Galiano Gold (GAU) Q1 2025 earnings summary

Executive summary

• Q1 2025 gold production was 20,734 ounces, impacted by a 14-day SAG mill shutdown, with 26,994 ounces sold at an average realized price of $2,833/oz.

• Mining operations focused on Abore and Esaase, with Nkran cut 3 waste stripping commencing ahead of schedule and $3.2M in capitalized development costs.

• Exploration at Abore delivered significant high-grade discoveries, including 50m @ 3.2 g/t Au from 100m, expanding the south high-grade zone and exceeding resource model expectations.

• A five-year outlook projects a ~75% production increase from 2024 levels over the next 18–20 months, though 2025 output is expected at the lower end of guidance due to the mill shutdown.

• Maintained robust liquidity with $106M in cash and no debt as of March 31, 2025.

Financial highlights

• Q1 2025 revenue was $76.6M–$77M, with income from mine operations at $15.4M and adjusted net income of $3M–$3.4M.

• Adjusted EBITDA was $19M–$26M; cash flow from operations totaled $25.9M–$26M.

• Net loss attributable to shareholders was $26.8M–$29M, mainly due to hedge book fair value adjustments from gold price increases.

• Total cash costs were $1,730/oz and AISC was $2,500–$2,501/oz, elevated by lower production and higher royalties.

• Cash and cash equivalents stood at $106M–$106.4M with no debt at quarter-end.

Outlook and guidance

• Production guidance for 2025 maintained at 130,000–150,000 ounces, with Q1 production below run-rate due to mill downtime.

• Secondary crusher commissioning is on track for Q3 2025, expected to improve throughput; most equipment is on site or in port.

• Five-year plan projects a ~75% production increase by 2026, with ongoing investment in Nkran and exploration.

• 2025 exploration budget set at ~$10M, focused on Abore and regional targets.

• AISC for FY 2025 anticipated at the higher end of guidance, with additional impact from higher royalties and levies.