Central Asia Metals (CAML) H1 2024 earnings summary

Executive summary

• Gross revenue for H1 2024 reached $103.8 million, up 4% year-over-year, with EBITDA of $49.1 million at a 47% margin and free cash flow of $30 million.

• Interim dividend of 9 pence per share declared, representing 70% of free cash flow, above the stated policy.

• The company remains debt-free with $56.3 million in cash, providing flexibility for growth and capital projects.

• CEO transition: Nigel Robinson to step down, Gavin Ferrar to become CEO, and Louise Wrathall CFO from October 2024.

• Free cash flow increased 24% to $30 million, supporting ongoing shareholder returns.

Financial highlights

• EBITDA of $49.1 million, nearly identical to H1 2023, with a margin of 47%; profit after tax rose 14% to $23.8 million.

• EPS from continuing operations increased 15% year-over-year to 13.14 cents.

• Cash balance at period end was $56.3 million; company remains debt-free.

• Group CapEx for H1 totaled $8.3 million, with full-year guidance reiterated at $22–25 million.

• Since IPO, approximately $360 million has been returned to shareholders in dividends.

Outlook and guidance

• Kounrad is on track to meet full-year copper production guidance of 13,000–14,000 tonnes.

• Sasa expected to achieve the lower end of 2024 guidance: 19,000–21,000 tonnes zinc, 27,000–29,000 tonnes lead.

• Completion of Sasa Dry Stack Tailings Plant and Central Decline connection targeted for Q4 2024.

• CapEx guidance for 2024 remains unchanged at $22–25 million.

• Continued disciplined search for accretive acquisitions and growth opportunities, with 23 potential acquisitions reviewed in H1.