Polymetals Resources (POL) H2 2024 earnings summary

Executive summary

• Focused on exploration and development of gold, silver, lead, and zinc, with main efforts on the Endeavor Mine Restart Study and acquisition of Cobar Operations Pty Ltd and Endeavor Operations Pty Ltd, completed post-year-end.

• Loss after tax for FY24 was $3.27M, a significant improvement from $7.80M in FY23, mainly due to lower impairments and higher exploration costs for the Endeavor acquisition.

• No dividends declared or paid for the year.

Financial highlights

• Revenue: $425K from government grants; no product sales as operations remain in pre-production.

• Net loss after tax: $3.27M (FY23: $7.80M), with $1.28M in Endeavor acquisition exploration costs and $86.9K impairment on Guinea projects.

• Cash at year-end: $7.88M (FY23: $2.62M), driven by $12.1M in new share issues.

• Total assets: $30.94M (FY23: $21.54M); net assets: $26.83M (FY23: $18.42M).

• Basic and diluted EPS: -2.1 cents (FY23: -8.7 cents).

Outlook and guidance

• Endeavor Mine acquisition completed 1 August 2024; production restart targeted for 2025.

• Two years to replace $27.96M Environmental Bonds; failure to do so risks asset forfeiture.

• New $20M revolving loan facility secured post-year-end to fund mine restart.

• Ongoing focus on mine plan optimization, near-mine exploration, and cost control.