Focus Minerals (FML) H1 2024 earnings summary

Executive summary

• Focus Minerals reported a net loss of $25.89 million for the half year ended 30 June 2024, compared to a $13.04 million loss in the prior year period.

• Gold sales reached 12,204 ounces at an average price of A$3,295.25/oz; silver sales were 1,293 ounces at A$38.69/oz.

• The Coolgardie Gold Project processed 548,465 tonnes of ore, with operational improvements following outsourcing of plant maintenance.

• Laverton Gold Project Mineral Resource increased by 233.9 Koz to 3.98 Moz, a 6.2% gain.

Financial highlights

• Revenue from continuing operations was $41.22 million, up from $4.42 million year-over-year.

• Net assets declined to $66.73 million from $92.62 million at 31 December 2023.

• Cash balance increased to $6.6 million from $1.2 million at year-end 2023.

• Net cash outflows from operating and investing activities were $7.2 million and $8.1 million, respectively.

• Basic and diluted loss per share was 9.03 cents, compared to 4.55 cents in the prior period.

Outlook and guidance

• Directors believe the Group can continue as a going concern, supported by financial backing from Shandong Gold and management of cash flows.

• A new unsecured USD30 million loan facility was entered into in July 2024 to provide additional working capital.