Waste Management Operations Contribute 41 Per Cent to TBS Energy Revenue
PT TBS Energi Utama Tbk (TOBA) or TBS has recorded revenue from waste management operations valued at USD 155.4 million, contributing 41 per cent of the company’s total revenue.
“Through an increasingly diversified business composition, exposure to global coal price volatility has also decreased, in line with the company’s transformation direction,” said TBS Director Juli Oktarina in an official statement in Jakarta on Monday.
Meanwhile, the mining and coal trading segment recorded revenue valued at USD 194.6 million, or equivalent to 51 per cent of the company’s total revenue.
“The coal segment’s contribution has declined significantly compared to 81 per cent last year, reflecting TBS’s strategic direction to gradually reduce exposure to coal whilst accelerating the shift towards a more sustainable portfolio,” said Juli.
The company, however, recorded a net loss of USD 162 million in 2025, caused by falling global coal prices throughout 2025.
Additionally, this was caused by non-cash and non-recurring losses stemming from the impact of divestment of coal-fired power generation assets valued at USD 97 million as part of the transition towards the low-carbon sector.
Juli views the company’s realised accounting loss at this stage as part of a one-time transition process necessary to unlock the potential for higher-quality longer-term cash flows.
“Structural adjustment decisions were made by considering long-term interests, to accelerate growth in three pillars of the company’s future business, namely waste management, renewable energy, and electric vehicles, which are essential services with strong growth potential in Indonesia and overseas,” he said.
Juli explained that the company’s strategic steps have become increasingly relevant amid escalating geopolitical tensions that are beginning to place significant pressure on the global energy market.
“The company views business diversification as the key to resilience and risk mitigation in facing global energy market volatility,” he said.
He continued that the current business strategy provides flexibility to continue growing, where the waste management, renewable energy, and electric vehicle sectors have become crucial opportunities for national energy security.
With fundamentals remaining solid, adjusted positive EBITDA, and an increasingly clear regional strategic direction, the company is optimistic that these steps will create sustainable added value for all stakeholders.
“This optimism is strengthened by the progress of TBS2030 roadmap which continues to show advancement,” said Juli.
He explained that the company has successfully reduced carbon emissions through the divestment of two coal-fired power units, which previously represented approximately 86 per cent of the generation portfolio’s emissions, or approximately 1.4 million tonnes of CO₂ per year based on the 2024 emissions profile.
“This achievement brings the company closer to the target of carbon neutrality by 2030 in the vision of Towards a Better Society,” he said.
Throughout 2025, Juli explained that TBS comprehensively restructured its portfolio as part of a “strategic repositioning” step to strengthen financial foundations and build a more resilient business structure.
“This step was carried out in a measured and proactive manner to strengthen balance sheet quality, and to direct the company’s portfolio towards sectors with more stable revenue growth profiles and higher valuation potential in the long term,” said Juli.
“This acquisition instantly strengthens TBS’s position as one of the market share leaders in waste management in Singapore, whilst increasing the company’s asset capacity to support long-term revenue growth,” said Juli.