May 2018, Samindo Resources will Share Dividend

PT Samindo Resources Tbk (MYOH) will distribute cash dividends for fiscal year 2017. The proposal will be submitted by MYOH management to shareholders at the Annual General Meeting of Shareholders (AGM) to be held in early May 2018.

According to Kim Jung Gyun, President Director of MYOH, in a press statement in Jakarta on Monday (26/2), the amount of dividend to be shared is the same as last year which is about 80% of profit.

In 2017, the total dividend distributed by the coal mining services company reached US $ 17 million for the fiscal year 2016. "The amount is 80% of MYOH's profit in 2016 reaching US $ 21 million," he said.

Kim has not been able to reveal earnings over the past year as it is still in the audit process. Nevertheless, he estimates that the company's revenue in 2017 is relatively the same as 2016 which is around US $ 190 million.

He added that this year it allocates US $ 13.8 million for capital expenditure. About 80% of the funds will be used to purchase heavy equipment such as dump trucks, excavators, cranes and pumps.

For funding sources of capital expenditures, all of them come from the Company's cash. We have enough cash, Kim explained.

This year, Kim continued, the Company also targets to acquire coal mining companies operating in Kalimantan and Sumatera. MYOH management insists it will not acquire 100% of the targeted mining company shares, but will only take over a share of the shares. That is because the core business of the Company is still engaged in the coal contracting sector.

This year there may be one or two expectations. Can produce 1-2 million tons a year or 4-5 million tons a year, he added.

Related to funding, Kim said the acquisition cost is not included in the capital expenditure budget that is budgeted US $ 13.8 million this year. Funds for the acquisition we have prepared from internal cash, he explained.