AADI’s revenue in 9M25 was in line with our expectations. The company recorded revenue of US$1.21 billion in 3Q25 (-2.1% QoQ; -13.2% YoY), resulting in a 10.9% YoY decline in 9M25 revenue to US$3.61 billion, which represents 70.5% of our FY25 estimate.

The company’s expenses were lower in line with the decline in sales. Cost of revenue contracted by 9.0% YoY to US$2.67 billion in 9M25. This decrease was mainly driven by a 1.9% YoY reduction in mining costs to US$1.18 billion.

From a bottom-line perspective, AADI’s performance was pressured by declines in profits from associated entities and a sizable corporate income tax expense.

Global coal benchmark prices are expected to remain stable below US$110 per ton. Despite relatively strong demand from China and India, downward pressure on prices persists due to increased supply from major producing countries, declining coal consumption in developed economies, and the normalization of gas prices.

In line with AADI’s performance, which remains in line with our previous estimates, we maintain our fair value estimate for AADI at Rp10,200 with a Buy
recommendation. Currently, AADI is trading at a PBV of 1.03x, which is below its one-year average PBV of 1.08x.

By PHINTRACO SEKURITAS | Research
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