Delta Dunia Group Increases Stakes in Asiamet to 34.5%, Strengthening Commitment to Business Diversification

17 Nov 2023

Jakarta, 15 November 2023 – PT Delta Dunia Makmur Tbk. (“Delta Dunia Group” or IDX: DOID) is pleased to announce the successful non-brokered private placement of USD 4 million (“Placement”) with AIM-listed Asiamet Resources Limited (“Asiamet” or AIM: ARS). This Placement increases Delta Dunia Group’s shareholding by 366,891,000 shares, which increases the holding from 24.2% to 34.5%, solidifying its position as Asiamet’s largest shareholder.

Asiamet’s flagship BKM Copper Project in Central Kalimantan has concluded its Feasibility Study. The Placement funds will drive the advancement of BKM through project engineering, contracting works, and general working capital.

Ronald Sutardja, President Director of Delta Dunia Group, stated “We continue to support Asiamet as it continues to advance the BKM Copper project through the next stages of engineering. Copper remains an important strategic metal and is central to the energy transition initiative. Our various teams are working closely with Asiamet, demonstrating the commitment by the Delta Dunia Group.”

By working with Asiamet and leveraging PT Bukit Makmur Mandiri Utama’s (BUMA) core skills in mining services in Indonesia, Delta Dunia Group believes this will become a part of our broader commodity diversification strategy. Delta Dunia Group remains dedicated to advancing its ESG strategy, specifically, building on the group’s core competencies and providing the resources required in a transiting world, in the most efficient and sustainable way.

“Committed to both sustainability and growth, our increased stake in Asiamet strongly supports our diversification strategy, particularly focusing on forward-looking commodities such as copper. This step underscores Delta Dunia Group’s dedication to strategic growth and adapting to the dynamic commodities landscape, emphasizing our commitment to long-term success while prioritizing sustainability,” Ronald concluded.

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About PT Delta Dunia Makmur Tbk.
Established in 1990, PT Delta Dunia Makmur Tbk (Delta Dunia Group) is a prominent holding company operating in Indonesia and Australia. Our principal subsidiary, PT Bukit Makmur Utama (BUMA), is a leading provider of mining services to some of the largest coal producers in Indonesia and Australia (BUMA Australia Pty Ltd).

In 2023, Delta Dunia Group expanded its portfolio with the addition of two new subsidiaries: PT Bukit Teknologi Digital (B-TECH), offering comprehensive mining technology solutions that empower companies within the mining industry, and PT BISA Ruang Nuswantara (BIRU), a social entity dedicated to education, vocational schools, and fostering a circular economy.

Listed on the Indonesia Stock Exchange (IDX Code: DOID), Delta Dunia Group is headquartered in Jakarta, Indonesia, and is supported by a workforce of over 16,000 employees across Indonesia and Australia.

For further information, please contact:
PT Delta Dunia Makmur Tbk.
Corporate Communication
South Quarter Tower A, Penthouse Floor Unit A-I
Jl. R.A. Kartini Kav. 8, Cilandak Barat Jakarta 12430 Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

Delta Dunia Group’s Nine Months 2023 Results Mark a Transformative Shift Towards Diversified Revenue Streams

01 Nov 2023

Jakarta, October 31, 2023 – Delta Dunia Makmur Tbk (Delta Dunia Group), the parent company of PT Bukit Makmur Mandiri Utama (BUMA), BUMA Australia Pty Ltd (BUMA Australia), PT Bukit Teknologi Digital (B-TECH), and PT BISA Ruang Nuswantara (BIRU), announces a strong operational performance and revenue growth during January to September 2023 period.

Key highlights include:

  • Achievement of record quarterly revenue of USD 506 million in Q3 2023, contributing to substantial revenue growth to USD 1.36 billion or a 19% increase in nine months year-on-year (YoY).
  • BUMA and BUMA Australia exhibited strong operational performance, with a 12% YoY increase in overburden volume (OB) to 462 million bank cubic meters (bcm) and the production of 64 million metric tons (MT) of coal. The growth was predominantly in Australia, aided by drier weather in Indonesia and the ramp-ups of new contracts in Australia.
  • EBITDA increased to USD 302 million, rising by 11% YoY, despite challenges such as higher inflation costs and delays in government approvals for revised coal production quotas (RKAB) in Q3 2023. Notably, a record quarterly EBITDA of USD 127 million was achieved in Q3 2023, reflecting a consistent increase in the EBITDA margin since Q1 2023.
  • Net profit increased by 5% YoY, impacted by higher finance costs driven by an increase in base rate and foreign exchange translation losses due to Rupiah depreciation.
  • Capital Expenditure (Capex) decreased by 31% YoY to USD 74 million, attributed to project ramp-up completions in Indonesia, aligning with Delta Dunia Group’s full-year target of USD 105 million to USD 145 million. The Group will continue to maintain tight control over Capex.
  • Operating cash flow increased to USD 227 million, primarily due to higher EBITDA, improved working capital management, and an increased tax refund, resulting in a positive free cash flow of USD 159 million and a higher cash level of USD 230 million.
  • Although Q3 2023 saw higher EBITDA, the Group’s Operating Cash flow and Free Cash Flow for the quarter were marginally lower compared to Q3 2022, mainly due to the collection of over USD 12 million in receivables in the first week of October.
  • The net debt to EBITDA ratio remains healthy and is on a declining trend at 1.82x, the lowest in the past five years, as we have completed our growth Capex cycle and continue to de-leverage.

 

Dian Andyasuri, Director of Delta Dunia Group, expressed confidence with the results. “We are proud to see the consistently strong performance of Delta Dunia Group, even in the face of challenges. Our diversification strategy has increased our revenue from metallurgical coal to 19% and reduced our reliance on thermal coal by 81% as of September 2023. We are on track to ensure that thermal coal contributes less than 50% of our revenues by 2028. This strategic shift underscores our commitment to sustainability and long-term success.”

Delta Dunia has completed the purchase of 1,285 million shares through the buyback program, which represents 14.9% of the Company’s shares outstanding (as of August 4, 2023). BUMA, Delta Dunia Group’s subsidiary, has bought back USD 14.4 million of Senior Notes, including related unamortized transaction cost, as of September 30, 2023.

“Delta Dunia Group’s performance during the nine-month 2023 period exemplifies our unwavering commitment to sustainable growth, financial strength, and environmental stewardship. We remain focused on delivering value to our stakeholders and leading industry innovation through our ongoing business development and diversification efforts,” concluded Dian.

 

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About PT Delta Dunia Makmur Tbk.
Established in 1990, PT Delta Dunia Makmur Tbk (Delta Dunia Group) is a prominent holding company operating in Indonesia and Australia. Our principal subsidiary, PT Bukit Makmur Utama (BUMA), is a leading provider of mining services to some of the largest coal producers in Indonesia and Australia (BUMA Australia Pty Ltd).

In 2023, Delta Dunia Group expanded its portfolio with the addition of two new subsidiaries: PT Bukit Teknologi Digital (B-TECH), offering comprehensive mining technology solutions that empower companies within the mining industry, and PT BISA Ruang Nuswantara (BIRU), a social entity dedicated to education, vocational schools, and fostering a circular economy.

Listed on the Indonesia Stock Exchange (IDX Code: DOID), Delta Dunia Group is headquartered in Jakarta, Indonesia, and is supported by a workforce of over 16,000 employees across Indonesia and Australia.

For further information, please contact:
PT Delta Dunia Makmur Tbk.
Corporate Communication
South Quarter Tower A, Penthouse Floor Unit A-I
Jl R.A. Kartini Kav. 8, Cilandak Barat Jakarta 12430 Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

Delta Dunia Group Delivers Significant First Half Results and Progress on ESG Initiatives

02 Oct 2023

Jakarta, September 29, 2023 – PT Delta Dunia Makmur Tbk (Delta Dunia Group), the parent company of PT Bukit Makmur Mandiri Utama (BUMA), BUMA Australia Pty Ltd (BUMA Australia), PT Bukit Teknologi Digital (B-TECH), and PT BISA Ruang Nuswantara (BIRU), reports robust volume and EBITDA growth, alongside achieving its lowest Net Debt-to-EBITDA ratio during the first half of 2023 (1H 2023).

