Timah

Stock Quote Timah - TINS:

Business Summary

Timah is the world's third-largest tin producer and the company accounts for about 29 percent of Indonesia's total tin production. Around 95 percent of the company's production is exported to foreign countries, particularly China is an important market.

In 2014 the tin miner planned to expand its business to Myanmar after the latter had opened its economy to foreign direct investment. However, tin reserves at the targeted location were disappointing and thus plan were halted. At the start of 2015, Timah is still studying the acquisition of a tin smelter in Myanmar.

Indonesia implemented various new rules for tin exports in an attempt to boost global tin prices and combat illegal mining. It required all tin ingot exports to be traded through the Indonesia Commodity and Derivatives Exchange (ICDX) and placed curbs on shipments in a move to develop downstream industries.

Indonesia is the world’s second-largest tin producer (after China) and the world's largest tin exporter. The islands Bangka and Belitung, off the coast of Sumatra account for 90 percent of the country's annual tin export.

Timah's Operational Highlights:

	2009	2010	2011	2012	2013	2014	2015	2016
Numbers of Concession (unit)	110	115	117	117
Mining Area (hectare)	591,325	512,764	513,042	512,655
Tin Reserves (ton)	347,502	373,978	387,967	250,323	259,432
Tin-in-Concentrate Produced (ton Sn)	37,701	37,615	37,487	29,776	26,204	32,319	26,361	24,121
Tin Metal Produced (ton)	45,086	40,413	38,132	29,512	23,718	27,550	27,431	23,756
Metal Sales (ton)				34,934	23,237	26,907	30,087	26,677
Average Tin Price Received (USD/ton)	18,692	19,981	26,714	21,505

^{Source: Timah, Annual Report 2016}

Timah's Financial Highlights:

	2010	2011	2012	2013	2014	2015	2016
Operating Revenue/Sales	8,339.3	8,130.1	7,822.6	6,239.2	7,518.0	6,874.2	6,968.3
Gross Profit	1,924.1	1,883.4	1,314.1	1,414.4	1,615.3	686.0	1,094.9
Net Income	947.9	896.8	431.6	580.6	673.0	101.6	251.8
EBITDA		1,528.1	1,077.4	1,191.3	1,524.4	748.4	1,046.8
Operating Income	1,310.8	1,317.6	1,068.8
Income before Tax	1,127.3	1,187.4	646.6	837.7	1,024.8	168.2	415.0
Total Assets	5,881.1	6,569.8	6,130.3	8,244.0	9,843.8	9,279.7	9,548.6
Total Liabilities	1,678.0	1,972.0	1,572.1	2,991.2	5,344.0	3,908.6	3,894.9
Earnings per Share¹	188	178	86	102	90	14	34
Cash Dividend per Share¹	94	89	43	58	45	4	0

^{in billion IDR rupiah unless stated otherwise
¹ in IDR rupiah
Source: Timah, Annual Report 2016}

Future Projection Timah's Financial Highlights:

	2018	2019	2020F	2021F	2022F
Net Revenue	11,017.0	19,303.0	15,497.0	16,129.0	17,733.0
Net Profit	132.0	(611.0)	(504.0)	(107.0)	180.0
EBITDA	683.0	615.0	632.0	1,404.0	1,899.0
P/E Ratio (x)	5.8	n.a	n.a	n.a	25.1
P/BV (x)	3.9	1.5	0	0	0
ROAA (%)	0.6	(3.5)	(2.6)	(0.6)	(1.0)

^{in billion IDR, unless otherwise stated
Source: Danareksa Sekuritas (23/06/2020)}