Andromeda Metals (ADN) H2 2024 earnings summary

Executive summary

• FY24 focused on advancing the Great White Project (GWP), a high-grade, development-ready kaolin asset with all approvals in place and binding offtake agreements secured for initial production capacity of 100,000 wmt pa.

• Four binding offtake agreements underpin Stage 1A+ and support funding discussions for a final investment decision.

• Divestment of non-core gold and copper assets completed to streamline focus and raise capital for GWP.

• Leadership changes included the appointment of a new Executive Chair and Acting CEO to guide the company through critical funding and development phases.

Financial highlights

• FY24 income was $1.03 million, down 48.5% from $2.0 million in FY23, mainly due to lower R&D incentives and administration charges.

• Net loss after tax improved to $7.27 million from $9.46 million in FY23.

• Cash and cash equivalents at 30 June 2024 were $5.44 million, down from $15.3 million a year earlier.

• No dividends declared for FY24.

Outlook and guidance

• GWP is construction-ready, with procurement of long-lead items advanced and project team in place.

• Funding discussions ongoing with government bodies, banks, and private credit institutions; cornerstone equity process underway.

• Placement and entitlement offer launched post-period to raise up to $6.5 million to support ongoing activities.

• If project funding is not secured by February 2025, uncommitted expenditure will cease until funding is obtained.