Key highlights include:

  • Total revenues surged to USD 0.86 billion, a substantial 19% year-on-year (YoY) growth.
  • Strong operational performance demonstrated by producing 286 million bank cubic meters (bcm), a 10% YoY increase in overburden volume (OB), and 42 million metric tons (MT) of coal, a 2% YoY increase in coal production.
  • EBITDA climbed to USD 175 million, a 7% YoY increase and underlining the Group’s operational strength.
  • Despite industry challenges, the Group maintained resilient margins, with a slight 3% YoY decline primarily attributed to inflationary pressures in Indonesian operations. In contrast, Australia successfully sustained its margins despite increased costs from new contracts.
  • Net profit decreased modestly to USD 5 million, a 13% YoY decline, primarily driven by increased financing costs prompted by the rise in the London Inter-Bank Offered Rate (LIBOR).
  • Capital expenditure (Capex) spending at USD 44 million, a 47% reduction YoY, a result of the successful completion of project ramp-up in Indonesia.
  • Operational Cash Flow (OCF) surged to USD 143 million due to increased EBITDA, resulting in positive Free Cash Flow (FCF) at USD 105 million.
  • The cash balance stood at USD 218 million by the end of 1H 2023.
  • Strong financial health with a Net Debt-to-EBITDA ratio of 1.99x, the lowest in the past five years, reflecting prudent and disciplined financial management in a capital-intensive industry.

Additionally, in September 2023, BUMA marked a significant milestone by securing its first-ever syndicated Sharia financing with a total financing facility value of USD 60 million with PT. Bank Muamalat Indonesia Tbk. acting as the Mandated Lead Arranger (MLA), facility agent, and guarantee agent with an amount of USD 50 million in financing.

Dian Andyasuri, Director at Delta Dunia Group, stated, “Despite formidable challenges, we’ve not only weathered the storm but also achieved revenue growth. The results for 1H 2023 exemplify our core business transformation as we diversify our revenue streams. In the first half of this year, we achieved a significant shift in our revenue composition, with Metallurgical Coal and Infrastructure contributing 18%, marking a significant step towards reducing the proportion of revenue derived from thermal coal production, which now stands at 82%. This progress builds upon our Group’s FY2022 results when metallurgical coal revenue was at 13%.”

During 1H 2023, Delta Dunia Group made remarkable progress in its Environmental, Social, and Governance (ESG) initiatives. It secured an outstanding ranking as the second-highest performer in the global coal sub-industry and ranked among the top 15% in the global oil and gas industry, according to Sustainalytics ESG Risk Rating. The Group substantially improved its ESG Risk Rating from 42.4 in 2022 to 32.7 in July 2023, marking a significant 10-point (25%) increase. As a testament to its commitment to ESG, the Group inaugurated its social innovative subsidiary, PT BISA Ruang Nuswantara (BIRU), in September. Additionally, BUMA Australia actively advanced its mining rehabilitation and closure services, working on four operational sites.

Dian highlighted, “In Sustainalytics’ assessment, Delta Dunia Group excelled in several key areas, encompassing carbon-related products and services, carbon emissions management within our operations, corporate governance practices, community engagement, and occupational health and safety measures, as well as emissions, effluents, and waste handling. Our determined efforts to mitigate carbon emissions have effectively shifted our classification from high-risk to moderate in carbon management. We are diligently advancing our rehabilitation and closure initiatives in our Australian operations, with over two decades of successful rehabilitation and environmental project outcomes. With the inauguration of BIRU, our objective is to bolster Indonesia’s sustainable development further. This entails enhancing local workforce skills for global competitiveness through industry-tailored education and supporting social entrepreneurship, all while upholding our unwavering commitment to environmental preservation.”

Simultaneously, Delta Dunia Group continued its share buyback program and acquired 1,285 million shares purchased by August 4, 2023, constituting 14.9% of the Company’s outstanding shares.

“Delta Dunia Group’s performance in the first half underscores our commitment to sustainable growth, financial strength, and dedication to environmental responsibility. The Group maintains its unwavering focus on delivering value to its stakeholders while spearheading positive change within the industry as we continuously evolve and diversify our business,” Dian concluded.

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About PT Delta Dunia Makmur Tbk (Delta Dunia Group):
Established in 1990, PT Delta Dunia Makmur Tbk (Delta Dunia Group) is a prominent holding company operating in Indonesia and Australia. Our principal subsidiary, PT Bukit Makmur Utama (BUMA), is a leading provider of mining services to some of the largest coal producers in Indonesia and Australia (BUMA Australia Pty Ltd).

In 2023, Delta Dunia Group expanded its portfolio with the addition of two new subsidiaries: PT Bukit Teknologi Digital (B-TECH), offering comprehensive mining technology solutions that empower companies within the mining industry, and PT BISA Ruang Nuswantara (BIRU), a social entity dedicated to education, vocational schools, and fostering a circular economy.

Listed on the Indonesia Stock Exchange (IDX Code: DOID), Delta Dunia Group is headquartered in Jakarta, Indonesia, and is supported by a workforce of over 16,000 employees across Indonesia and Australia.

For further information, please contact:
PT Delta Dunia Makmur Tbk.
Corporate Communication
South Quarter Tower A, Penthouse Floor Unit A-I
Jl R.A. Kartini Kav. 8, Cilandak Barat Jakarta 12430 Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

BUMA Secures Its First Syndicated Sharia Financing Facility Worth USD 60 Million

15 Sep 2023

Jakarta, 13 September 2023 – PT Bukit Makmur Mandiri Utama (BUMA), a subsidiary of PT Delta Dunia Makmur Tbk. (Delta Dunia Group) announced its first-ever syndicated Sharia financing in the history of the company with a total financing facility value of USD 60 million, equivalent to IDR 920 billion. In this financing facility, PT Bank Muamalat Indonesia Tbk. is participating with an amount of USD 50 million and simultaneously serving as the Mandated Lead Arranger (MLA), facility agent, and guarantee agent. This financing will run for a duration of five years until 2028.

The signing of the cooperation agreement was carried out by Nanang Rizal Achyar, Director of BUMA and Irvan Y. Noor, SEVP Enterprise Banking of Bank Muamalat, witnessed by Indra Falatehan, President Director of Bank Muamalat, Dian Andyasuri, Director of Delta Dunia Group and Iwan Fuad Salim, Group Deputy Director Finance & Investor Relations at Delta Dunia Group at South Quarter Tower, West Cilandak, Jakarta.

Nanang Rizal Achyar, President Director of BUMA, appreciates the trust given by Bank Muamalat. “We are proud and grateful for the financing support from Bank Muamalat, which is one of the leaders of sharia banking in Indonesia. This new funding with competitive pricing is evidence of BUMA’s credibility as a leading coal mining contractor company in Indonesia. We will use this funding to support our corporate actions and bolster BUMA’s operational activities. We hope that this collaboration can also lead to broader cooperation.”

Irvan Y. Noor, SEVP Enterprise Banking of Bank Muamalat, said that they welcomed the synergy with Delta Dunia Group through one of its subsidiaries, BUMA. This step is part of the commitment of the first purely sharia bank in Indonesia to contribute to sharia syndicated financing, especially in US dollar denominations. Apart from that, this collaboration can also be an entry point for Bank Muamalat to provide services to BUMA employees, including multi-purpose financing.

“This participation undoubtedly further strengthens Bank Muamalat’s portfolio in the corporate financing segment and demonstrates our active commitment to supporting national companies, particularly in the energy sector. Furthermore, we are optimistic that this contribution will enhance market confidence in Bank Muamalat, which is currently in the process of listing on the Indonesian Stock Exchange,” said Irvan.

