Ramelius Resources (RMS) H2 2024 earnings summary

Executive summary

• Achieved record gold production of 293,000 ounces in FY24, up 22% year-over-year, driven by improved grades at Eridanus and Penny and increased haulage at Edna May.

• Revenue rose 40% to AUD 882.6 million, with gold sales of 293,966 ounces at AUD 2,995/oz, up 16%.

• Net profit after tax surged 166% to AUD 200.3 million, and statutory EPS was AUD 0.195, up 181% year-over-year.

• Operating cash flow increased 97% to AUD 445.5 million, and free cash flow reached AUD 212.1 million.

• Fully franked final dividend of AUD 0.05/share declared, up 150%, marking the sixth consecutive dividend payment.

Financial highlights

• Underlying EBITDA grew 67% to AUD 462.2 million, with a margin of 52%.

• All-in sustaining cost (AISC) was AUD 1,583/oz, among the lowest in the industry, and average realised gold price increased 16% to AUD 2,995/oz.

• Cash and gold on hand at year-end totaled AUD 446.6 million; net assets reached AUD 1,329.1 million.

• Underlying free cash flow surged 1,053% to AUD 315.8 million.

• Gold sales totaled 293,966 ounces.

Outlook and guidance

• FY25 group gold production guidance set at 270,000–300,000 ounces, with AISC of AUD 1,500–1,700/oz.

• Mount Magnet production expected to increase by ~50% to 240,000 ounces at midpoint; Edna May to process stockpiles and then move to care and maintenance.

• FY25 margins forecast at 52% over AISC, the highest in 10 years, with strong cash flows anticipated.

• Growth capital and exploration budgeted at AUD 40–50 million, focusing on Mount Magnet, Penny, and Rebecca-Roe.

• FY25 guidance assumes a spot gold price of AUD 3,500/oz.