Interra Resources (5GI) H1 2024 earnings summary

Executive summary

• 1H 2024 revenue was US$9.15m, down US$0.48m YoY, while net profit was US$2.36m versus a US$0.80m loss in 1H 2023.

• Cash and cash equivalents rose to US$18.72m at 30 June 2024; net cash inflow for the half was US$1.46m.

Financial highlights

• Revenue fell 5% YoY to US$9.154m; gross profit increased to US$4.128m from US$3.970m as cost of production declined 11% to US$5.026m.

• Net profit was US$2.361m versus a US$0.804m net loss in 1H 2023; 1H 2023 included a US$4.884m exploration-asset impairment and a US$1.712m gain on disposal of intangible assets.

• Other income fell to US$0.972m from US$2.305m, mainly reflecting the prior-period patent-rights disposal gain; administrative expenses rose 18% to US$1.738m.

• EBITDA was US$3.562m versus US$5.658m in 1H 2023; operating cash flow was US$1.519m versus US$5.034m.

Outlook and guidance

• KP-2 remains at preliminary planning stage; site and access-road surveys were completed, while land-clearance discussions continue. No significant field contribution is expected in the near term.

• Waterflood and field-development activity continues in Myanmar; operations will monitor local developments closely amid challenging conditions.

• Diversification initiatives remain under review: construction of the wood-pellet plant may be deferred while an existing facility is assessed, and the solar-farm application is likely on hold pending authority review of power-system-study proposals.