PT Indo Tambangraya Megah Tbk : ITM Analyst Presentation 2Q24

About this update from Pt Indo Tambangraya Megah Tbk

Analysts Meeting 2Q24 Performance Result 15 August 2024 Highlights 2Q24 highlights - preparing for the home stretch of 2024 B U S I N E S S P E R F O R M A N C E Production Sales ASP 4.3 Mt 5.8 Mt $94/ton -12% QoQ / -1% YoY 16% QoQ / 8% YoY -3% QoQ / -17% YoY Revenue EBITDA Net Profit $560 Mn $114 Mn $67 Mn 15% QoQ / -9% YoY 34% QoQ / -33% YoY 10% QoQ / -46% YoY G O O D A N D R E S P O N S I B L E Mentawir nursery inauguration Mentawir nursery was officially inaugurated by President Jokowi. Mentawir nursery is a nursery facility assisted by ITM, which will supply seeds to support new capital city, Nusantara, forestry and ecological aspect. G R E E N E R , S M A R T E R T R A N S F O R M A T I O N Growing solar-based renewable capacity IBP, ITM subsidiary, continues to grow the renewable contracted capacity by 4.7 MWp during 2Q24, resulting in a total solar-based renewable capacity of 34.5 MWp, including Bunyut project, as of Jun 2024. 5 Leveraging our growth platform: decarbonization & digitalization DECARBONIZATION Decarbonization strategy through emissions reduction and removal enhancement c Energy efficiency Energy management c Operational excellence Energy substitution Renewable energy mix c Biofuel consumption Carbon sequestration Carbon credit Forest revegetation c New greener business Renewable business Nature based solutions DIGITALIZATION Utilizing digital technology to enhance efficiency and improve productivity c Operational efficiency improvements Operations management Fleet management Energy consumption Infrastructure & logistics management Supply chain management c Port business Sales & marketing improvements Inventory management Product quality management 7 Latest reserves and resources audit result Reserves Reserves 64 Mt 42 Mt Total ITM reserves as of Dec 2023 (Mt) Resources Resources 695 129 Mt Mt Updated 93 375 Reserves 77 Mt Resources 143 Mt Reserves 78 Mt GPK TCM IMM Resources NPR** TIS** 602 Mt BEK Reserves 3 Mt Resources 11 Mt JBG Reserves 107 Mt Reserves Resources 2 Mt 483 Resources Mt 67 Mt Previous* 281 Total ITM resources as of Dec 2023 (Mt) Updated 817 2,130 Previous* 1,313 Notes: *) Previous reserves and resources amount excludes TIS. **) The latest reserves and resources audit as prepared by competent persons (considered suitably experienced under the JORC Code) is for all mine concessions, with exception of NPR and TIS. 8 Coal Market Trends Global thermal coal market COAL DEMAND AND SUPPLY CHANGE - 2024e VS 2023 Unit: Mt SUPPLY DEMAND P ac i fi c TRENDS DEMAND Peak summer demand will support the HCV coal market in JKT (1) amid ongoing sanctions on Russian coal. Strong hydropower in China and the monsoon in India will reduce imported coal demand for the lower-CV market. Atlantic -18 -26 US -2 +2 Colombia +25 Europe -8 So uth Afr ica -4 +31 Russia -13 Other N. Asia +20 -11 +13 China +26 +4 South Asia Others Indonesia +3 Australia China : Strong hydro generation will reduce coal-fired output, but thermal coal imports should remain stable due to competitive pricing in coastal provinces in 2H24. India : Coal-fired generation is expected to ease slightly in 3Q24 due to the monsoon but will remain high. The government is extending import directives to utilities to normalize imports amid strong domestic production. JKT : Summer demand could support power demand in 3Q24, but firm nuclear and stronger renewables will curb coal demand growth. Europe : Uneconomic coal-fired generation, high stockpiles, and strong nuclear and renewable generation continue to limit coal burn. SUPPLY Global exports from most regions have performed well this year. Short-term risks center around weather in key producing countries, while Indonesian suppliers may struggle to maintain outflows due to limited demand growth from key importing countries. Indonesia : Coal production remains strong despite high rainfall in some key regions. Australia : Steady exports with slightly tightening HCV supply as producers increase high-ash shipments to China, reducing pressure on HCV market. Others : Russia continues to face logistical constraints to far eastern ports and increased competition from other origins. Logistical challenges in South Africa persist, while wet weather in Colombia could slow production in 2H24. Note: (1) JKT = Japan, South Korea and Taiwan 10 Attention : This is an excerpt of the original content. To continue reading it, access the original document here .

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