FOR IMMEDIATE RELEASE For further information, please contact: Agung Nugroho, Corporate Secretary telephone fax e mail website : +62 (21) 2352 8000 : +62 (21) 344 4012 : corporatesecretary@ @pttimah.co.id : www.timah.com TINS Sales Volume Increasess to 26,907 Mton TINS Profit Increases to Rp637.95 Billion Jakarta, 4 th March 2015 Today the company submits Annual Financial Statements ending 31 st December 2014. As of the end of 2014 the company successfully recorded an increasee in almost all lines of: Revenue increases to Rp7. 37 trillion, from Rp5.85 triliun Production of tin ore increases to 32,319 ton, from 26.204 ton Production of refined tin increases to 27,550 Mton, from 23.718 ton Sales of refined tin increases to 26,907 Mton, from 23,237 Mton Assets increases to Rp9.75 trillion, from Rp8.24 trillion Percentage of TINS export to total Indonesia tin export increases to 40%, from 30% In the year of 2014 PT TIMAH recorded significant increase for its sales volume to 26,907 Mton compared to the previous year 23,237 Mton, so that TINS performance remains charming with the recorded net profit increase into Rp637.95 billion. Increased profit of TINS can t be separated from the ongoing efficiency efforts to reduce production costs. PT TIMAH remains consistent in realizing its business strategy, which is based on 4 pillars to ensure long term sustainability of the company, namely: 1) Tin mineral and other associated mineral with the establishment of monazite mini plant located in Muntok, West Bangka; 2) Non tin mining with the merger of its 2 subsidiaries, so it will be more focused; 3) Downstream mining products, such as tin solder and tin chemical produced by one of its subsidiaries, PT Timah Industri; 4) Competency based business, such as by entering the property business in cooperation with 2 construction State Owneis expected to generatee cash in 2015, the second one is by transforming Enterprises (BUMN) for the 176 Ha of land in Bekasi Indonesia and
the status of RSBT Hospital into limited company to be more developed and able to generate more cash In addition, other business development projects undertaken by PT Timah Industri as one of the subsidiary companies, namely establishing intermediate plant of TGA Stab which is a series of processing raw materials into final products available for the market (tin chemical), and another project is transferring the production site of solder from Kundur in Riau Archipelago to Cilegon in Banten following the PerMendag No.44/2014. For the issue of mining partnership, PT TIMAH has always been pursuing the better practice of tin governance, as well as the better partnership pattern which complies with the applicable regulation. Our Board of Directors is optimistic that the tin industry is still a promising business, supported by the more conducive regulations and, of course, all stakeholders. Looking at all the above facts, we can say that the year of 2014 is the rise of Indonesian tin industry. In compliments toward the facts, PT TIMAH achieves many awards, one of the them is for the awareness of the company toward the environment, making PT TIMAH as one of 20 Green Companies listed at Indonesian Stock Exchange (IDX). In term of Good Corporate Governance (GCG), the company is also awarded The Trusted Company by the Indonesian Institute for Corporate Governance (IICG). Furthermore, a prestigious media in the country awarded PT TIMAH as The Best State Owned Enterprise (SOE) for Non Financial Category. On the next page, PT TIMAH Financial Statements ended on 31 st December 2014 are available. **** the end of press release **** *) Consolidated Financial Statements of PT TIMAH (Persero) Tbk and Subsidiaries for the full year 2014 and 2013 also available on Capital Market Electronic Library (ICaMEL), Indonesia Stock Exchange Building
Summary of Performance Result Period of 4 th Quarter of 2014 and 2013 Tin in concentrate (ton Sn) Quarter IV 1 Year 2014 2013 2014 2013 On Shore 4.179 3.732 11.207 6.460 Off Shore 5.270 15.417 21.112 19.744 Total Mton 9.449 19.203 32.319 26.204 Refined tin production Mton 8.950 7.630 27.550 23.718 Sales of refined tin Mton 11.243 8.010 26.907 23.237 Average selling price US$/Mton 19.691 23.288 21.686 22.751 Inventory Tin ore ton 3.624 1.441 3.624 1.441 Slag ton 8.839 6.731 8.839 6.731 Refined ton 5.097 3.095 5.097 3.045 Tin solder ton 69 41 69 41
