Regis Resources Limited · ASX:RRL
Regis Resources — H1 FY2021 Earnings Presentation
16 slides from Regis Resources's earnings presentation, Feb 25, 2021
Slide 1: 2021 Half Year Financial Results
2021 Half Year Financial Results – 25 February 2021 JIM BEYER – Managing Director & CEO & JON LATTO – Chief Financial Officer ASX:RRL
Slide 2: Cautionary Statement
2 CAUTIONARY STATEMENT These materials prepared by Regis Resources Limited (or “the Company”) include forward looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as “may”, “will”, “expect”, “intend”, “plan”, “esti
Slide 3: Highlights
3 HIGHLIGHTS Strong Net Profit EBITDA A$85M A$199m up 7% Net Profit Margin +21% EBITDA Margin 50% Interim Dividend Cash flow from Cash & Bullion 4c per share operating activities A$220m* Grossed up H1 yield A$148m No debt of 1.7%** Approved Garden Well Underground Project * Includes bullion on hand
Slide 4: Financial Results
4 FY2021 HALF YEAR FINANCIAL RESULTS Net Profit H1 FY2021 H1 FY2020 Unit 31 Dec 2020 31 Dec 2019 A$85M Ounces Produced oz 172,977 178,482 Ounces Sold oz 172,990 182,807 Average Realised Price $/oz 2,317 2,063 Sales Revenue $m 401.0 371.4 Royalties $m (19.5) (17.5) Cost of Sales $m (247.0) (210.0) EB
Slide 5: Strong Performance on All Profit Measures
5 STRONG PERFORMANCE ON ALL PROFIT MEASURES Positive start to FY21 Net Profit After Tax Revenue 120 450 107 386 401 400 371 100 93 89 338 85 83 85 350 317 80 299 307 80 300 $ millions $ millions 250 60 200 40 150 100 20 50 0 0 2018 H1 2018 H2 2019 H1 2019 H2 2020 H1 2020 H2 FY21 2021 H1 2018 H1 2018
Slide 6: Cashflow Waterfall
6 CASHFLOW WATERFALL Robust cash flow from operations of $195 million supports capital investment in the Company’s mines, a significant exploration program and the payment of $34.3 million in cash dividends Cash & Bullion on Hand - 31 December 2020 $450m $195.0m $400m $350m ($60.5m) ($22.5m) $294.6m
Slide 7: Dividend
7 DIVIDEND Regis continues to be an Australian gold industry leader on dividend payment metrics Interim dividend of 4 cps ($20.5m) fully franked payout: Regis has paid and/or declared 101cps - $509 million in dividends since 2013 Basic H1 yield of 1.2% and grossed-up yield of $1.7%* The interim divi
Slide 8: Guidance Update for FY21
8 GUIDANCE UPDATE FOR FY21 Gold Production 355,000 - 380,000 ounces Stronger production for H2. C1 Cash Costs including royalties A$1,030 - 1,090 per ounce No change to guidance All in Sustaining Cost A$1,230 - 1,300 per ounce No change to guidance GROWTH RELATED EXPENDITURE Growth Capital* increase
Slide 9: Summary of FY2021 Half Year
9 SUMMARY OF FY2021 HALF YEAR Operations Net profit after tax of $84.8 million (FY20 H1: $93.4 million) Half year interim dividend for FY2021 of 4 cents per share EBITDA of $198.6 million with strong EBITDA margin of 50% Half Year end Cash and bullion of $220.0 million* Strong operational performanc
Slide 10: Additional Financial Information
Additional Financial Information
Slide 11: FY2021 Half Year Physicals
11 FY2021 HALF YEAR PHYSICALS Production on track to meet full year guidance 355,000 – 380,000oz with production weighted to H2 4 FY 2021 Half Year FY20 H1 Physicals DNO DSO TOTAL* TOTAL Variance Ore mined (Mbcm) 0.74 1.40 2.13 2.06 +3% Waste mined (Mbcm) 5.69 8.75 14.44 13.38 +8% 3 Stripping ratio
Slide 12: FY2021 Half Year – Profit & Loss
12 FY2021 HALF YEAR – Profit & Loss 31 December 2020 31 December 2019 $’000 $’000 Revenue 401,045 371,366 Cost of goods sold (266,569) (227,483) Gross profit 134,476 148,883 Other income 14 437 Investor and corporate costs (1,785) (1,193) Personnel costs (4,597) (5,254) Share-based payment expense (
Slide 13: FY2021 Half Year – Cash Flow Statement
FY2021 HALF YEAR – Cash Flow Statement 13 31 December 2020 31 December 2019 $’000 $’000 Cash flows from operating activities Receipts from gold sales 400,880 370,796 Payments to suppliers and employees (212,426) (191,007) Income tax paid (40,269) (33,034) Other income (412) 429 Net cash from operati
Slide 14: FY2021 Half Year – Balance Sheet
14 FY2021 HALF YEAR – Balance Sheet 31 December 2020 30 June 2020 $’000 $’000 Current assets Cash and cash equivalents 202,573 192,428 Inventories 80,438 74,430 Other current assets 14,031 10,847 Total current assets 297,042 277,705 Non-current assets Inventories 71,686 63,503 Property, plant and eq
Slide 15: "Spot Deferred" – Flexible Gold Hedge Book (31 Dec 2020)
“SPOT DEFERRED” – FLEXIBLE GOLD HEDGE BOOK (31 Dec 2020) 15 Regis’ hedge position reduced to ~359koz at an average of A$1,617/oz 3,000 Regis is currently actively managing the process of selling into the 2,618 lowest price hedges by delivering approximately 20koz per quarter into 2,500 the lowest pr
Slide 16: Further information: Jim Beyer
Further information: Jim Beyer | Managing Director & CEO + 61 8 9442 2200