Antam Net Profit Surges 34% on Bullion Demand and Downstream Nickel Expansion

JAKARTA, Investortrust.id — State-backed diversified miner PT Aneka Tambang Tbk (ANTM) delivered a 34% surge in first-half net profit, fueled by resilient domestic physical gold demand and expanding shipments of refined ferronickel and bauxite.

The Jakarta-listed mining company, commonly known as Antam, posted net profit of Rp 6.91 trillion ($434.59 million) for the six months ended June 30, 2026, up from Rp 5.14 trillion ($323.27 million) in the prior-year period. Earnings before interest, taxes, depreciation, and amortization (EBITDA) advanced 35% to Rp 9.62 trillion ($605.03 million), while operating profit climbed 38% to Rp 8.44 trillion ($530.82 million).

The earnings acceleration highlights how Indonesia's state mining champions are capitalizing on heightened global bullion prices and mandated domestic mineral processing reforms. By capturing higher margins across refined metals and building a fortress balance sheet, state resource conglomerates are positioning themselves to fund capital-intensive energy transition supply chains across the Pacific Rim.

For Antam, operational discipline translated into an expanding cash stockpile, providing the capital expenditure liquidity required to accelerate electric vehicle battery joint ventures and domestic smelting infrastructure without straining its leverage metrics.

Domestic Bullion Demand and Nickel Volumes Drive Top-Line Growth

Consolidated net revenue grew 6% year-on-year to Rp 62.71 trillion ($3.94 billion), with the domestic market accounting for Rp 60.15 trillion ($3.78 billion), or 96% of total commercial transactions.

"Antam maintained solid financial performance throughout the first half of 2026, underpinned by strengthened operational execution and disciplined working capital, cash flow, and liquidity management," Antam President Director Untung Budiharto said in a regulatory filing submitted to the Indonesia Stock Exchange on Saturday, Aug. 29, 2026.

Gold remained the primary revenue driver, contributing 80% of total sales at Rp 50.39 trillion ($3.17 billion). Total gold sales volume reached 581,286 troy ounces (18,080 kilograms / 19.93 US tons), while production from company-owned mine sites stood at 13,921 troy ounces (433 kilograms).

The nickel division recorded substantial expansion, with sales of ferronickel and nickel ore jumping 32% to Rp 10.41 trillion ($654.72 million), representing 17% of total company revenue. Antam produced 7.78 million wet metric tons (8.58 million US tons) of nickel ore, delivering 6.77 million wet metric tons to regional smelters, while ferronickel production reached 7,788 metric tons of nickel contained in ferronickel (TNi).

The bauxite and alumina division generated Rp 1.88 trillion ($118.24 million) in net revenue, marking a 28% increase. Chemical-grade alumina output rose 12% to 100,257 metric tons (110,514 US tons), supported by bauxite ore production of 1.28 million wet metric tons (1.41 million US tons).

Cash Reserves Swell to Rp 9.23 Trillion to Fund Industrial Pipeline

Higher operational margins lifted total corporate assets by 27% to Rp 61.27 trillion ($3.85 billion), while total equity expanded 14% to Rp 38.53 trillion ($2.42 billion).

Antam closed the first half with cash and cash equivalents of Rp 9.23 trillion ($580.50 million), following a sequential recovery in operating cash flow from the first quarter.

"With profitability remaining solid on a year-on-year basis, our operational priority is ensuring these earnings convert into healthy, sustainable cash flows to support corporate development," Antam Director of Finance and Risk Management Arini Kasmira explained.

The liquidity buffer will fund upcoming refining assets, including the company's prospective precious metals refinery in East Java's Java Integrated Industrial and Ports Estate (JIIPE) and the Smelter Grade Alumina Refinery (SGAR) in Mempawah, West Kalimantan.

Brokerages Reiterate Buy on Downstream EV Battery Catalysts

Equity research analysts at domestic investment firm KB Valbury Sekuritas maintained their Buy rating on ANTM with a 12-month target price of Rp 4,000 ($0.25), representing an implied upside of more than 26%.

The brokerage noted that the target price equates to a forward price-to-earnings multiple of 9.5 times, trading at a discount to its five-year historical average of 0.8 standard deviations.

KB Valbury projects Antam's full-year 2026 net profit will reach Rp 8.9 trillion ($559.75 million) on total revenue of Rp 99.8 trillion ($6.28 billion), assuming average global gold realizations of $4,400 per troy ounce and benchmark nickel prices of $17,450 per metric ton ($7.92 per pound).

Analysts cited downstream execution milestones—most notably integrated electric vehicle battery cell ventures alongside Contemporary Amperex Technology Co. Ltd. (CATL) and Zhejiang Huayou Cobalt—as critical structural tailwinds, while cautioning that regulatory mineral quota approvals (RKAB) and commodity price swings remain key external variables.