Iwan Fuad Salim, Group Deputy Director Finance & Investor Relations at Delta Dunia Group, expresses optimism regarding the corporate actions of Bank Muamalat and BUMA. “As a group of companies committed to long-term growth, one of our strategies is to continuously enhance capital to support the company’s strategic initiatives across all our operational areas. With the company’s ongoing growth, we are confident in our ability to support the government’s economic growth agenda while also making a positive impact on society and the environment at large, aligning with the company’s environmental, social, and governance (ESG) commitments,” he stated.

As information, BUMA is one of the leading coal mining contractors in Indonesia that has successfully implemented a diversification strategy. This diversification includes metallurgical coal mining activities, especially through expansion into Australia by acquiring BUMA Australia in December 2021. In Q1 2023, Delta Dunia Group’s metallurgical coal and infrastructure businesses contributed 15% of group revenue. Supported by operational success in Indonesia and Australia, the diversification strategy and operational performance of the company have successfully increased Q1 revenue to USD 409 million, equivalent to IDR 6.13 trillion, representing a 23% increase compared to the previous year.

“This is a significant step for us. We hope that our collaboration with Bank Muamalat will bring positive and sustainable impacts for both parties in the future,” concluded Nanang.

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About PT Delta Dunia Makmur Tbk.
PT Delta Dunia Makmur Tbk. was founded in 1990, and through its principal subsidiary, PT Bukit Makmur Utama (BUMA), is a leading coal mining services contractor in Indonesia and Australia, providing mining services to some of the largest coal producers in both countries. PT Delta Dunia Makmur Tbk. is listed on the board of the Indonesia Stock Exchange (IDX Code: DOID). DOID is headquartered in Jakarta, Indonesia.

About PT Bank Muamalat Indonesia Tbk
PT Bank Muamalat Indonesia Tbk is a pioneer of sharia banking in Indonesia, founded on November 1 1991 which was initiated by the MUI, ICMI, and several Muslim entrepreneurs who later received support from the Indonesian Government.

Since operating on May 1 1992, the company has continued to innovate by producing superior programs and services. The Bank Muamalat Shar-E Gold Debit Card is the first sharia bank chip card in Indonesia that can be used for fee-free transactions at millions of merchants throughout the world. Bank Muamalat also launched the #AyoHijrah campaign which invites people to live a blessed life by using financial services that comply with sharia.

As of 15 and 16 November 2021, the Hajj Financial Management Agency (BPKH) officially became the Controlling Shareholder (PSP) of Bank Muamalat after receiving a share grant from the Islamic Development Bank (IsDB) and SEDCO Group. Thus, BPKH’s total share ownership in Bank Muamalat becomes 82.66%. Apart from BPKH, Bank Muamalat shares are also owned by IsDB amounting to 2.04% and other shareholders with a portion of 15.3%.

 

For further information, please contact:

PT Delta Dunia Makmur Tbk.
Corporate Communication
South Quarter Tower A, Penthouse Floor Unit A-I
Jl R.A. Kartini Kav. 8, Cilandak Barat Jakarta 12430 Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com		 PT Bank Muamalat Indonesia Tbk
Corporate Affairs
Muamalat Tower
Jl. Prof Dr Satrio Kav 18, Jakarta 12940
Email: corporate.affairs@bankmuamalat.co.id
Website: www.bankmuamalat.co.id
SalaMuamalat 1500016

BIRU Holds Edu Seminar to Encourage Multisectoral Collaboration in Increasing Globally Competitive Human Resources Capacity

07 Sep 2023

Balikpapan, 6 September 2023 – PT BISA Ruang Nuswantara (BIRU), a subsidiary of PT Delta Dunia Makmur Tbk. (Delta Dunia Group), today held an Education Seminar themed “Learning for a Sustainable Future” and “BISA Ruang Vokasi (BRV) Learning Experience” exhibition at the Novotel Hotel, Balikpapan. This activity is held in hybrid and attended by representatives of the regional government, mining and non-mining industry players, as well as educational institutions and students. This activity aims to encourage multisectoral collaboration in improving the human resources’ (HR)  skills and character development to be globally competitive and ready to enter the industrial world, especially the mining industry.

Dian Andyasuri, Commissioner of BIRU said, “BIRU is a subsidiary of Delta Dunia Group, which focuses on vocational education and waste recycling management. BIRU’s presence as an innovative social enterprise is a tangible manifestation of the Company’s long-term environmental, social, and governance (ESG) commitment. Understanding the importance of a skilled and ready-to-work workforce in the industry, we strive to continuously encourage multisectoral collaboration in improving aspects of the character, knowledge, and skills of vocational students to meet industry needs. Through today’s activity, we hope to encourage multisectoral synergy, especially in the education and industrial sectors, in providing a positive impact on society and increasing the skilled and qualified workforce in the country.”

The economic growth of East Kalimantan Province in the second quarter of 2023 reached 6.84%, or increased significantly from the same period in the previous year of 3.62%.[1] The extractive sector, which becomes an important pillar of the East Kalimantan economy, contributes up to around 40,69% to the overall Gross Regional Domestic Product (GRDP). As one of the cities in East Kalimantan, Balikpapan is also one of the cities that relies on mining and industry. This significant economic increase drives a higher need for a skilled workforce in the mining and energy sectors.

Atok Aryanto, Educational Practitioner and Director of Kubik Leadership, as one of the spokespersons in the Educational Seminar, said, “One of the keys to increasing workforce absorption in the industry is multisectoral collaboration starting from the education ecosystem players, industry players, and students. Good collaboration between stakeholders is expected to create an effective skills-based learning process, in accordance with the industry needs, and able to provide broad benefits to society and national economic growth.”

The other spokesperson, Indah Shafira Zata Dini, Education Consultant, said, “Training and learning through workplace duplication plays an important role in preparing skilled and competitive workforce. Duplication of the workplace environment is not only able to create adaptive human resources but also able to meet the industry qualifications and even contribute in creating solutions for related industries.”

Meanwhile, Nanang Rizal Achyar, Deputy President Director of PT Bukit Makmur Mandiri Utama (BUMA), which is also a subsidiary of the Delta Dunia Group, said, “BIRU, through BISA Ruang Vokasi (BRV), collaborates with BUMA and a number of vocational schools and industrial players to overcome the gap between industrial needs of workforce and the workforce competency, as well as open up access to inclusive training through the link and match concept between business and industry and the world of education. We believe that this collaboration will provide broad and long-term benefits for society, as well as encourage economic growth.”

BRV is an industrial competency-based training product that aims at increasing the capacity and skills of vocational school graduates, which is in line with the industry’s needs. In the future, BIRU will present the BRV platform, an industrial competency-based e-learning program that is supported by a virtual reality approach in its learning practices. The platform, which can be accessed online, will provide a more in-depth learning experience while improving digital literacy through various modules and the use of interactive multimedia equipment, such as videos and virtual simulations. BRV graduates will get a national standard certificate (BNSP) that supports them to meet the increasing needs of the industry.

BIRU will continue to promote HR competency improvement programs and expand its reach to other sectors that require a ready-to-work vocational workforce, such as the pilot program that is currently being developed for the tourism and hospitality sectors. In addition, BIRU will also strengthen its learning competencies with English language programs, apprenticeships or practical training, both of which are internationally certified.

“With the roadmap, we are confident that BIRU will be the initiator in the development of Indonesian human resources that are innovative, comprehensive, and excel, as well as globally competitive. Delta Dunia Group’s business expansion steps also increase the opportunities for skilled labor needs in the future, where BIRU helps encourage sustainability practices and complements the Company’s ecosystem in terms of fulfilling quality human resources in the midst of dynamic industrial development. By helping to prepare skilled prospective workers that meet industry needs, we hope to make a positive contribution to the industry and national economic growth,” Dian concluded.

