Caledonia Mining Corporation Plc · AMEX:CMCL
Caledonia Mining — Q1 2014 Earnings Presentation
8 slides from Caledonia Mining's earnings presentation, May 14, 2014
Slide 1: Caledonia Mining Q1 2014 Results Review
CALEDONIA MINING Q1 2014 RESULTS REVIEW
Slide 2: Q1 2014 Results Highlights
Q1 2014 Results Highlights Caledonia – Results Highlights Q1 2014 Q4 2013 Q1 2013 Gold production (oz) i 10,241 11,821 10,469 Gold Sales (oz) i 12,210 9,454 11,964 On-Mine cash costs (US$/gold oz) ii 651 666 653 All-inclusive costs (excl. royalty) (US$/gold oz) iii 923 1,175 925 Attributable profit
Slide 3: Production
Q1 2014 Results Production Source: Caledonia MD&A’s • Q1 2014 production was adversely affected by grade dilution and lower tonnage • Metallurgical recoveries remained high, increasing from 93.4% in Q4 2013 to 93.6%, notwithstanding the lower feed-grade 3
Slide 4: Production – Grade Dilution
Q1 2014 Results Production – Grade Dilution • Q1 2014 production was adversely affected by lower grade and tonnages • Grades adversely affected by low-grade zones and dilution arising from over-drilling of fans. – Fan drilling was adopted in Q3 2013 on safety grounds at that time. – The longhole-sto
Slide 5: Costs
Q1 2014 Results Costs • On-mine cash costs remain stable and benefit from the sale of WIP brought forward from 2013 • AISC benefits from lower G&A and reduced sustaining capex • Over 65% of Blanket’s costs and all corporate overheads are fixed: as production increases later to 2014 to achieve the ta
Slide 6: P&L
Q1 2014 Results P&L Summary P&L • Revenues and royalty lower due to the lower gold price 2013 2014 Q1 Q2 Q3 Q4 Year Q1 Revenues 19.2 17.2 16.6 12.1 65.1 17.1 • G&A increases Q-on-Q reflecting Royalty -1.3 -1.1 -1.2 -0.9 -4.5 -1.2 Caledonia’s strengthened management Operating costs -8.0 -6.6 -6.9 -5.
Slide 7: Balance Sheet
Q1 2014 Results Balance Sheet • Increase in fixed assets reflects continued Summary Balance Sheet (C$'m) investment at Blanket – particularly expansion investment at the satellites (GG and Mascot) and 31-Dec 31-Dec 31-Mar the No. 6 Winze 2012 2013 2014 Fixed Assets 36.5 33.4 36.2 Inventories 5.5 6.9
Slide 8: Cash Flow
Q1 2014 Results Cash Flow • Strong operational cash flows despite the lower gold price • No further advance dividend payments • Of the $2m capital investment, $1.5m was invested in expansion projects at Blanket and the satellites • Dividends paid primarily relate to the quarterly dividend of 1.5 cen