Endomines Finland (PAMPALO) H2 2023 earnings summary

Executive summary

• FY2023 gold production rose 49% YoY to 397.8 kg (12,790 oz); revenue increased 46% to €19.7M, entirely from Pampalo.

• Exploration advanced on the Karelian Gold Line; Hosko production began February 1, 2024, following preparatory work started in October 2023.

Financial highlights

• FY revenue €19.7M vs €13.5M; EBITDA -€0.7M vs -€6.4M; operating result -€3.0M vs -€14.7M; net result -€5.3M vs -€17.5M.

• H2 revenue rose 14% to €9.0M; EBITDA was -€1.0M, operating result -€2.2M and net result -€3.5M.

• Pampalo EBITDA improved to €3.3M, 17% of revenue, from €0.6M and 5%; year-end production-method change and Hosko preparation reduced EBITDA by ~€2.0M, a one-time impact.

Outlook and guidance

• FY2024 gold production expected to increase 15–35% from FY2023; financial result expected to improve.

• 2024 operating aim is to periodically run the processing plant at the level required for 20,000 oz annual production; longer-term production growth remains a priority.

• Board proposed no dividend for FY2023; strong short-term gold-market outlook supports the 2024 outlook.