- Regis Resources’ (RRL) half year profits drop and declares no interim dividend to shareholders
- The mid-tier gold company recorded a statutory net profit after tax drop of 69 per cent to $26.5 million
- However, the company did see a 22 per cent jump in revenue to $489 million from 216,651 ounces of gold sold at an average price of $2256 per ounce
- Production guidance for the 2022 financial year is between 420,000 and 475 ounces at an average price of between $1425 and $1500 per ounce
- On the market, Regis are down 0.09 per cent and is trading at $2.01 per share
Regis Resources (RRL) has seen its half-year profits drop and declares no interim dividend to shareholders.
The mid-tier gold company recorded a statutory net profit after tax drop of 69 per cent to $26.5 million.
However, the company did see a 22 per cent jump in revenue to $489 million from 216,651 ounces of gold sold at an average price of $2256 per ounce.
Earnings before interest, taxes, depreciation, and amortisation (EBITDA) was $196 million with a strong EBITDA margin of 40 per cent.
Regis said a full-year dividend will be considered at the end of the financial year and will be based on the second half-year results.
Managing Director Jim Beyer said the strong EBITDA and margin is “reflective of this transformational change.”
“Tropicana is delivering on our expectations in the early part of Regis ownership and we look forward to the growth ahead as the operation transitions back to its historical run rate of 450,000-500,000 ounces per year,” he said.
“The combination of this Tier 1 ore body in a Tier 1 jurisdiction with a stronger H2 and beyond at Duketon will enable us to deliver our strategic objectives to grow as a safe, reliable, long life, low cost gold producer, generating strong financial returns.”
Production guidance for the 2022 Financial Year is between 420,000 and 475 ounces at an average price of between $1425 and $1500 per ounce.
At the end of the period, Regis had $180 million in cash and bullion.
On the market, Regis dropped 0.99 per cent and is trading at $2.01 per share at 12:20 pm AEDT.