Regis Resources (RRL) Q1 2025 earnings summary

Executive summary

• Q1 FY25 featured strong operational delivery and cash build at Duketon and Tropicana, with cash and bullion rising by AUD 85 million to AUD 380 million at quarter end.

• Group gold production totaled 94,500 ounces at an AISC of AUD 2,495/oz, with Duketon producing 57,500 ounces and Tropicana 37,000 ounces.

• Section 10 declaration at McPhillamys rendered the project unviable, resulting in a AUD 192 million impairment and withdrawal of 1.89Moz Ore Reserves.

• Safety performance saw one lost time injury, with LTIFR rising to 0.4 for the quarter, well below industry average.

• The company is pursuing legal options and alternative tailings storage for McPhillamys, which may take 5–10 years to resolve.

Financial highlights

• Produced 94,500 ounces of gold at an AISC of AUD 2,495/oz, including AUD 132/oz of non-cash stockpile costs.

• Achieved a record average gold price of AUD 3,717/oz, resulting in AUD 296 million in gold sales revenue.

• Operating cash flow was AUD 150 million, with cash and bullion increasing to AUD 380 million at quarter end.

• Capital expenditure totaled AUD 50 million, with AUD 12 million on underground development, AUD 13 million on exploration, and AUD 22 million at Duketon.

• Gold bullion on hand at quarter end was 21,017oz valued at AUD 3,794/oz.

Outlook and guidance

• FY25 production and cost guidance remain unchanged: Group 350–380koz, Duketon 220–240koz, Tropicana 130–140koz.

• FY25 AISC guidance: Group AUD 2,440–2,740/oz, Duketon AUD 2,500–2,800/oz, Tropicana AUD 2,300–2,600/oz.

• Growth capital guidance for FY25: AUD 120–135 million, with AUD 110–120 million at Duketon and AUD 10–15 million at Tropicana.

• McPhillamys expenditure guidance updated to AUD 10–15 million for maintenance and alternate TSF studies.

• Ongoing focus on underground growth at Duketon and Tropicana, with stable production at Duketon expected through FY28.