Evolution Mining (EVN) Q1 2025 earnings summary

Executive summary

• September quarter saw strong operational and financial performance, with all sites meeting or exceeding plan and improved safety (TRIF reduced by 7.5%).

• Gold production was 193,554 oz and copper production 19,059 t, with AISC of AUD 1,569/oz (US$1,051/oz), among the lowest in the sector.

• Operating mine cash flow reached AUD 429M (61% margin), group cash flow AUD 108M, and cash balance rose 20% to AUD 484M.

• Gearing reduced to 23.8%, with total liquidity exceeding AUD 1 billion.

• Exploration success at Ernest Henry, Cowal, and Northparkes supports future incremental production.

Financial highlights

• Achieved gold price increased 5% to AUD 3,681/oz; spot price at AUD 3,925/oz, supporting future cash flow.

• Net mine cash flow for the quarter was AUD 172M; group net cash flow AUD 81M after AUD 21M Kundana acquisition stamp duty.

• Gross debt at AUD 1,829M, net debt reduced to AUD 1,345M; undrawn AUD 525M revolving credit facility committed until Oct 2025.

• All operations delivered positive cash flow before major capital; Red Lake posted record net mine cash flow of AUD 27M.

• Cowal delivered AUD 125M net mine cash flow; Red Lake achieved record quarterly cash flow at AUD 27M.

Outlook and guidance

• On track to deliver FY25 production guidance of 710,000–780,000 oz gold and 70,000–80,000 t copper at AISC AUD 1,475–1,575/oz.

• FY25 operating mine cash flow expected to exceed AUD 1.9B at current spot prices, 24% higher than FY24.

• Potential for over AUD 105M further upside in cash flow if current spot prices persist.

• December quarter to benefit from higher gold prices and delayed Northparkes concentrate shipments.

• Mungari mill expansion project ahead of schedule and within budget.