DOID plans to conduct a share buyback worth up to US$6 million, equivalent to approximately Rp104.25 billion. The corporate action is part of the company’s efforts to enhance shareholder value while also strengthening its employee retention program through share ownership incentives.

According to a disclosure submitted to the Bursa Efek Indonesia on Tuesday (19/5/2026), the buyback plan is still awaiting approval from the Extraordinary General Meeting of Shareholders (EGMS) scheduled for June 24, 2026. The company stated that the buyback would be carried out through share purchases on the Indonesia Stock Exchange over a maximum period of 12 months following shareholder approval, or no later than June 24, 2027.

DOID has allocated a maximum fund of US$6 million, or around Rp104.25 billion, sourced from internal cash reserves, including transaction costs and brokerage fees. Based on the consolidated financial statements as of December 31, 2025, the company confirmed that the implementation of the buyback would not reduce net assets below issued capital and mandatory reserves.

The maximum number of shares to be repurchased is estimated at 320.77 million shares, equivalent to 4.36 percent of issued and fully paid capital after the transfer of treasury shares. The company emphasized that the amount remains below the maximum threshold of 10 percent stipulated under POJK 29/2023 regulations.

DOID explained that the buyback is intended to provide additional value to shareholders beyond dividend distribution. In addition, the repurchased shares may also be utilized for management and employee stock ownership programs as part of the company’s workforce retention strategy.

As of December 31, 2025, the company’s largest shareholder was Northstar Tambang Persada Ltd. with ownership of 38.217 percent, followed by public shareholders holding 39.292 percent. The company also still held treasury shares amounting to 293.84 million shares, equivalent to 3.841 percent of issued and fully paid capital.

DOID plans to transfer the existing treasury shares as part of a capital reduction agenda that will also be discussed during the EGMS on June 24, 2026. Following the transfer of treasury shares, public ownership is projected to increase to 40.861 percent.

Based on management simulations, if the entire buyback fund is utilized, the company’s total assets and equity are each projected to decline by US$6 million. Total assets are estimated to decrease from US$1.53 billion to US$1.52 billion, while total equity is expected to shrink from US$48.87 million to US$42.87 million.

The company recorded a net loss for the period amounting to US$127.61 million for the 12 months ending December 31, 2025. In the pro forma simulation after the buyback, earnings per share are projected to change from negative US$0.01734 to negative US$0.01814.

Nevertheless, management believes the impact of the buyback on the company’s operational and business activities will not be material. The company also stated that it still possesses sufficient capital and cash flow to support both operational activities and the implementation of the buyback.

Based on reports from Bisnis.com on Monday (30/3/2026), Iwan Fuad Salim, Director of DOID, explained that the company’s performance throughout 2025 was significantly affected by operational disruptions and adverse weather conditions. In addition, ramp-down activities and contract completions in Indonesia and Australia also pressured DOID’s financial performance.

“2025 was a challenging year for the Group. The disruptions we faced during the first quarter had a significant impact on production and revenue, while also highlighting areas where our approach could still be strengthened,” Iwan stated in an official release.

He further emphasized that the company had responded swiftly by tightening operational discipline, strengthening cost controls and maintenance fundamentals, and implementing decisive measures to preserve liquidity and reinforce the company’s balance sheet.

Disclaimer: This information is not intended as an invitation to buy or sell any particular stock. All investment decisions remain entirely the responsibility of the reader. Bisnis.com is not responsible for any gains or losses arising from readers’ investment decisions.