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About PT Delta Dunia Makmur Tbk.
PT Delta Dunia Makmur Tbk. was founded in 1990, and through its principal subsidiary, PT Bukit Makmur Utama (BUMA), is a leading coal mining services contractor in Indonesia and Australia, providing mining services to some of the largest coal producers in both countries. PT Delta Dunia Makmur Tbk. is listed on the board of the Indonesia Stock Exchange (IDX Code: DOID). DOID is headquartered in Jakarta, Indonesia.

For further information, please contact:
Kamelia Mohamad
GM Corporate Communications
PT Delta Dunia Makmur Tbk.
South Quarter Tower A, Penthouse Floor Unit A-I
Jl R.A. Kartini Kav. 8, West Cilandak Jakarta 12430
Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

Delta Dunia Group Attains Second-Highest Global Standing in Coal Sub-Industry, a Testament of Its Strong Commitment to ESG

28 Aug 2023

Jakarta, August 28, 2023 – PT Delta Dunia Makmur Tbk (Delta Dunia Group) proudly announces a significant milestone in its ongoing commitment to sustainability. The company has secured an outstanding position as the second-highest performer in the global coal sub-industry, as assessed by Sustainalytics ESG Risk Rating. This noteworthy recognition by the respected environmental, social, and governance (ESG) risk rating agency Morningstar Sustainalytics underscores Delta Dunia’s unwavering commitment to responsible business practices and diverse ESG factors.

In its latest assessment by Sustainalytics, Delta Dunia Group has achieved remarkable progress in its ESG Risk Rating, improving from 42.4 in December 2022 to an impressive 32.7 in July 2023, marking a 10-point (or 25%) increase. This commendable achievement is also reflected in the company’s ESG Risk Management score, which has risen from 47.4 in 2022 to a noteworthy 56.1 in 2023. These milestones clearly demonstrate the company’s focus on ESG, encompassing the formulation of sound policies to their effective execution.

Furthermore, Delta Dunia Group’s approach to carbon emissions mitigation has enabled the transition from a high-risk in carbon management to a medium-risk classification. A pivotal indication of this success is the company’s Carbon Intensity Trend score of 75. This metric underscores Delta Dunia Group’s significant strides in reducing its carbon intensity compared to its historical average over the past three years.

Dian Andyasuri, Director of PT Delta Dunia Makmur Tbk, emphasized, “Sustainalytics’ latest ESG Risk Rating underscores Delta Dunia Group’s comprehensive integration of ESG across all aspects of our operations. This remarkable progress is a testament to our team’s dedicated efforts and the company’s resolute commitment to implementing ESG initiatives. These include adhering to the Global Reporting Initiative’s (GRI) best practices for ESG reporting, Board of Directors’ oversight of sustainable practices, and the implementation of robust policies to curtail greenhouse gas emissions.”

In addition to the Delta Dunia Group, the Sustainalytics’ ESG rating includes 74 other global companies within the coal sub-industry. The new ESG Risk Rating not only places Delta Dunia Group as the second-highest ESG-rated energy company within Sustainalytics’ global coal sector but also positions it within the top 15 percent of the 301 companies in Sustainalytics’ global oil and gas industry.

Dian further underscored that the company’s ISO 45001 certification for occupational health and safety management reflects its earnest commitment to ensure high safety standards in its operations. The company’s noteworthy achievement of zero workplace fatalities over three consecutive years reinforces its dedication to these commitments.

“Our second-place ranking in Sustainalytics’ global coal sector underscores ESG as a core strength, and we are committed to maintaining and enhancing this performance. We also believe that the effective implementation of ESG within our mining operations will support our customers in upholding their own ESG commitments and accomplishments. As we move forward, Delta Dunia Group will persist in seamlessly integrating and embedding ESG principles into our daily operations, as well as our medium and long-term strategies. We will continue to advance our environmental sustainability program, explore opportunities to expedite our range of community-building initiatives to impact more lives, and diligently uphold our governance practices. We hold confidence that our stakeholders, including ESG rating agencies, will continue to acknowledge and appreciate our efforts,” concluded Dian.

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About PT Delta Dunia Makmur Tbk.
PT Delta Dunia Makmur Tbk. was founded in 1990, and through its principal subsidiary, PT Bukit Makmur Utama (BUMA), is a leading coal mining services contractor in Indonesia and Australia, providing mining services to some of the largest coal producers in both countries. PT Delta Dunia Makmur Tbk. is listed on the board of the Indonesia Stock Exchange (IDX Code: DOID). DOID is headquartered in Jakarta, Indonesia.

For further information, please contact:
Kamelia Mohamad
GM Corporate Communications
PT Delta Dunia Makmur Tbk.
South Quarter Tower A, Penthouse Floor Unit A-I
Jl R.A. Kartini Kav. 8, West Cilandak Jakarta 12430
Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

Delta Dunia Group’s Annual General Meeting of Shareholders Approves Dividend Distribution, New Directors, and Notes Issuance Plan

09 Jun 2023

Jakarta, June 9, 2023 – PT Delta Dunia Makmur, Tbk (Delta Dunia Group) (IDX: DOID) held its Annual General Meeting of Shareholders (AGMS) for Financial Year 2022 and Extraordinary General Meeting of Shareholders (EGMS) yesterday at Pacific Century Place, Jakarta. The event was attended by members of the Company’s Board of Commissioners and Directors, both in person and online.

There are four main agendas in the AGMS and EGMS, including the presentation of the Financial Report for Fiscal Year 2022, approval of the dividend distribution, changes in the composition of the Company’s Board of Directors and Commissioners, and approval by the Company and PT Bukit Makmur Mandiri Utama (BUMA), a subsidiary of Delta Dunia Group, to issue US dollar-denominated Notes as an alternative form of financing.

Ronald Sutardja, President Director of Delta Dunia Group, said, “We would like to express our gratitude to all shareholders for their participation and continuous support, which has provided us with a strong foundation for the positive business performance throughout 2022, recording a significant revenue of USD1.554 billion or approximately IDR23.115 trillion, which is an increase of 71% compared to 2021. The Company also recorded a net profit of USD29 million or approximately IDR431.3 billion.”

Ronald added that during this meeting, the Company is committed to approving the use of a portion of the Company’s 2022 net profit for distributing dividends to shareholders totalling USD7.15 million or approximately IDR106.3 billion. Delta Dunia Group paid an interim dividend of USD5.15 million or approximately IDR76.6 billion to shareholders on December 30, 2022. The remaining USD2 million, or approximately IDR29.7 billion, will be paid as final cash dividends, scheduled to be announced on the Indonesia Stock Exchange and Delta Dunia Group’s websites. Meanwhile, the remaining profit for the year attributable to the parent Company, amounting to USD21.5 million or approximately IDR319 billion, will be used to strengthen the company’s capital.

The meeting also approved changes in the composition of the Company’s management by appointing Dian Sofia Andyasuri and Sorimuda Pulungan as Directors of the Company. The General Meeting also approved the reappointment of several members of the Company’s Board of Commissioners and Board of Directors whose terms of office had expired, resulting in the composition of the Board of Commissioners and the Board of Directors of the Company as follows:

  • Hamid Awaludin as President Commissioner and Independent Commissioner at the same time
  • Nurdin Zainal as Independent Commissioner
  • Peter John Chambers as Independent Commissioner
  • Ashish Gupta as Commissioner
  • Ronald Sutardja as President Director
  • Dian Sofia Andyasuri as Director
  • Sorimuda Pulungan as Director

The AGMS also approved the plan of the Company and/or PT Bukit Makmur Mandiri Utama (BUMA), a subsidiary of the Delta Dunia Group, to issue US dollar denominated bonds to obtain alternative financing. These Notes will be offered to overseas investors, with a maximum amount of USD500 million or approximately IDR7.43 trillion. The maximum interest rate of the Notes is 12% per annum. The maturity date of the Notes maximum in 2029.

“Our plan to issue Notes aims to continue strengthening BUMA’s financial position and operations. Such a new financing structure, with more favorable terms and conditions, will provide more flexibility to manage the Company’s liquidity and cash flow, for the development of its business activities,” concluded Ronald.

