Royal Gold, Inc. · NASDAQ:RGLD

Royal Gold — Q2 FY2015 Earnings Presentation

15 slides from Royal Gold's earnings presentation, Jan 29, 2015

  1. Slide 1: Second Quarter 2015 Results

    Second Quarter 2015 Results January 29, 2015 SOLID PORTFOLIO. SOLID FUTURE.

  2. Slide 2: Cautionary Statement

    Cautionary Statement This presentation contains certain forward‐looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties, and other factors that could cause actual results to differ m

  3. Slide 3: Today's Speakers

    Today’s Speakers Tony Jensen Bill Heissenbuttel Stefan Wenger President and CEO VP Corporate CFO and Treasurer Development & Operations January 29, 2015 3

  4. Slide 4: Second Quarter 2015 Highlights

    Second Quarter 2015 Highlights Financial Results compared to prior year quarter: Revenue of $61.3 million, up 16%  Streaming revenue of $17.3 million  Royalty revenue of $44.0 million Adjusted EBITDA1 of $48.0 million, up 5% $13.7 million in dividends paid, up 5% Operating Results: Gold Equivalent

  5. Slide 5: Mount Milligan Ramp-Up

    Growth Mount Milligan Ramp-Up 250 Mt. Milligan reported payable production Cumulative Gold Ounces (000’s) 200 Production subject to RGLD stream (payable production *.5225) 150 100 Gold in the system ~50k 50 0 CQ4 '13 CQ1 '14 CQ2 '14 CQ3 '14 CQ4 '14 Calendar year 2014 production of 178koz of payable

  6. Slide 6: Phoenix Project Construction

    Growth Phoenix Project Construction Rubicon Minerals’ photo of Phoenix Project, Summer 2014 Rubicon Minerals’ photo of SAG and Ball mill, December 2014 As of mid-December 2014:  Over half of the project has been completed  Stockpiling of mineralized material from underground stopes underway  45%

  7. Slide 7: Gold Equivalent Ounce Waterfall

    Gold Equivalent Ounce Waterfall Net GEO’s Q1FY15 vs Q2 FY15 Net GEO’s Q2FY14 vs Q2FY15 50,000 50,000 45,000 45,000 Gold Equivalent Ounces (GEO’s) Gold Equivalent Ounces (GEO’s) 40,000 40,000 35,000 35,000 30,000 30,000 25,000 25,000 Includes Mount Milligan GEO’s net of our stream payment January 29,

  8. Slide 8: Financial Overview

    Financial Overview Financial Results compared to prior year quarter: Revenue of $61.3 million, up 16% DD&A rate of $397/oz for the quarter, down 28% Effective tax rate of 22% EPS of ($0.10) per share  Non-cash charges related to Wolverine royalty of ($0.33) per share  Absent this adjustment, EPS w

  9. Slide 9: Opportunity

    Opportunity Over $950 million uncommitted at a time when royalty/stream financing is needed Capital to invest… Net of future commitments ($m) $450M $1,185.0 Working capital & undrawn credit at 12-31-14 Liquidity at 12/31/2014 $734M Working Capital $450M Undrawn Revolver -$7.5 Ilovitza initial paymen

  10. Slide 10: Quality Portfolio

    Quality Portfolio Gross Margin and Carrying Value Amongst Operating Properties 90% $900 80% $800 70% $700 Gross Margin, 9 months ended Sept 30, 20141 Net Book Value in Millions 60% $600 Average gross margin of 55% 50% $500 40% $400 30% $300 20% $200 10% $100 0% $0 January 29, 2015 10

  11. Slide 11: What Makes Royal Gold Unique

    What Makes Royal Gold Unique Growth Quality Opportunity January 29, 2015 11

  12. Slide 12: Endnotes

    Endnotes SOLID PORTFOLIO. SOLID FUTURE.

  13. Slide 13: Endnotes

    Endnotes Many of the matters in these endnotes and the accompanying slides constitute forward looking statements and are subject to numerous risks, which could cause actual results to differ. See complete Cautionary Statement on page 2. PAGE 4 SECOND QUARTER RESULTS 1. The Company defines Adjusted E

  14. Slide 14: Property Portfolio

    Property Portfolio 198 PROPERTIES BAS |e

  15. Slide 15: Solid Portfolio. Solid Future.

    1660 Wynkoop Street Denver, CO 80202-1132 303.573.1660 info@royalgold.com www.royalgold.com SOLID PORTFOLIO. SOLID FUTURE.

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