Central Asia Metals (CAML) H1 2024 earnings summary

Executive summary

• Gross revenue for H1 2024 reached $103.8 million, up 4% year-over-year, with EBITDA of $49.1 million at a 47% margin and free cash flow of $30 million; the group remains debt-free with $56.3 million in cash.

• Interim dividend of 9 pence per share declared, representing 70% of free cash flow, above the stated policy.

• CEO Nigel Robinson will step down effective 1 October 2024, succeeded by Gavin Ferrar; Louise Wrathall will become CFO, with the outgoing CEO remaining to support the team.

Financial highlights

• EBITDA margin held steady at 47%, matching H1 2023, with a 4% increase in gross revenue and a 5% rise in cost of sales.

• EPS from continuing operations rose 15% year-over-year to 13.14 cents.

• Profit after tax increased 14% year-over-year to $23.8 million.

• Group CapEx for H1 totaled $8.3 million, with full-year guidance maintained at $22–25 million.

• Since IPO, approximately $360 million has been returned to shareholders in dividends.

Outlook and guidance

• On track to meet full-year production guidance at Kounrad (13,000–14,000 tonnes copper) and Sasa (19,000–21,000 tonnes zinc, 27,000–29,000 tonnes lead), with Sasa expected at the lower end.

• CapEx guidance reiterated, with significant H2 spending expected and completion of Sasa Dry Stack Tailings Plant and Central Decline targeted for Q4 2024.

• Actively reviewing acquisition opportunities, with 23 potential assets evaluated in H1 and continued disciplined search for growth.