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About PT Delta Dunia Makmur Tbk.
Founded in 1990, PT Delta Dunia Makmur Tbk., through its main subsidiary, PT Bukit Makmur Utama (BUMA), is Indonesia’s second-largest coal mining services contractor by production volume, which provides mining services to some of Indonesia’s largest coal producers. PT Delta Dunia Makmur Tbk. is listed on the board of the Indonesia Stock Exchange (IDX Code: DOID). DOID is headquartered in Jakarta, Indonesia.

For more information, please contact:
Kamelia Mohamad
GM Corporate Communications
PT Delta Dunia Makmur Tbk.
South Quarter Tower A, Penthouse Floor Unit
Jl R.A. Kartini Kav. 8, West Cilandak Jakarta 12430
Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

Delta Dunia Group Posted a Revenue of IDR6.13 trillion in Q1 2023, Growing 23% from the Same Period Last Year

05 Jun 2023

  • Delta Dunia Group’s revenue in Q1 2023 was recorded at USD409 million or the equivalent of IDR6.13 trillion, which rose 23% from the last year period.
  • Both EBITDA and Operating Profit increased, and Capex is lower Year-on-Year (YoY).
  • Net Debt to EBITDA remains healthy at 2.15x.
  • In the first quarter of 2023, Delta Dunia Group’s Metallurgical coal and Infrastructure business contributed 15% of the group’s revenues.
  • Delta Dunia Group continued its share buyback program by purchasing 1.065 billion shares, or approximately 12.4% of DOID’s total shares (as of May 31).

 

Jakarta, June 2, 2023 – PT. Delta Dunia Makmur Tbk (Delta Dunia Group) today announced strong results for the first quarter (Q1) 2023. Delta Dunia Group’s diversification strategy and excellent operational performance resulted in a 23% Year-on-Year (YoY) increase in revenue to USD409 million, or equivalent to IDR6.13 trillion, driven by successful operations in Indonesia and Australia.

Delta Dunia Group’s performance was driven by a 9% increase in overburden volume, from 123.5 million bank cubic meters (bcm) in Q1 2022 to 134.4 million bcm in Q1 2023. Coal production also increased to 21.5 million metric tons, up 18% from 18.3 million metric tons in the first quarter of last year.

The group’s EBITDA increased by 6% YoY. Overall EBITDA margin declined by 3% YoY, mainly due to the 2% margin decrease in Indonesia, primarily due to cost inflation. The group’s cost efficiencies program has successfully offset most of the price inflation, which was significantly higher. The group’s Q1 operating profit was up despite higher depreciation and an increasing LIBOR. Due to large collections during April and May 2023, the group’s receivables levels are back to normal. A significant tax refund was also received, boosting the group’s cash in May 2023. Capex for Q1 2023 was 57% lower YoY at USD22 million due to the completion of project ramp-ups in Indonesia. The increased EBITDA and the decrease in Capex, accompanied by prudent financial management and the implementation of technology in the group’s operations during the Q1 2023 period, strengthened the group’s cash flow to USD14 million in Q1 2023.

Ronald Sutardja, President Director of Delta Dunia Group, said, “We are proud of the strong results of the first quarter of 2023. Our Indonesian and Australian operations continue to perform well. The diversification strategy continues to generate success, as demonstrated by further progress in increasing the share of the Metallurgical coal business and reducing the revenue share from the Thermal coal business. As much as 15% of the revenue booked in Q1 2023 came from Metallurgical coal operations in Australia. We are optimistic that the 25% revenue target from commodity diversification will be achieved by the end of 2023 while supporting consistent positive results throughout 2023.”

Delta Dunia Group continued the track record of winning and extending new contracts, a testament to the trust placed by the group’s world-class customers. In April 2023, BUMA Australia was awarded a new contract by BHP and Mitsubishi Alliance (BMA) for A$ 60 million or Rp 598.7 billion to provide coal mining and waste treatment services at the Saraji mine in central Queensland, Australia. This is the company’s third contract with BHP-Mitsubishi Alliance, one of the world’s largest metallurgical coal producers. The Saraji mine is one of Australia’s largest coal mines in terms of recoverable coal reserves. The contract has a term of 18 months and an option to extend for a further 18 months.

The group’s commitment to continue implementing sustainable operations in all mining activities demonstrates Partners’ trust in Delta Dunia Group. By Q1 2023, Delta Dunia Group has made significant progress in the group’s ESG initiatives, covering a wide area, particularly in managing carbon footprint and societal impact. Delta Dunia Group’s commitment to reducing its carbon footprint and contributing to Net Zero 2050 is demonstrated by replacing fuel with a higher biodiesel content and successfully maintaining a carbon intensity of 0.0016 tCO2e/ton in 2021 and 2022 through its Indonesian operations. BUMA also managed to maintain an energy intensity of 0.036 GJ/ton in 2021 and 2022. Starting this year, BUMA has also started a carbon footprint assessment at all sites in Indonesia. The data collected and assessed in detail will form the baseline of the company’s carbon footprint and will be used to determine the company’s carbon reduction targets. In 2022, around 12% of total waste in BUMA and BUMA Australia were recycled, and BUMA Australia has conducted progressive rehabilitation in an area of 48.6 hectares.

Another subsidiary of Delta Dunia Group, namely BISA Ruang Nuswantara (BIRU), which was established to promote positive changes on an immersive scale, including through education BISA Ruang Vokasi, has also made a positive contribution to the group’s ESG initiatives. As of Q1 2023, more than 2,100 students have participated in the BISA Ruang Vokasi program, which aimed to improve the students’ capacity to meet industry requirements. BIRU has also empowered 154 women to become entrepreneurs in their respective regions. In terms of the workforce, the group also recorded 18% of the management position throughout its subsidiaries is held by women, whereas 9% of the total workforce in BUMA Australia’s sites is First Nation members.

“All our efforts are a concrete manifestation of the group’s commitment to sustainability. By the end of 2023, we are confident we can reduce the contribution of our Thermal coal business to 75% and to further meet the lower-than-50 % target by 2028. To realize this commitment, we continue seeking opportunities in future-facing commodities (FFCs), such as metallurgical coal, copper, nickel, and lithium. These efforts align with our commitment to Environmental, Social, and Governance (ESG) responsibility. ESG has been an integral part of our business since the beginning,” Ronald concluded.

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About PT Delta Dunia Makmur Tbk.
PT Delta Dunia Makmur Tbk. was established in 1990 and, through its main subsidiary, PT Bukit Makmur Utama (BUMA), is a leading coal mining services contractor in Indonesia and Australia, providing mining services for some of the largest coal producers in both countries. PT Delta Dunia Makmur Tbk. is listed on the Indonesia Stock Exchange (IDX Code: DOID). DOID is headquartered in Jakarta, Indonesia.

For further information, please contact
Kamelia Mohamad
GM Corporate Communications
PT Delta Dunia Makmur Tbk.
South Quarter Tower A, Penthouse Floor Unit A-I
Jl R.A. Kartini Kav. 8, Cilandak Barat Jakarta 12430 Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

Delta Dunia Group, through BIRU, Supports the Government in Enhancing Vocational High School Students’ Skills through Industry-Based Training and Entrepreneurship Programs

25 May 2023

  • Delta Dunia Group, through its subsidiary PT. Bisa Ruang Nuswantara (BIRU), which operates in social education and environment, is committed to developing skills for 150 students in 5 Vocational High Schools (SMK) in Central Java.
  • BIRU has collaborated with 23 SMKs across Indonesia and has provided training programs for 2,113 students through the BISA Ruang Vokasi product.
  • BIRU targets 44,000 students, 2,500 scholarship awardees, and 2,000 participants in teacher competency development by 2027.

