JAKARTA - PT Timah Tbk (TINS) posted a revenue growth in 2018 of 19.85% to Rp 11.05 trillion. The tin business is still the backbone of being the biggest contributor to that income.
Sales of tin and tin solders were valued at Rp 10.15 trillion or contributed 91.86 percent to total revenue last year. The remaining contribution came from five other business segments.
However, the revenue growth was not offset by the growth in net income which only rose by 5.76% to Rp 531.36 billion in 2018.
The swollen cost of revenue, which was quite large, at 21.85% to Rp 9.37 trillion, was the main reason for the hampered growth in net income. All items in the cost of revenue increased, and the largest item was raw material for tin ore which rose 29.92% to Rp 5.82 trillion.
This year, PT Timah targets the net profit of Rp 1.2 trillion. "Or maybe more than that, depending on the quality of people's mining production and production costs and the development of metal prices and US dollar exchange rates," said Emil Ermindra, Finance Director of PT Timah Tbk, when contacted by KONTAN, Friday (8/3).
Over the past year, PT Timah Tbk produced 44,514 tons of tin ore, up 42.77%. As much as 50.10% is onshore mining and 49.90% of mining in the sea or offshore. While the volume of tin production last year reached 33,444 metric tons (mt), up 10.56%. In 2017, PT Timah produced 30,249 mt of tin. (AM/LM)