Orezone Gold (ORE) Q1 2025 earnings summary

Executive summary

• Q1 2025 gold production was 28,688 ounces, with gold sales of 28,943 ounces at an average realized price of $2,851/oz, generating $82.7 million in revenue and AISC of $1,415/oz.

• Adjusted EBITDA reached $44.2 million, adjusted earnings $18.7 million, and adjusted EPS $0.04.

• Net earnings after minority interest were $16 million; earnings per share were $0.03 (basic and diluted).

• Liquidity at March 31, 2025 was $131 million, including $102 million in cash and $29 million undrawn on a term loan.

• Stage one hard rock expansion reached 45% completion, on schedule and on budget, with commissioning targeted for Q4 2025.

Financial highlights

• Revenue increased 28% year-over-year to $82.7 million; net earnings attributable to shareholders rose 37% to $16 million.

• Adjusted EBITDA up 70% year-over-year to $44.2 million; free cash flow was $3.7 million.

• Cash at period end was $102 million, up from $15.6 million a year ago.

• Gold production decreased 5% year-over-year due to lower head grades and recovery rates, partially offset by higher throughput.

• AISC per ounce sold increased 7% year-over-year to $1,415, mainly from lower grades and higher royalty costs.

Outlook and guidance

• 2025 production guidance remains 115,000–130,000 ounces, with AISC guidance of $1,400–$1,500/oz.

• Stage one hard rock expansion is expected to be operational in Q4 2025, increasing annual production to 170,000–185,000 ounces.

• Stage two expansion under study, targeting 220,000–250,000 ounces annual production; final investment decision expected in coming months.

• Sustaining capital guidance is $9–$10 million for 2025, with $3.2 million spent in Q1.

• Growth capital guidance is $44–$51 million, focused on power plant, tailings expansion, and resettlement, with $7.7 million spent in Q1.