Cameco (CCO) Q4 2024 earnings summary

Executive summary

• Delivered strong 2024 results with record uranium production, robust Westinghouse segment performance, and disciplined financial and operational strategies, despite lower net and adjusted net earnings due to acquisition-related impacts.

• Maintained a strategic focus on full-cycle value capture, disciplined supply management, and selective contracting to maximize value and manage risk.

• Market fundamentals for nuclear fuel and power are the strongest in decades, with durable growth expected due to energy security and clean energy needs.

• Increased annual dividend and successfully refinanced and repaid significant debt, supporting financial discipline.

Financial highlights

• Adjusted EBITDA rose 73% year-over-year to $1.53 billion in 2024, with annual net earnings of $172 million and adjusted net earnings of $292 million, reflecting higher sales volumes, improved realized prices, and a return to Tier One production levels.

• Produced about 23.4 million pounds of uranium in 2024, with McArthur River/Key Lake setting a new annual production record at 20.3 million pounds.

• Uranium sales reached 34 million pounds, and delivered 12.1 million KgU under contract; revenue for 2024 was $3.14 billion, up from $2.59 billion in 2023.

• Cash from operations totaled $905 million, with year-end liquidity of $600 million in cash and $1 billion undrawn credit facility; total debt at $1.3 billion.

• Westinghouse contributed $483 million in adjusted EBITDA, despite a net loss due to purchase accounting and transition costs.

Outlook and guidance

• Expect strong performance and cash flow to continue in 2025, supported by a robust contract book, strong balance sheet, and ongoing benefits from the Westinghouse investment.

• Plan to produce 18 million pounds at both McArthur River/Key Lake and Cigar Lake in 2025; fuel services production guidance is 13–14 million kgU.

• Dividend growth plan targets an annual increase of at least $0.04 per share in 2025 and 2026, aiming to double the 2023 dividend by 2026.

• Westinghouse adjusted EBITDA for 2025 is forecast at $355–$405 million (Cameco share), with a 6–8% CAGR in core business revenue over five years.

• Monitoring US tariffs; no material impact expected on 2025 financial results if implemented.