Regis Resources Limited · ASX:RRL
Regis Resources — H1 FY2020 Earnings Presentation
15 slides from Regis Resources's earnings presentation, Feb 17, 2020
Slide 1: 2020 Half Year Financial Results
For personal use only 2020 Half Year Financial Results – 17 February 2020 JIM BEYER – Managing Director & CEO & JON LATTO – Chief Financial Officer ASX:RRL
Slide 2: Cautionary Statement
2 CAUTIONARY STATEMENT For personal use only 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”, “
Slide 3: Financial Highlights
3 FINANCIAL HIGHLIGHTS For personal use only Record Net Profit EBITDA A$93M up 17% A$186m up 27% Net Profit Margin +25% EBITDA Margin 50% Cash flow from Cash & Bullion Interim Dividend operating activities A$169m* 8c per share A$147m up 16% No debt *Includes bullion on hand valued at $2,220 per ounc
Slide 4: Physicals
4 FY2020 HALF YEAR PHYSICALS For personal use only FY 2020 Half Year FY19 H1 Physicals DNO DSO TOTAL TOTAL Variance Ore mined (Mbcm) 0.67 1.39 2.06 2.52 -18% Production on track to meet full year guidance 340,000 – Waste mined (Mbcm) 3.19 10.19 13.38 13.15 +2% 370,000oz Stripping ratio (w:o) 4.8 7.3
Slide 5: Financial Results
5 FY2020 HALF YEAR FINANCIAL RESULTS Net Profit For personal use only H1 FY2020 H1 FY2019 Unit 31 Dec 2019 31 Dec 2018 A$93M up 17% Ounces Produced oz 178,482 181,366 Ounces Sold oz 182,807 186,276 Average Realised Price $/oz 2,063 1,696 Sales Revenue $m 371.4 317.2 Royalties $m (17.5) (13.3) Cost o
Slide 6: Strong Performance on All Profit Measures
6 STRONG PERFORMANCE ON ALL PROFIT MEASURES FY20 continues the trend Net Profit After Tax For personal use only Revenue 100 93 400 371 89 90 85 83 338 80 350 317 80 77 299 307 290 300 70 252 61 250 60 $ millions $ millions 50 200 40 150 30 100 20 50 10 0 0 2017 H1 2017 H2 2018 H1 2018 H2 2019 H1 201
Slide 7: Cashflow Waterfall
7 CASHFLOW WATERFALL Strong cashflow from operations of $179.1 million supported the current phase of increased capital investment and also the payment of $40.7 million in dividends during the first half of FY2020 For personal use only Cash & Bullion* on Hand - 31 December 2019 $450m $400m $179.1m $
Slide 8: Dividend
8 DIVIDEND Regis continues to be an Australian gold industry leader on dividend payment metrics For personal use only Interim dividend of 8 cps ($40.7m) fully franked Interim dividend is 11% of H1 FY20 revenue and 22% of EBITDA Regis has paid and/or declared 89cps - $448 million in dividends since 2
Slide 9: Review of Operations
9 REVIEW OF FY2020 HALF YEAR OPERATIONS For personal use only Net profit after tax of $93.4 million (FY19 H1: $79.9 million) Half year interim dividend for FY2020 of 8 cents per share EBITDA of $185.6 million with strong EBITDA margin of 50% Half Year end Cash and bullion of $168.8 million* Strong o
Slide 10: Additional Financial Information
For personal use only Additional Financial Information
Slide 11: Profit & Loss
11 FY2020 HALF YEAR – Profit & Loss 31 December 2019 31 December 2018 For personal use only $’000 $’000 Revenue 371,366 317,174 Cost of goods sold (227,483) (193,364) Gross profit 143,883 123,810 Other income 437 (177) Investor and corporate costs (1,193) (1,468) Personnel costs (5,254) (4,719) Shar
Slide 12: Cash Flow Statement
12 FY2020 HALF YEAR – Cash Flow Statement 31 December 2019 31 December 2018 $’000 $’000 For personal use only Cash flows from operating activities Receipts from gold sales 370,796 315,960 Payments to suppliers and employees (191,007) (161,488) Income tax paid (33,034) (29,157) Other income 429 1,168
Slide 13: Balance Sheet
13 FY2020 HALF YEAR – Balance Sheet 31 December 2019 30 June 2019 $’000 $’000 Current assets For personal use only Cash and cash equivalents 158,974 188,697 Inventories 55,678 56,077 Other current assets 12,471 10,141 Total current assets 227,123 254,915 Non-current assets Inventories 60,764 55,898
Slide 14: "Spot Deferred" – Flexible Gold Hedge Book
14 “SPOT DEFERRED” – FLEXIBLE GOLD HEDGE BOOK (31 Dec 2019) For personal use only Regis’ hedge position reduced to ~429koz at an average of A$1,617/oz. 2,500 2,360 Regis is currently actively managing the process of selling into the 2,000 lowest price hedges. Currently at a rate of approximately 10k
Slide 15: Further information
For personal use only Further information: Jim Beyer | Managing Director & CEO + 61 8 9442 2200