Endomines Finland (PAMPALO) H2 2024 earnings summary

Executive summary

• Achieved a significant operational and financial turnaround since 2022, with renewed strategy driving growth and profitability.

• Revenue grew 46% year-over-year to MEUR 28.7, driven by increased production and strong gold prices.

• Pampalo remains the core production asset, delivering all group revenue and gold output, with EBITDA margin rising to 36%.

• Strategic focus on expanding production, exploration, and incorporating critical minerals (tungsten, molybdenum) into future plans.

• ESG initiatives are central, with a new sustainability roadmap targeting carbon-free gold production by 2035.

Financial highlights

• H2 2024 revenue: MEUR 15.6, up 74% year-over-year; full year revenue up 46% to MEUR 28.7.

• Group EBITDA turned positive at MEUR 5.8 (20% margin), with H2 margin at 25%.

• Net result improved to MEUR 1.3 profit (from -3.5), and operating result to MEUR 2.6 (from -3.0).

• Pampalo segment EBITDA: MEUR 10.3 (36% margin); cash cost per ounce EUR 1,281.

• Cash balance at year-end: MEUR 2.1; net gearing 32%; equity ratio 54%.

Outlook and guidance

• 2025 gold production guidance: 16,000–22,000 ounces, with higher growth expected in H2.

• Gold price remains at record highs, currently $2,900/oz, supporting revenue outlook.

• No gold price hedging; revenue fully exposed to spot market.

• Strategy update and further financing details to be announced in spring 2025.

• Long-term target to increase annual output to 70,000–100,000 oz by 2030.