In This Article:
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Revenue: $214.4 million, a 5% increase year on year.
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EBITDA: $101.8 million with a margin of 47%.
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Free Cash Flow: $65.7 million.
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Final Dividend: 9p, bringing the full year dividend to 18p.
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Kounrad Copper Production: 13,439 tons.
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Sasa Lead Production: 26,617 tons.
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Sasa Zinc Production: 18,572 tons.
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Kounrad C1 Copper Cash Costs: $0.80 per pound, an 8% increase year on year.
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Sasa Run of Mine Costs: $64.6 per ton, an $8.4 increase year on year.
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Cash Balance: $67.6 million with minimal debt.
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CapEx: Just under $21 million, with $6.4 million related to Sasa capital projects.
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EPS from Continued Operations: $0.289, a 42% increase year on year.
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EBITDA Margin for Kounrad: 73%.
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EBITDA Margin for Sasa: 35%.
Release Date: March 20, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Central Asia Metals PLC (CAMLF) reported a strong revenue of $214.4 million for 2024, with an EBITDA of $101.8 million and a margin of 47%.
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The company generated a free cash flow of $65.7 million, allowing for a full-year dividend of 18p, representing 63% of the free cash flow.
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Production at Kounrad was stable, with copper production in line with guidance, and Sasa's modernization efforts extended its mine life to 2039.
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The company achieved a 44% reduction in Scope 1 and 2 greenhouse gas emissions, progressing towards its 50% reduction target by 2030.
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Central Asia Metals PLC (CAMLF) maintains a strong balance sheet with $67.6 million in cash and minimal debt, providing flexibility for future growth opportunities.
Negative Points
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Sasa's production was slightly below guidance due to challenges with the transition to paste backfill mining, impacting tonnage.
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The company faced two minor lost-time injuries, although the frequency rate was below target.
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Inflation and foreign exchange fluctuations impacted costs, with increased group admin costs and higher silver purchases affecting cost of sales.
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Despite reviewing numerous business development opportunities, the company did not secure any new acquisitions, citing competition and valuation challenges.
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The commissioning of the dry-stack tailings plant at Sasa is expected to increase operational costs, although efficiencies are being sought.
Q & A Highlights
Q: With a strong balance sheet and dividends paid above policy, will Central Asia Metals continue paying a minimum of 18p dividends going forward, assuming no large acquisitions? A: Gavin Ferrar, CEO, stated that in the absence of a material transaction, the company will continue to pay outsized dividends. The policy is 30% to 50% of free cash flow, and the goal is to return to policy if a material transaction occurs. With diminishing CapEx, the cash balance is expected to grow, facilitating future M&A activities.