PT Pertamina Geothermal Energy Tbk (PGE) (IDX: PGEO) showed positive performance by recording solid financial performance throughout the first quarter of 2025. Based on the financial report ending on March 31, 2025, PGE posted revenues of US$101.51 million throughout the first quarter of 2025. Amid the dynamics of the energy industry and global economic contraction, PGE affirms its commitment to encourage the presence of a sustainable energy ecosystem by ensuring the acceleration of the energy transition and achieving national energy sovereignty through the utilization of geothermal energy.
On the other hand, global geopolitical tensions affect the stability of the world economy, creating uncertainty in investment and development of clean energy. Economic fluctuations and exchange rate volatility also have an impact on investment, funding, and acceleration of renewable energy projects, including geothermal.
Nevertheless, PGE's financial fundamentals remain strong to support long-term growth plans. Referring to the interim financial report as of March 31, 2025, PGE recorded:
•? ?Total Assets: US$3.03 billion, up 0.93% from the same period the previous year.
•? ?Equity: US$2.04 billion, up 1.56%.
•? ?Cash and Cash Equivalents: US$703.86 million, up 7.43%.
•? ?Net Cash from Operating Activities: US$77.47 million, up 12.04% YoY.
Strengthening fundamentals amid challenges
PT Pertamina Geothermal Energy Tbk Finance Director Yurizki Rio said that strong operational cash performance proves the effectiveness of the sustainable business strategy implemented by management. The results achieved so far also show that the company's performance remains on a strong business path in supporting the realization of the national energy transition, as well as efforts to pursue the target of 1 gigawatt (GW) of installed capacity managed independently in the next 2-3 years.
"We are committed to accelerating geothermal development by optimizing operational efficiency. Therefore, we are implementing a spending strategy that is directed at supporting long-term growth. PGE's solid performance over the past few years has become a strong foundation for sustainable growth. This is our provision to continue to expand more aggressively to provide wider benefits to the community," said Yurizki Rio.
Several of PGE's key projects to achieve this target include the development of Lumut Balai Unit 2 (55 MW), Hululais Unit 1 & 2 (110 MW), and a number of co-generation projects with a total capacity of 230 MW.
The Lumut Balai Unit 2 project is targeted to start operating in the middle of this year. "This project will strengthen PGE's green energy portfolio and is a signal of our optimism to drive operational and financial performance improvements throughout 2025," he added.
Commitment to sustainable energy
As a world-class green energy company, PGE is committed to providing reliable geothermal-based clean energy, increasing the contribution of new and renewable energy in the national energy mix, and contributing to Indonesia's 2060 Net Zero Emission target.
President Director of PT Pertamina Geothermal Energy Tbk Julfi Hadi said that through this achievement, PGE confirms its central role in accelerating the green energy transition in the country and realizing a sovereign energy future for the nation.
"We are focused on accelerating the development of geothermal energy. Currently, we are prioritizing strategic investment to achieve this target. On the other hand, we also continue to maintain healthy profitability, strong operating cash, and efficiency in cost management," said Julfi Hadi.
With more than 40 years of experience, PGE currently manages an installed capacity of 1,887 MW, consisting of 672 MW managed independently and 1,205 MW with partners. PGE is optimistic that it can increase its independent installed capacity to 1 GW in the next two years, and 1.7 GW in 2033.
