PT Merdeka Copper Gold (MDKA) Q4 2024 earnings summary

Executive summary

• Consolidated revenue reached $2,239 million in FY2024, up 31% year-over-year, with EBITDA at $329 million, up 36% year-over-year, and net profit at $10 million, up 73% year-over-year.

• Consolidated financial statements for the year ended 31 December 2024 were audited and received an unqualified opinion, confirming fair presentation in accordance with Indonesian Financial Accounting Standards.

• MBMA contributed $1,845 million in revenue (up 39% YoY) and $163 million in EBITDA (up 67% YoY), with net profit of $80 million (up 139% YoY).

• Growth was driven by higher nickel, copper, and gold sales, new project ramp-ups, and margin improvements.

• Key audit matters included accounting for the acquisition of PT Puncak Emas Tani Sejahtera (PETS), loss of control over PT Merdeka Industri Anantha (MIA), and goodwill impairment testing.

Financial highlights

• Revenue reached $2,239 million, up from $1,707 million year-over-year.

• Group EBITDA margin was 14.7% in FY2024, with net finance costs rising 48.8% due to higher debt and interest rates.

• Net profit for the year was $10 million, up from $5.7 million in the prior year.

• Gold ASP increased to $2,371/oz (from $1,939/oz in 2023), with a margin of 57%.

• NPI production and sales rose 26% and 24% YoY, respectively, with NPI ASP at $11,608/t and margin of 11%.

Outlook and guidance

• 2025 guidance: gold production 100,000–110,000 oz at $1,100–1,200/oz cash cost; copper 11,000–13,000 t at $1.60–2.00/lb cash cost.

• NPI production expected at 80,000–87,000 t, with cash costs below $11,000/t; saprolite ore delivery 6.0–7.0 million wmt, limonite sales 12.5–15.0 million wmt.

• Focus on AIM plant ramp-up, SCM mine expansion, and Pani Gold Project commissioning.

• The group continues to focus on mining and processing expansion, with ongoing capital projects and new business combinations.

• No material uncertainties regarding going concern were identified.