Evolution Mining (EVN) H2 2024 earnings summary

Executive summary

• Achieved record net profit, underlying EBITDA, and earnings per share for FY24, with statutory profit after tax up 158% to $422 million and underlying profit up 135% to $482 million.

• Portfolio strengthened by Northparkes acquisition, which exceeded expectations and contributed significant cash flow.

• Leadership team fully in place, focused on delivering FY25 guidance and high-margin cash generation.

• Sustainability improvements: 13% reduction in injury frequency and 14.3% reduction in emissions, progressing toward 2030 targets.

• Successfully managed a cyber incident with no material operational impact.

Financial highlights

• Statutory profit after tax rose to $422.3 million; underlying profit after tax up to $481.8 million; EBITDA (underlying) reached $1,513 million, up 67% year-over-year.

• Produced 717,000 ounces of gold at an AISC of $1,477/oz; operating mine cash flow exceeded $1.5 billion; net mine cash flow was $583 million.

• EBITDA margin improved from 38% to 47%; group cash flow improved by $483 million to an inflow of $367 million.

• Earnings per share increased 147% to 22.0 cents; full-year dividend up 75% to 7c per share.

• Achieved gold price increased 23% to $3,190/oz; copper price up 9% to $13,657/t.

Outlook and guidance

• FY25 production guidance: 710,000–780,000 ounces of gold and 70,000–80,000 tons of copper at AISC of $1,475–$1,575/oz.

• High cash flows expected, with operating and mine cash flow before major capital potentially reaching $1.8 billion and $1.6 billion, respectively.

• Only ~6% of FY25 gold production hedged; copper entirely unhedged.

• Major shutdowns scheduled at Cowal and Ernest Henry; Mungari expansion on track.

• Continued deleveraging, disciplined capital investment, and further dividend increases anticipated.