Geo Energy's Q3 net profit jumps on higher coal prices and sales

Overview

• Singapore-listed Indonesian coal miner's Q3 net profit surged 545% yr/yr to $20.6 mln

• Company declared Q3 dividend exceeding 1H2026 total

• Profit jump driven by higher coal prices, sales volumes, and MBJ infrastructure cost savings

Outlook

• Geo Energy expects FY2026 profit to increase substantially if coal prices remain around US$78/tonne

• Company targets coal sales volume of at least 11.5 mln tonnes for 2026

• Thermal coal markets expected to remain elevated through year end amid supply disruptions

Result Drivers

• COAL PRICES - Higher Indonesian Coal Index prices drove a y/y 52% increase in quarterly revenue

• SALES VOLUMES - Increased coal sales volumes in Q3 nearly matched the combined total of the previous two quarters

• COST SAVINGS - MBJ Integrated Infrastructure delivered cost savings of about $11 per tonne on coal transported through the system

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the coal peer group is "buy."

• Wall Street's median 12-month price target for Geo Energy Resources Limited is S$0.66, about 23.6% above its November 10 closing price of S$0.53

• The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 8 three months ago

Reuters Recommended Reads

• Nov 10 - China's October coal imports down 6% year-on-year as buyers eye high inventories

• Nov 9 - Barrick Mining Q3 revenue rises 22% on higher gold prices

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)