Triple Flag Precious Metals (TFPM) Q2 2024 earnings summary

Executive summary

• Achieved record H1 performance with Q2 2024 sales of 27,192 GEOs, supporting 2024 guidance of 105,000–115,000 GEOs and projecting 135,000–145,000 GEOs by 2028.

• Revenue rose to $63.6M in Q2 2024, up from $52.6M year-over-year, with adjusted EBITDA up 26% to $53M and operating cash flow up 21% to $49.4M.

• Announced accretive acquisitions, including a $53M gold stream on Agbaou and Bonikro and an $8M royalty interest in Tamarack.

• Dividend increased by 5% to $0.22 per share annually, marking the third consecutive annual increase since IPO.

• Leadership transition underway: Sheldon Vanderkooy to become CEO in Q4 2024, with new CFO and COO appointments.

Financial highlights

• Q2 2024 revenue: $63.6M (up from $52.6M in Q2 2023); GEOs sold: 27,192 (up from 26,616).

• Adjusted net earnings: $26.3M ($0.13/share) vs. $18.6M ($0.09/share) in Q2 2023; reported net loss of $111.4M due to impairment charges.

• Adjusted EBITDA: $53.0M (Q2 2023: $42.1M); operating cash flow: $49.4M ($0.25/share).

• Gross profit margin: 61% (Q2 2023: 51%); asset margin: 92% (Q2 2023: 91%).

• Dividends paid totaled $10.6M, up from $10.1M year-over-year.

Outlook and guidance

• 2024 GEOs sales guidance reaffirmed at 105,000–115,000; 2028 outlook raised to 135,000–145,000 GEOs, driven by Northparkes, ATO Phase II, and new streams.

• New gold streams on Agbaou and Bonikro expected to deliver minimum annual stream deliveries through 2027, with exposure to mine life extension and exploration upside.

• Portfolio expected to deliver seventh consecutive year of production growth in 2024.

• Guidance incorporates development of new and existing assets, including E48 sub-level cave at Northparkes and new projects like Eskay Creek and Hope Bay.