M, down 25.6% YoY; gross margin at 13.0% and net margin at 0.6%.

• Net profit attributable to owners was $2.9M, down from $20.1M YoY.

• Kideco's 3M25 revenue was $400.1M (down 11.6% YoY), with net income at $26.0M (down 28.3% YoY).

• Tripatra posted 3M25 revenue of $61.8M and net profit of $3.5M.

• Consolidated cash position at Mar-25 was $571M, with net debt/EBITDA at 0.3x.

Outlook and guidance

• Targeting 50% non-coal revenue by 2028 and net zero emissions by 2050.

• 2025 coal production guidance at 30MT; 3M25 production at 7.4MT, up 4.2% YoY.

• Ongoing expansion in renewables, EV, and minerals, with gold project (Awak Mas) expected to start commercial operation in 2H26.

• Management expects continued volatility in coal prices and global economic conditions to impact revenue and margins.

• Diversification into green business, digital ventures, and minerals to reduce reliance on coal.