Vault Minerals (VAU) H2 2024 earnings summary

Executive summary

• Completed a transformative merger with Silver Lake Resources in June 2024, creating a diversified intermediate gold producer with enhanced financial capacity and growth options.

• Achieved group gold sales of 223,498 ounces, with King of the Hills (KOTH) contributing 211,939 ounces, a 29% year-over-year increase.

• Revenue rose 47% year-over-year to $620 million, driven by higher gold sales and a 6% increase in average realised gold price.

• Underlying group operational EBITDA reached $192.7 million (31% margin), and operating cash flow was $206.6 million, up 342% year-over-year.

• Ended the period with $453.7 million in cash and bullion, and net cash of $360.8 million; project finance facility repaid post-period.

Financial highlights

• Net loss after tax for FY24 was $5.4 million, improved from a $8.7 million loss in FY23, impacted by $43.4 million in acquisition and stamp duty costs related to the merger.

• Total assets increased to $2,167.6 million, and total liabilities to $546.8 million, reflecting the Silver Lake acquisition.

• Cash inflows from operations were $206.6 million; investing activities netted $270.0 million, mainly from $378.3 million cash acquired in the merger.

• Net financing outflows of $68.0 million, primarily from debt and lease repayments.

Outlook and guidance

• FY25 gold production guidance: 390,000–430,000 ounces at an AISC of A$2,250–A$2,450/oz.

• Focus on plant optimisation at KOTH, high-return exploration, and resource development at Mount Monger and Sugar Zone.

• Sugar Zone project in Ontario under evaluation for future production scenarios after a 93,000m drill program.