Automotive Player Dharma Polimetal Eyes Acquisitions With $25 Million Capex Fund

JAKARTA, Investortrust.id — PT Dharma Polimetal Tbk (DRMA), a key manufacturer of automotive components in Southeast Asia’s largest car market, is shifting into high gear for 2026. Following a resilient fiscal year where it successfully outpaced industry-wide stagnation, the company has announced a double-pronged strategy of aggressive capital spending and consistent shareholder returns.

In an Indonesian automotive market currently grappling with sluggish domestic sales, DRMA is positioning itself as a high-growth outlier. By maintaining a steady Rp 400 billion ($25.1 million) capex budget and signaling a readiness for acquisitions, the company is betting on its ability to capture a larger share of the evolving supply chain—particularly as the nation pivots toward electric vehicle (EV) component manufacturing. The 50% dividend payout serves as a "confidence anchor" for investors, proving that the company’s internal cash flows are robust enough to fund both rapid expansion and immediate investor gratification.

Acquisitions on the Horizon

The 2026 capex plan is designed to be highly flexible. While the primary focus is on developing new product lines to maintain its competitive edge, President Director Irianto Santoso revealed that the funds are also a war chest for inorganic growth. The company is actively scouting for acquisition targets that could broaden its business portfolio.

Funding for these ventures will rely on a "healthy capital structure," utilizing a mix of strong internal cash reserves and existing bank facilities. Irianto emphasized that this maintenance of financial flexibility is crucial for moving quickly when strategic opportunities arise in the market.

Outperforming the Industry Slump

DRMA’s 2025 financial report highlights a significant "divergence" from the broader market. While the domestic automotive industry faced significant headwinds, DRMA managed to grow its top-line sales by 7% year-on-year to Rp 5.93 trillion ($372.9 million).

The company's net profit reached Rp 667 billion ($41.9 million) before adjustments, demonstrating that its core business remains highly profitable. This solid performance is what allowed the 2026 Annual General Meeting of Shareholders (RUPST) to approve a cash dividend of Rp 70 ($0.004) per share, totaling Rp 329.4 billion ($20.7 million).

Leadership Shake-up: The Astra Connection

The RUPST also marked a significant change in the boardroom. Yosaphat Panuturi Simanjuntak, who has been a pillar of the company’s leadership since 2006, officially stepped down. In a move to strengthen its operational ties with the wider Astra ecosystem, the company appointed Dian Eka Hartiningsih as his successor. Hartiningsih brings nearly two decades of high-level automotive experience, most recently serving as Vice President Director at PAKO Group, a subsidiary of PT Astra Otoparts Tbk (AUTO).