BRMS – 1Q25 beats across the board

BRMS – 1Q25 beats across the board Bumi Resources Minerals (BRMS) delivered a strong 1Q25, with revenue at USD63 mn (+17.5% qoq, +211.5% yoy), beating both our forecast (29.3%) and cons. (33.9%), supported by higher gold prices (USD2,809/oz) and stronger output (+127.8% yoy) driven by improved grades (1.5g/t vs. 1.02g/t in 1Q24). OPM expanded to 43.6% (4Q24: 26.4%), reflecting better cost efficiency and marking the best profitability level in recent quarters. Net income came in at USD15 mn (+69.7% qoq, +314.6% yoy), above our estimate (53%) and cons. (46%). That said, the proposed royalty hike (to 15%) poses a downside risk, potentially reducing earnings by 20–40% in FY25–30F. We maintain our TP at IDR560 (EV/reserve: USD21.8/ton; FY29F net profit: USD557 mn) pending further clarity from the upcoming earnings call. (Source : Company, KBVS Research)