Interim Consolidated Statement of Comprehensive Income Period of Quarter IV of 2014 and 2013 (In billion Rupiah, unless otherwise per share data stated in full Rupiah) Quarter IV 1 Year 2014 2013 2014 2013 Revenue 3.011,27 2.242,78 7.371,21 5.852,45 Cost of Sales and Direct Cost 2.471,81 1.442,44 5.772,93 4.408,73 Gross Profit 539,46 800,35 1.598,29 1.443,72 Selling Expenses 11,99 9,30 54,63 44,40 General and Administration Expense 213,38 196,21 618,56 570,27 Exploration Expenses Operating Expenses 225,36 205,51 673,19 614,67 Operating Profit 314,10 594,84 925,10 829,05 Interest Income (0,05) 5,15 16,11 15,63 Interest and Finance Charge (36,92) (19,49) (111,85) (34,83) Gain (Loss) of Foreign Exchange net (10,37) (166,51) (56,14) (102,50) Others 225,17 198,94 249,79 163,22 Gain (Loss) of Associates (1,78) (3,29) 0,10 (3,60) Profit before Income Tax 490,15 609,65 1.023,10 866,97 Tax Expenses (157,58) (141,13) (345,73) (257,10) Income for The Year from Continuing Operations 332,56 468,52 677,37 609,87 (Loss) Profit for The Year from Discontinued (22,36) (29,63) (39,41) (29,30) Operations Profit for The Year 310,21 439,55 637,95 580,57 Other Comprehensive Income Exchange Difference due to Financial Statement Translation Unrealized Gain (Loss) from Available for Sale Securities (12,31) 34,44 0,70 34,17 (0,65) 0,32 0,04 0,42 Total Comprehensive Income for The Period 297,25 474,31 638,70 615,17 Net Income Attributable to: Owner of The Entities 293,19 439,53 637,97 580,54 Non Controlling Interest (0,04) 0,03 (0,01) 0,03 293,15 439,55 637,95 580,57 Comprehensive Income Attributable to: Owner of The Entities 297,29 474,29 638,71 615,14 Non Controlling Interest (0,04) 0,03 (0,01) 0,03 297,25 474,31 638,70 615,17 Comprehensive Profit (Loss) Attributable to Shareholders from Continuing Operations 319,59 503,25 678,09 644,44 Discontinued Operations (22,34) (29,60) (39,39) (29,27) 297,25 474,31 638,70 615,17 Basic Earnings per Share for: Continuing Operations 42,91 67,57 91,00 82,00 Discontinued Operations (3,00) (3,97) (5,00) (4,00) 39,91 63,60 86,00 78,00
Interim Consolidated Statement of Financial Position Period of Quarter IV of 2014 and 2013 (In billion Rupiah) Year 2014 2013 Current Assets Cash and Cash Equivalent 346,50 613,70 Other Financial Assets 1,45 1,40 Trade Account Receivables 1.453,35 1.055,18 Other Account Receivables 13,37 21,67 Other Account Receivables Related Parties 7,08 4,89 Inventories net 3.384,03 2.344,52 Prepaid Taxes 795,05 820,60 Other Current Assets 321,21 121,70 Total Current Assets 6.322,02 4.983,66 Assets Classified as Held for Sale 230,15 265,16 Non Current Assets Receivables Related Parties 87,19 66,76 Receivables Third Parties 15,89 18,88 Investment in Associates 173,24 131,98 Deferred Tax Assets 38,42 118,91 Fixed Assets Cost 5.249,28 4.898,06 Accumulated Depreciation (3.229,63) (2.890,14) Deferred Cost Depreciation (2,58) (2,58) Fixed Assets 2.017,07 2.005,35 Prepaid Taxes Non Current 37,96 32,56 Investment Properties 638,59 432,40 Mining Properties 176,13 167,39 Other Non Current Assets 15,82 21,00 Total Non Current Assets 3.200,30 2.995,21 Total Assets 9.752,48 8.244,02 Short Term Liabilities: Short Term Bank Loans 2.334,22 1.354,76 Trade Payables: Related Parties 1,08 Third Parties 851,10 404,45 Dividend Payables 0,97 1,03 Tax Payables 53,23 157,74 Royalties Payables 3,19 Accrual Expenses 184,55 417,91 Provision for Environmental Rehabilitation Current 13,88 38,00 Other Payables 20,32 17,01 Subtotal 3.458,27 2.395,18 Liabilities Directly Associated with Assets Held for Sale 54,46 44,41 Total Current Liabilities 3.512,73 2.439,59 Non Current Liabilities: Deferred Tax Liabilities 0,40 Liabilities Reward Post Employment 355,36 325,09 Provision for Environmental Rehabilitation Non Current 276,14 226,11 Total Non Current Liabilities 631,51 551,59 Equities Attributable to: Owner of The Entities 5.608,14 5.252,72 Non Controlling Interest 0,10 0,11 Total Equities 5.608,24 5.252,84 Total Liabilities and Equities 9.752,48 8.244,02
Interim Consolidated Statement of Cashflow Period of Quarter IV of 2014 and 2013 (In billion Rupiah) Quarter IV 1 Year 2014 2013 2014 2013 Operating Activities Receipts from Customers 2.473,22 1.261,33 6.974,49 5.626,16 Cash Payment to: Suppliers (2.065,65) (1.153,37) (5.599,91) (4.401,87) Employees (180,81) (338,32) (913,73) (1.104,48) Cash from Operating Activities 226,77 (230,36) 460,86 119,81 Restitution of Tax 39,76 112,34 16,11 20,75 Receipts from Finance Income (0,05) 11,02 (4,46) Program Partnership & Community Development (4,46) 519,44 571,35 Payment of Pension Distribution (13,13) (9,61) (52,26) (52,11) Payment of Taxes and Royalties (384,70) (372,07) (1.279,11) (1.205,55) Payment of Dividends 0,06 (283,35) (215,79) Net Cash Flow Provided by Operating Activities (135,76) (488,68) (640,78) (761,54) Investing Activities Acquisition of Fixed Assets (87,98) (270,66) (422,82) (453,30) Proceeds from Disposal of Other Assets (1,22) 9,36 Acquisition of Property Assets 4,68 (Increase) Decrease of Restricted Cash 25,73 0,09 (1,29) Acquisition of Mining Properties (32,53) (32,53) Net Cash Flow Used in Investing Activities (91,32) (270,58) (445,98) (454,59) Financing Activities Payment of Bank Loans (1.133,32) (186,22) (1.716,73) (387,57) Receipts of Bank Loans 1.339,54 684,46 2.648,05 1.478,76 Interest Paid (36,92) (22,26) (111,85) (38,82) Net Cash Flow Used in Financing Activities 169,30 475,97 819,47 1.052,37 Increase (Decrease) in Cash and Cash Equivalents (57,77) (283,29) (267,29) (163,76) Cash and Cash Equivalent Beginning of The Period 399,44 771,23 613,70 670,41 Effect of Exchange Rate on Cash and Cash 4,83 159,96 0,09 141,25 Equivalents Cash and Cash Equivalent End of The Period 346,50 647,91 346,50 647,91 Reclassified as Held for Sale (34,21) (34,21) Cash and Cash Equivalent End of The Period 346,50 613,70 346,50 613,70