Surakarta, May 25, 2023 – PT. Delta Dunia Makmur Tbk., (Delta Dunia Group), through its subsidiary, PT. BISA Ruang Nuswantara (BIRU) today inaugurated a training and entrepreneurship program in collaboration with five Vocational High Schools (SMK) in Central Java witnessed by the Surakarta Regional Government. Through the BISA Ruang Vokasi (BRV) product, which focuses on work practices, and the Karya BISA (KRB) product, which focuses on entrepreneurship, BIRU is committed to long-term efforts to improve the academic knowledge, skills, and character of SMK students needed by the mining industry and the business world in particular, as well as the development of Indonesia’s future generations in general. In order to strengthen BIRU’s presence in Central Java, BIRU cooperates with five SMKs, namely SMKN 1 Klego (Boyolali), Christian SMK Pedan (Klaten), SMK Pancasila (Solo), SMK Warga (Solo), and SMK Tunas Harapan Pati (Pati). In the first batch of both BRV and KRB products partnering with the 5 SMKs, BIRU will train 150 SMK students for one year.

In his remarks at the signing ceremony, Drs. Teguh Prakosa, Vice Mayor of Surakarta, said, “Employing SMK graduates means not only creating income for SMK graduates, but also helping the local economy. This role makes SMK a driving sector for economic growth. On the other hand, SMK education is an investment in improving the quality of our human resources, which requires SMK’s ability to produce high-quality graduates who are ready for the workforce. I welcome the launch of this industry-based learning platform and have high hopes for its potential positive impact on the wider community. Businesses and industries must work together by providing SMKs with appropriate facilities and infrastructure. My gratitude goes to BIRU for making a tangible contribution, especially through its product ‘BISA Ruang Vokasi,’ a platform for development and industry-based training.”

Dian Andyasuri, Commissioner of BIRU, said, “BIRU, founded by Delta Dunia Group in 2023, has become an innovative social subsidiary focused on vocational education, waste management, and recycling. The establishment of BIRU is Delta Dunia Group’s long-term commitment to environment, social, and governance (ESG) initiatives, inseparable from the company’s operations. BIRU has two flagship products, namely BISA Ruang Vokasi (BRV) and Karya BISA (KRB), both of which focus on developing industry-based training and entrepreneurship. We are committed to continuously expanding these products and working with as many vocational schools throughout Indonesia as possible. Naturally, we will continue to work in synergy with various relevant government agencies and local industries from various sectors to achieve these goals.”

BRV is an industry-based skills training product aimed at improving the capacity and skills of SMK graduates to meet the needs of the industry. KRB promotes collaboration in the production of industrial tools, such as the Alugoro hammer and the Pasopati controller, according to standards. Proceeds from the sale of KRB’s industrial products subsidize the funding of the BRV program, thus providing broader and more affordable access to learning. The signing of this collaboration with SMKs in Central Java is an extension of the BRV and KRB products, which have been implemented since 2018. BRV has collaborated with 23 SMKs, and KRB has collaborated with 4 SMKs. BIRU aims to cover 44,000 students, 2,500 scholarship recipients, and 2,000 participants in teacher capacity building by 2027.

Kristiyanto Widiyawan, Director of BIRU, said, “Both of our products are representative of BIRU’s contribution to meeting the demand for skilled workers ready to be absorbed by the industry and to educating students to become entrepreneurs. BIRU is a solution that optimizes the link and matches between education and industry. Currently, BIRU has collaborated with PT Bukit Makmur Mandiri Utama, Darma Bakti Berau Foundation (PT Berau Coal), Ithaca, Universitas Sebelas Maret (UNS), as well as small and medium enterprises in the industry. Optimal synergy within this ecosystem will open wider access for vocational students.”

In the future, BIRU will present BRV in an online format called the BRV Platform. The BRV Platform is an e-learning program based on industry competency learning, enhanced by the virtual reality approach in its hands-on learning. This platform provides a deeper learning experience and enhances digital literacy by presenting different modules and using interactive multimedia tools such as videos and virtual simulations. BRV graduates will receive a National Standard Certificate (BNSP), which will support the alignment of graduates with the increasingly demanding needs of the industry.

Delta Dunia Group’s expansion into mining infrastructure, mining technology, and mine rehabilitation also contributes to the future demand for skilled workers. BIRU complements the Delta Dunia Group’s ecosystem by providing the human resources needed in the midst of dynamic industrial development, promoting sustainable practices.

“ESG has always been an integral part of Delta Dunia Group’s operations. Therefore, our commitment at Delta Dunia Group is to continuously innovate in social and environmental areas that can have a broad positive impact,” concludes Dian.

About PT Delta Dunia Makmur Tbk.
PT Delta Dunia Makmur Tbk. was established in 1990 and, through its main subsidiary, PT Bukit Makmur Utama (BUMA), is a leading coal mining services contractor in Indonesia and Australia, providing mining services for some of the largest coal producers in both countries. PT Delta Dunia Makmur Tbk. is listed on the Indonesia Stock Exchange (IDX Code: DOID). DOID is headquartered in Jakarta, Indonesia.

For further information, please contact:
Kamelia Mohamad
General Manager of Corporate Communications
PT Delta Dunia Makmur Tbk.
South Quarter Tower A, Penthouse Floor Unit A-I
Jl R.A. Kartini Kav. 8, Cilandak Barat, Jakarta 12430
Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

BUMA Australia Awarded AUD60 Million Contract by BMA for Saraji Mine

14 Apr 2023

BUMA AUSTRALIA AWARDED AUD60 MILLION CONTRACT BY BMA FOR SARAJI MINE

  • PT Delta Dunia Makmur Tbk’s subsidiary in Australia, BUMA Australia Pty Ltd, has been awarded a new contract from BHP and Mitsubishi Alliance to provide waste and coal mining services at the Saraji mine in central Queensland, Australia.
  • The new contract reinforces BUMA Australia’s position in the Bowen Basin, where it provides pre-strip and coal mining services at three BMA mines.
  • The new contract is expected to support the Company’s continued growth after a record-breaking 2022 performance.

Jakarta, 14 April 2023– PT Delta Dunia Makmur Tbk. (the “Company“) announced that its subsidiary, PT Bukit Makmur Mandiri Utama (“BUMA“), through its Australian subsidiary, BUMA Australia Pty Ltd (“BUMA Australia”), has been awarded a contract by BHP and Mitsubishi Alliance (“BMA“), to provide mining services at the Saraji mine, a metallurgical coal mine located in the Bowen Basin in central Queensland, Australia.

The contract from BMA is valued at AUD60 million for over an 18-month term, with an average annual production expected to be approximately 7 mbcm p.a. BUMA Australia will mine a new pit to be opened at Saraji Mine by BMA, which was first developed in 1974 and is one of Australia’s largest coal mines by recoverable coal reserves. The contract also has an additional 18-month extension option.

Ronald Sutardja, President Director of PT Delta Dunia Makmur Tbk , stated, “We are thrilled to extend our partnership with BMA and excited to have been selected for this new contract to provide mining services at the Saraji mine. As a company, we prioritize our customers’ interests, which we believe is the foundation of our enduring relationships with our reputable partners. Our team’s dedication and expertise in the mining industry, particularly in promoting and adhering to good mining practices, have strengthened our bonds with current clients and opened doors to new opportunities. This contract serves as a testament to Delta Dunia’s unwavering commitment to expanding our portfolio and advancing our metallurgical coal mining activities. We take pride in solidifying our position as an industry leader and eagerly look forward to contributing to our client’s success and driving growth for our business.”

In 2022, the Company successfully diversified its portfolio by expanding into metallurgical coal mining operations, which contributed 13% of its revenue, with the remaining 87% coming from thermal coal mining operations. Moving forward, the Company is committed to further diversifying its business by increasing mine site rehabilitation activities and developing infrastructure projects in Indonesia. Additionally, the Company aims to decrease its reliance on thermal coal to less than 50% of its group revenue by 2028. All of these efforts align with the Company’s dedication to environmental stewardship, social responsibility, and strong governance. The Company remains committed to building a sustainable future guided by strong ESG principles.

