Austral Gold (AGD) H2 2024 earnings summary

Executive summary

• FY24 saw production of 15,573 gold-equivalent ounces at Guanaco/Amancaya, with integration of agitation and heap leaching processes; production was below guidance due to equipment delays but profitability improved year-over-year.

• Casposo/Manantiales in Argentina remained on care and maintenance, with updated Mineral Resource Estimates and a toll treatment agreement to restart operations in H2 2025.

• Equity investments, notably in Unico Silver, provided liquidity through partial sales, while maintaining a 5.2% stake.

• All loan facilities were renewed and additional financing secured, improving debt maturity and reducing net current liabilities from $23.7M to $5.8M.

Financial highlights

• Revenue declined to $36.8M from $47.7M year-over-year, reflecting lower production.

• Gross profit rose to $3.6M (9.7% margin) from $0.5M (1.1% margin) in FY23; adjusted gross profit (excl. D&A) was $6.8M (18.5% margin) vs $6.6M (13.7%).

• Net loss after tax widened to $27.1M (vs $7.2M in FY23), driven by $16.7M impairment on Amancaya underground, $8.8M on exploration assets, and $2.6M on mine properties.

• Cash and cash equivalents at year-end were $3.6M, with combined net debt increasing to $23.0M.

• C1 cash cost per GEO rose to $1,943 (from $1,645); AISC increased to $2,164 (from $2,004).

Outlook and guidance

• FY25 production guidance is 18,000–20,000 GEOs at Guanaco/Amancaya, with 80% from the Heaps Project.

• Casposo plant refurbishment and restart targeted for H2 2025 under a three-year toll agreement.

• Focus on sustainable production, positive cash flow, and further debt reduction.