Regis Resources Limited · ASX:RRL
Regis Resources — FY2020 Earnings Presentation
17 slides from Regis Resources's earnings presentation, Aug 26, 2020
Slide 1: 2020 Financial Results – 26 August 2020
2020 Financial Results – 26 August 2020 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: FY20 Financial Highlights
FY20 FINANCIAL HIGHLIGHTS 3 Record NPAT of $200M up 22% NPAT Margin of 26% EBITDA1 EPS up 22% to 39 cents per share $394m up 28% ROE of 24% EBITDA Margin 52% Full Year Dividends Cash flow from Cash & Bullion 16c per share operating activities $209m2 2.9% basic yield $343m up 24% No debt 4.1% grossed
Slide 4: FY2020 Full Year Financial Results
4 FY2020 FULL YEAR FINANCIAL RESULTS Record NPAT of FY2020 FY2019 Unit 30 June 2020 30 June 2019 $200M up 22% Ounces Produced oz 352,042 363,418 NPAT Margin of 26% Ounces Sold oz 353,182 369,721 EPS up 22% to 39 cents Average Realised Price $/oz 2,200 1,765 ROE of 24% Sales Revenue1 $m 756.7 654.8 R
Slide 5: Strong Performance on Key Financial Metrics
5 STRONG PERFORMANCE ON KEY FINANCIAL METRICS FY20 continues the trend Production, Realisedwith Production Gold Price & AISC Net Profit After Tax and Margin Realised Gold Price and AISC 250 35% 400 361 363 $2,500 352 30% 350 324 200 310 305 $2,000 25% 300 150 $Millions 250 20% $1,500 AISC/oz 200 15%
Slide 6: Strong Growth in Year on Year Net Profit After Tax
6 STRONG GROWTH IN YEAR ON YEAR NET PROFIT AFTER TAX FY20 continues the growth trend Net Profit After Tax - 30 June 2020 $250m $61m $5m ($9m) ($1m) $200m $200m ($15m) ($5m) $163m $150m $100m $50m - - - - - -
Slide 7: Circa Half a Billion Dollars in Dividends Since 2013
7 CIRCA HALF A BILLION DOLLARS IN DIVIDENDS SINCE 2013 Regis continues to be an Australian gold industry leader on dividend payment metrics Final dividend of 8 cps ($41m) fully franked payout Total dividends for FY20 of 16 cps ($81m) fully franked 11% of FY20 revenue and 21% of EBITDA1 2.9% basic di
Slide 8: Cashflow Waterfall
8 CASHFLOW WATERFALL Strong cashflow from operations of $424 million supported increased capital investment during FY20 and the payment of $81 million in dividends during the year Cash & Bullion on Hand - 30 June 2020 $700m $424m $600m $500m ($135m) ($37m) $400m $ 3 76m ($65m) ($16m) $300m ($64m) ($
Slide 9: FY21 Guidance
9 FY21 GUIDANCE Regis is expecting a strong year of growth within the operations as production continues to lift in line with the targeted growth profile heading to 400,000oz pa from internal development options. Production rate is planned to lift above historic annual rate in the second half of the
Slide 10: Review of FY2020
10 REVIEW OF FY2020 THE CURRENT BUSINESS’ PERFORMANCE: Net profit after tax of $200 million (FY19: $163 million) with a NPAT margin of 26% and ROE of 24% Dividends for FY2020 of 16 cents per share fully franked for a 4.1% grossed1 up yield EBITDA of $394 million with strong EBITDA margin of 52% Cash
Slide 11: Additional Financial Information
Additional Financial Information
Slide 12: FY2020 – Profit & Loss
12 FY2020 – Profit & Loss 30 June 2020 30 June 2019 $’000 $’000 Revenue 756,657 654,807 Cost of goods sold (452,011) (401,970) Gross profit 304,646 252,837 Other income (150) 4,379 Investor and corporate costs (3,408) (2,521) Personnel costs (10,062) (9,360) Share-based payment expense (144) (1,082)
Slide 13: FY2020 – Cash Flow Statement
13 FY2020 – Cash Flow Statement 30 June 2020 30 June 2019 $’000 $’000 Cash flows from operating activities Receipts from gold sales 755,791 652,450 Payments to suppliers and employees (348,923) (326,680) Income tax paid (63,792) (53,971) Other receipts/(payments) (63) 3,686 Net cash from operating a
Slide 14: FY2020 – Balance Sheet
14 FY2020 – Balance Sheet 30 June 2020 30 June 2019 $’000 $’000 Current assets Cash and cash equivalents 192,428 188,697 Inventories 74,430 56,077 Other current assets 10,847 10,141 Total current assets 277,705 254,915 Non-current assets Inventories 63,503 55,898 Property, plant and equipment 261,67
Slide 15: “Spot Deferred” – Flexible Gold Hedge Book (30 June 2020)
15 “SPOT DEFERRED” – FLEXIBLE GOLD HEDGE BOOK (30 June 2020) Regis’ hedge position reduced to ~399koz at an average of A$1,614/oz. 2,500 2,333 Regis is currently actively managing the process of selling into the 2,000 lowest price hedges and reduced its hedges by approximately 52,000 ounces in FY20.
Slide 16: FY2020 Physicals
16 FY2020 PHYSICALS FY 2020 FY2019 Physicals DNO DSO TOTAL TOTAL Variance Ore mined (Mbcm) 1.36 2.80 4.16 4.28 -3% Waste mined (Mbcm) 6.81 19.56 26.37 28.12 -6% Stripping ratio (w:o) 5.0 7.0 6.3 6.6 -5% Ore mined (Mtonnes) 2.75 7.23 9.98 10.14 -2% Ore milled (Mtonnes) 3.00 6.37 9.37 9.43 -1% Head gr
Slide 17: Further information: Jim Beyer, Managing Director & CEO
Further information: Jim Beyer | Managing Director & CEO + 61 8 9442 2200