This new contract reinforces BUMA Australia’s strong foothold in the Bowen Basin, where it now provides pre-strip and coal mining services at three BMA mines in Queensland: Blackwater, Goonyella Riverside, and Saraji. In addition, BUMA Australia provides coal mining services at Bowen Coking Coal’s Broadmeadow East and Burton Mines.

Colin Gilligan, CEO of BUMA Australia, said, “We are proud of our long-standing relationship with BMA, Australia’s largest producer and supplier of seaborne metallurgical coal, and delighted to have been awarded this new contract for the Saraji mine. This contract award underlines our customers’ continued confidence in our professionalism and significant contribution to their business growth. It also reflects BUMA Australia’s long and extensive track record of safe, efficient, and consistent delivery of mining services to BMA.”

The contract extension is expected to further solidify the foundation that will support the Company’s continued growth following last year’s record performance across its operations:

  • In 2022, the Company achieved its best financial performance to date, recording revenue of USD1,554 billion and a net profit of USD29 million.
  • Overburden removal increased to 547 mbcm in 2022, a 68% year-on-year increase.
  • Coal production also increased to 87 million tons in 2022, a 61% year-on-year increase.
  • The Company is actively managing its debt position, reducing Net Debt to EBITDA from 3x in 2021 to 2x in 2022, with around 60% of its debt due in 2026 or later.

About PT Delta Dunia Makmur Tbk.
PT Delta Dunia Makmur Tbk. was established in 1990 and through its primary subsidiary, PT Bukit Makmur Utama (BUMA), is the second largest coal mining contractors in Indonesia, based on production volumes, providing service to some of the largest coal producers in Indonesia. PT Delta Dunia Makmur Tbk. is listed on the Main Board of the Indonesian Stock Exchange (IDX ticker: DOID). DOID is headquartered in Jakarta, Indonesia.

About BUMA Australia
BUMA Australia was established in 2021 to acquire the Open Cut Mining business of Downer (which has been in continuous operation since 1922). This acquisition included the transition of people, mining services contracts, assets, systems and IP from a business which successfully provided mining services in diverse locations and across many commodities. With a strong focus on delivering optimal outcomes for clients and a strong commitment to safety, innovation, and technology, BUMA Australia is one of Australia’s leading mining contractors.

For further information, please contact:
Kamelia Mohamad
GM Corporate Communications
PT Delta Dunia Makmur Tbk.
South Quarter Tower A, Penthouse Floor Unit
Jl. R.A. Kartini Kav. 8, Cilandak Barat Jakarta 12430
Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

PT Delta Dunia Makmur Tbk. Reaffirms Its ESG Commitment in Collaboration with TORAJAMELO

30 Mar 2023

Jakarta, 30 March 2023 – As an effort to drive business growth in the environmental and social sector, PT BISA Ruang Nuswantara (BIRU), a subsidiary of PT Delta Dunia Makmur Tbk (Delta Dunia) focusing on social aspects by promoting education, vocational training, waste management, and recycling, signed a collaboration with TORAJAMELO today, a business line providing various lifestyle needs with B Corp certification that prioritizes environmental sustainability and supports the empowerment of indigenous peoples, especially women, while also being the initiator of AHANA. Through this collaboration, BIRU sets to make investments with a positive impact by committing to provide funds in the form of convertible debt worth IDR 7.5 billion, which later will be used for business expansion, thus generating social impact and increasing AHANA’s operational costs.

AHANA comes from Sanskrit which translates into “light that never goes out.” AHANA is a platform providing curated local brands as well as promoting environmental sustainability by means of TORAJAMELO. Throughout its journey, TORAJAMELO has collaborated with several companies to create quality local souvenirs that put forward a positive impact on the environment. AHANA is expected to expand its collaboration with like-minded parties towards developing quality traditional products and supporting the principles of environmental sustainability created by Indonesian women entrepreneurs to gain wider market access. AHANA also plans to launch re:mello, an initiative to assist companies in advancing their circular agendas.

Departing from a common vision to contribute to society and local communities while positively impacting the environment or Environmental, Social, and Governance (ESG) initiatives, the President Director of PT Delta Dunia Makmur Tbk, Ronald Sutardja expressed his enthusiasm for the collaboration between BIRU and TORAJAMELO. “Our commitment to ESG principles has become an integral part of the company’s values since it was founded. We will also ensure that our subsidiaries will carry out this commitment, especially BIRU, which focuses on environmental and social entrepreneurship. Our support for TORAJAMELO embodies our commitment to ESG acceleration, in terms of environmental sustainability and social impact, including supporting women’s empowerment in Indonesia, specifically in areas where development and access to markets are still deemed limited. We hope that the assistance we provide will not only help to advocate for women entrepreneurs’ welfare but also support environmental sustainability. By doing so, we can increasingly make positive contributions to the local communities.”

Delta Dunia has previously assisted a women empowerment program through Wifepreneur, a program fostered by its subsidiary, PT Bukit Makmur Mandiri Utama (BUMA). The Wifepreneur program provides BUMA’s employees’ wives and female employees with the opportunity to develop the necessary skills to become competitive entrepreneurs. As of 2022, 157 women have participated in the program and produced 126 brands, including food and beverage products, fashion, services, and souvenirs.

Furthermore, Delta Dunia has launched its community-based business empowerment initiatives through BUMA to cultivate sustainable economic growth for women. This initiative has resulted in several brands, such as Eco Sae Migunani (recycling business), Putri Maluang Batik (batik artisans), and Inaran Village Women’s Association, which is committed to supporting women entrepreneurs in Inaran Village.

The collaboration with TORAJAMELO will also help create a positive impact on BUMA’s female employees, and the employees’ wives who become members of BUMA’s Wifepreneur program, in which selected participants who were appointed by TORAJAMELO will receive entrepreneurial development training to improve their business competitiveness.

Dinny Jusuf, Director of TORAJAMELO, expressed her appreciation for this partnership. “We highly appreciate this partnership. AHANA’s presence is expected to provide wider market access for women entrepreneurs while advancing the community of women entrepreneurs to create environmentally friendly products with high social value so that they can have a wider impact on craftsmen, as well as female artisans. On the other hand, AHANA’s presence has certainly helped BIRU and Delta Dunia to make positive impact investments to accelerate the environmental sustainability aspect in ESG while increasing positive contributions to the surrounding community.”

“We hope that the collaboration between Delta Dunia through BIRU and TORAJAMELO can accelerate the scale of positive impact investment while supporting the Indonesian government’s efforts to encourage circular economic growth and increase the empowerment of local women in Indonesia. By increasing the competitiveness values of products made by Indonesian female entrepreneurs, Indonesians will grow to love products with heavy cultural value and helping it to achieve international recognition so that it could introduce Indonesia’s cultural heritage to a wide audience, including the global market,” Ronald concluded.

About PT Delta Dunia Makmur Tbk.
Founded in 1990, PT Delta Dunia Makmur Tbk., through its main subsidiary, PT Bukit Makmur Utama (BUMA), is Indonesia’s second-largest coal mining services contractor by production volume, which provides mining services to some of Indonesia’s largest coal producers. PT Delta Dunia Makmur Tbk. is listed on the board of the Indonesia Stock Exchange (IDX Code: DOID). DOID is headquartered in Jakarta, Indonesia.

About TORAJAMELO
TORAJAMELO is an award-winning, B Corp-certified slow-living impact business based in Jakarta, Indonesia. TORAJAMELO works with traditional weaver communities and connects them to the market through a range of products including apparel, accessories, souvenirs, and homeware.

Partnering with approximately 1,200 weavers from four communities in South and West Sulawesi, and six communities in East Nusa Tenggara, TORAJAMELO has an offline presence in Jakarta, Bali, Singapore, and Paris and plans to expand the ethical impact of slow lifestyle to other parts of the world.

