Serabi Gold (SRB) Q2 2024 earnings summary

Executive summary

• Gold production for the first six months of 2024 reached 18,010 ounces, up 9% year-over-year, with sales of 18,535 ounces, a 21% increase from the prior year.

• Gross profit for the six months ended 30 June 2024 was $14.74 million, nearly doubling from $7.43 million in the same period of 2023.

• Revenue rose to $42.66 million for the six months ended 30 June 2024, up from $30.52 million year-over-year, driven by higher gold prices and increased bullion sales.

• The Coringa mine contributed significantly, producing 8,623 ounces of gold bullion in H1 2024, up from 4,415 ounces in H1 2023.

Financial highlights

• Net profit for the six months ended 30 June 2024 was $9.22 million, compared to $4.98 million in the prior year period.

• Basic and diluted EPS for H1 2024 were 12.18 cents, up from 6.58 cents in H1 2023.

• Cash and cash equivalents at 30 June 2024 were $12.04 million, an increase from $11.55 million at 31 December 2023.

• Operating cash flow for H1 2024 was $9.55 million, up from $9.12 million in H1 2023.

• Total assets at 30 June 2024 were $115.05 million, up from $111.13 million at 30 June 2023.

Outlook and guidance

• Management expects to continue gold production from the Palito Complex and increase output from Coringa, aiming to exceed 2023 production levels.

• Directors will limit discretionary expenditures as needed to manage liquidity and maintain operational flexibility.