(Singapore, July 12, 2025)--Moody's Ratings (Moody's) has completed a periodic review of the ratings of Bukit Makmur Mandiri Utama (P.T.) and other ratings that are associated with this issuer.
The review was conducted through a rating committee held on 9 July 2025 in which we reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), and recent developments.
This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Please see the Issuer page on https://ratings.moodys.com for the most updated credit rating action information and rating history.
Key Rating considerations and rationale are summarized below.
Bukit Makmur Mandiri Utama (P.T.)'s (BUMA) Ba3 corporate family rating (CFR) reflects the company's position as Indonesia's second-largest coal mining services contractor by overburden volume, with a well-recognized franchise and established relationships with Indonesia's leading coal miners; growing mining services business in Australia; and its track record of maintaining conservative financial policies with positive free cash flow generation.
However, BUMA's Ba3 CFR is constrained by its exposure to the cyclical coal sector, weak metrics following the adverse external operating conditions in Q1 2025 and the execution risk associated with its planned investments.
This document summarizes our view as of the publication date and will not be updated until the next periodic review announcement, which will incorporate material changes in credit circumstances (if any) during the intervening period.
The principal methodology used for this review was Business and Consumer Services published in November 2021. Please see the Rating Methodologies page on https://ratings.moodys.com for a copy of this methodology.
The Ba3 rating is two notches above the scorecard-indicated outcome of B2. The difference reflects BUMA's position as Indonesia's second-largest coal mining services contractor, track record of maintaining conservative financial policies as well as our expectation that operational performance will recover from the second half of 2025.
This announcement applies only to EU rated, UK rated, EU endorsed and UK endorsed ratings. Non-EU rated, non-UK rated, non-EU endorsed and non-UK endorsed ratings may be referenced herein to the extent necessary, if they are part of the same organization list. (ends)