For further information, please contact:
Kamelia Mohamad
GM Corporate Communications
PT Delta Dunia Makmur Tbk.
South Quarter Tower A, Penthouse Floor Unit
Jl. R.A. Kartini Kav. 8, Cilandak Barat Jakarta 12430
Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

Delta Dunia Makmur Records Significant Business Growth in 2022 with Total Revenue of USD 1.554 Billion, an Increase of 71% Compared to the Previous Year

15 Mar 2023

PT Delta Dunia Makmur Tbk recorded a positive performance in 2022 due to its successful diversification strategy and rising production and prices for global coal commodities.

Jakarta, 15 March 2023 – PT. Delta Dunia Makmur Tbk. managed to record a positive financial performance throughout 2022, recording revenues of up to USD 1.554 billion, or around IDR 24 trillion, an increase of 71% compared to the previous year. The company also recorded a net profit of USD 29 million or approximately IDR 448.1 billion. The company also distributed a total dividend of USD 5.15 million (approximately IDR 79.8 billion), which equals IDR 10.17 per share. Meanwhile, the company’s EBITDA recorded a better position, worth USD 365 million or around IDR 5.6 trillion, an increase of 56% compared to the previous year.

Ronald Sutardja, President Director of PT. Delta Dunia Makmur Tbk. said, “Apart from the increase in production from Indonesia and global coal prices, the company’s positive performance throughout 2022 shows the success of the diversification strategy implemented from Q4 2021 and throughout last year. The diversification includes metallurgical coal mining activities, notably through the acquisition of BUMA Australia in December 2021. Since the acquisition, the value of BUMA Australia’s mining services contracts has increased fourfold from AUD 0.6 billion (IDR 6.1 trillion) to AUD 2.3 billion (IDR 23.6 trillion). Consolidated production volumes have also increased significantly, as evidenced by the removal of 547 million bank cubic meters (BCM) of overburden. Meanwhile, the company’s coal production increased to 87 million tonnes, a 61% increase compared to 2021.”

Throughout 2022, the Company further diversified its business portfolio, with 13% of revenue coming from metallurgical coal mining operations and 87% from thermal coal mining operations. Going forward, the Company is committed to further diversifying its business, increasing mine site rehabilitation activities, and developing infrastructure business in Indonesia. The Company initiated a share buyback program in 2022, resulting in a share buyback of 712 million shares, representing 8.3% of the shares held by the Company as of 31 December 2022. The Company continued the shares buyback into 2023, and as of 14 March 2023, the number of shares bought back increased to 842 million shares, representing 9.8% of the shares held by the Company.

In addition, in November 2022, the company invested US$3 million (IDR 46.5 billion) in Asiamet Resources Limited (ARS) through a private placement, increasing its stake from 15.3% to 24.2%. “The investment will later be used to complete a bankable feasibility study for the Beruang Kanan Main (BKM) copper mining project to finance the BKM development project and the company’s working capital. Going forward, our strategy is to continue to seek opportunities in future-facing commodities (FFCs),” said Ronald.

All these achievements are also based on an unwavering commitment to Environmental, Social, and Governance (ESG). In 2022, the company recorded several achievements related to its ESG commitments, such as maintaining carbon intensity at 0.016 tonnes CO2e/tonne of production for three consecutive years despite increasing production volumes, using B30 fuel for heavy equipment since 2019, and applying the circular economy approach to waste management. In addition, 40% of the total truck fleet operated by BUMA Australia are diesel-electric-powered trucks with lower carbon emissions and fuel consumption.

The company has budgeted IDR 19.5 billion in 2022 for economic empowerment, education, health, and other community-based initiatives. One of the company’s initiatives is the collaboration between its subsidiary, BUMA, and vocational high schools (SMK) to roll out several programs to prepare soon-to-be graduates for the workforce. Through this activity, BUMA recruited 1,464 talented students and prepared them to become operators and mechanics. The collaboration also enabled the company and BUMA to reduce the unemployment rate among SMK graduates while meeting the human resource needs of the mining industry.

“We are committed to continuously taking strategic steps in all our operational areas to support environmental sustainability and sustainable development, by adopting the principles of technology-based operational excellence with a strong ESG focus and diversifying towards a low-carbon sustainable economic portfolio,” concluded Ronald.

About PT Delta Dunia Makmur Tbk.
Founded in 1990, PT Delta Dunia Makmur Tbk., through its main subsidiary, PT Bukit Makmur Utama (BUMA), is Indonesia’s second-largest coal mining services contractor by production volume, which provides mining services to some of Indonesia’s largest coal producers. PT Delta Dunia Makmur Tbk. is listed on the board of the Indonesia Stock Exchange (IDX Code: DOID). DOID is headquartered in Jakarta, Indonesia.

For further information, please contact:
Kamelia Mohamad
GM Corporate Communications
PT Delta Dunia Makmur Tbk.
South Quarter Tower A, Penthouse Floor Unit
Jl. R.A. Kartini Kav. 8, Cilandak Barat Jakarta 12430
Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com

Moody’s Revises BUMA Outlook to Stable, Affirms Ba3 Rating

21 Feb 2023

Jakarta, February 21, 2023 – Global credit rating agency, Moody’s Investors Service (Moody’s), has upgraded PT Bukit Makmur Mandiri Utama (BUMA) outlook to stable from negative and affirmed the company’s rating to Ba3 on its Corporate Family Rating (CFR) and Senior Secured Notes (SSN). BUMA’s upgraded outlook is a testament of the company’s solid progress in adopting effective strategies to achieve growth, diversify operational activities, generate stronger credit metrics, as well as reducing credit concentration risk.

Ronald Sutardja, President Director of PT Delta Dunia Makmur Tbk, BUMA’s parent company, said, “BUMA’s revised outlook is proof that the BUMA family has performed at its best. This achievement is in line with Delta Dunia’s strategy to continue enhancing our core business as a leading mining services developer in Indonesia and Australia and strengthening our operational quality across all stages of mining. With the upgrade of BUMA’s rating by Moody’s, we hope to further strengthen the confidence of investors and all other stakeholders.”

According to Moody’s, BUMA’s governance is one of the key drivers of the stable rating, especially as Moody’s also expects BUMA to maintain a conservative financial policy for investors and shareholders. This strategy has also led Moody’s to change BUMA’s governance profile score from G-4 to G-3 and to revise the company’s environmental, social and governance (ESG) score from CIS-4 to CIS-3.

“Our ESG credit score upgrade is one of our efforts to meet global resource demands in an efficient and sustainable manner. We are committed to continue implementing strategic measures across our operations, both those currently in place, and those we will develop in the future, to realize environmental sustainability and sustainable development. Some of our strategies include adopting the principles of technology-based operational excellence with a strong ESG focus and diversifying towards a resilient sustainable growth portfolio in a low-carbon economy,” Ronald concluded.

Please visit the following link for more information: https://www.moodys.com/research/Moodys-revises-BUMAs-outlook-to-stable-affirms-Ba3-ratings–PR_473935.

About PT Delta Dunia Makmur Tbk.
Established in 1990, PT Delta Dunia Makmur Tbk. through its main subsidiary, PT Bukit Makmur Utama (BUMA), is Indonesia’s second largest coal mining services contractor by production volume, which provides mining services to numerous of Indonesia’s largest coal producers. PT Delta Dunia Makmur Tbk. is listed on the board of the Indonesia Stock Exchange (IDX Code: DOID). DOID is headquartered in Jakarta, Indonesia.

About PT Bukit Makmur Mandiri Utama
Established in 1998, PT Bukit Makmur Mandiri Utama (BUMA) is a mining services contractor in Indonesia and Australia which provides open pit mining services for thermal and metallurgical coal producers. BUMA is 100% owned (minus one share) by PT Delta Dunia Makmur Tbk. .

For further information, please contact:
Kamelia Mohamad
GM Corporate Communications
PT Delta Dunia Makmur Tbk.
South Quarter Tower A, Penthouse Floor Unit
Jl. R.A. Kartini Kav. 8, Cilandak Barat Jakarta 12430
Phone: +6221 3043 2080
Email: communications@deltadunia.com
Website: www.deltadunia.com