Compañía de Minas Buenaventura (BVN) Q4 2024 earnings summary

Executive summary

• FY24 net income surged to US$416M, up from US$19.9M in FY23, driven by asset sales and operational improvements.

• EBITDA from direct operations in 2024 reached US$431.2M, more than doubling year-over-year, with a margin of 37% versus 24% in 2023.

• Cash position at year-end was US$478M, with total debt of US$627M and a leverage ratio of 0.34x.

• Dividend payments resumed, with a proposed US$0.2922 per share/ADS, totaling around US$80M, or 20% of net profit.

• San Gabriel project achieved 71% completion by Q4 2024, targeting first gold bar in Q4 2025, with significant progress in engineering and construction.

Financial highlights

• Silver production in 2024 was 15.5 million ounces, up 69% year-over-year, with 10.5 million ounces from Uchucchacua and Yumpag.

• FY24 consolidated copper production was 56.5 kton (down 2% year-over-year); gold was 148.7 kOz (down 4%).

• FY24 CAPEX totaled US$378M, with US$291M allocated to San Gabriel.

• Dividends received from Cerro Verde totaled US$166.5M in 2024.

• All-in sustaining cost for Q4 2024 increased by 26% year-over-year, mainly due to higher exploration spending.

Outlook and guidance

• 2025 guidance anticipates stable copper (60 kton) and silver (15.7 MOZ) production at El Brocal, Uchucchacua, and Yumpag; gold output expected to decline 13% to 130 kOz as San Gabriel ramps up.

• FY25 CAPEX projected at US$330–355M, with US$125–140M in sustaining CAPEX and US$180–215M in growth CAPEX for San Gabriel and Trapiche.

• San Gabriel project expected to become the main gold-producing asset, with ramp-up in Q3 2025 and first gold bar in Q4 2025, subject to permit approvals.

• San Gabriel's expected cash cost is US$1,400/oz gold, with annual production of 120,000 ounces.

• Coimolache gold costs to remain stable until Q3 2025, then decrease after leach pad expansion.