Industrias Penoles Sab De Cv · BMV:PE_OLES
Industrias Penoles Sab De Cv — Q2 2023 Earnings Presentation
20 slides from Industrias Penoles Sab De Cv's earnings presentation, June 2023
Slide 1: Corporate Presentation as of June 2023
CORPORATE PRESENTATION AS OF JUNE 2023 OVERCOMING CHALLENGES TO ACHIEVE OUR VISION 1
Slide 2: Operating Highlights of 2Q'23
OPERATING HIGHLIGHTS OF 2Q’23 MINING METALS CHEMICALS Completed the tie-in of the new Pyrites Plant to Gold production decreased mainly due to the Sodium sulfate production was lower due to the national power grid. lower production at Noche Buena. Silver and decrease in consumption because some lead
Slide 3: Key Financial Metrics
KEY FINANCIAL METRICS SALES EBITDA REVENUE BY PRODUCT AND MARKET3 US$ 2,950.0 mm US$ 444.6 mm YTD 2023 YTD 2023 YTD 2023 US$2,950 mm US$ 5,597.1 mm US$ 814.7 mm LTM LTM Cash Flow from Operations DEBT RATIOS US$ 129.7 mm ̴ 2.0 x Net Leverage Ratio 1 YTD 2023 US$ 420.5 mm ̴ 4.7 x Coverage Ratio 2 LTM
Slide 4: Economic Environment and Metals Prices
ECONOMIC ENVIRONMENT AND METALS PRICES GOLD London SILVER Comex USD/oz USD/oz In the second quarter of 2023, average metal prices recorded mixed movements compared to the same period in 2022. Gold and silver rose 3.9% and 7.1% respectively, with gold hitting an intraday record high in May on uncerta
Slide 5: Operating Results
OPERATING RESULTS 5
Slide 6: Contribution by Mine to 2023 Metal Production
CONTRIBUTION BY MINE TO 2023 METAL PRODUCTION1 GOLD SILVER 356,561 Oz 35,303 kOz LEAD ZINC COPPER* 40,074 Ton 130,711 Ton 10,649 Ton 6 Notes: 1/ Includes 100% of Fresnillo plc payable production, */Copper cathodes
Slide 7: Historical Mine Production
HISTORICAL MINE PRODUCTION GOLD SILVER LEAD ZINC COPPER Notes: 7
Slide 8: Historical Refined Production
HISTORICAL REFINED PRODUCTION GOLD SILVER Contribution to refined production from: LEAD ZINC Notes: 8
Slide 9: Peñoles' Cash Costs Trends
PEÑOLES’ CASH COSTS TRENDS Tizapa Sabinas 1 2 Velardeña Capela Notes: 1/ Cash cost = [Cost of goods sold (production cost minus depreciation +- change in inventories) + sales expense (treatment fees, shipping and write-downs, extraordinary ore rights)]/pounds of zinc equivalent. 2/ All-in = CC1 + co
Slide 10: Fresnillo's Cash Costs Trends
FRESNILLO’S CASH COSTS TRENDS Fresnillo Saucito San Julián (Veins) San Julián (DOB1) 2 AISC3 2 Ciénega Herradura Noche Buena Notes: 1/Disseminated Ore Body. 2/Cash cost = {total cash cost (cost of sales plus treatment and refining charges, less depreciation) - revenue from by-products }/ silver or g
Slide 11: Historical Chemicals Production
HISTORICAL CHEMICALS PRODUCTION (ton) SODIUM SULFATE MAGNESIUM OXIDE AMMONIUM SULFATE1 MAGNESIUM SULFATE Notes: 1/Maquila not included. 11
Slide 12: Financial Results
FINANCIAL RESULTS 12
Slide 13: Financial Highlights – Income Statement
FINANCIAL HIGHLIGHTS – INCOME STATEMENT INCOME STATEMENT HIGHLIGHTS 2Q’2023 Net Sales growth derived from to higher precious metal prices and higher volumes sold, mainly of concentrates, copper, zinc and lead, which were partially offset by the negative effect of lower base metal prices. The increas
Slide 14: Financial Highlights – Cost of Production
FINANCIAL HIGHLIGHTS – COST OF PRODUCTION COST OF PRODUCTION BREAKDOWN US$ 839.7 mm US$ 742.7 mm Higher Production Cost in 2Q’23 is derived from: i. the substantial appreciation of the peso against the dollar ii. the start-up of the Juanicipio beneficiation plan and the restart of operations at Milp
Slide 15: Financial Highlights – Quarterly Net Income Analysis
FINANCIAL HIGHLIGHTS – QUARTERLY NET INCOME ANALYSIS As a result of lower income for the period and the adjustment in deferred taxes due to the effect of the revaluation of the peso against the US dollar and inflation in Mexico, which originated a benefit of certain assets for tax purposes. Attribut
Slide 16: Financial Highlights – YTD Net Income Analysis
FINANCIAL HIGHLIGHTS – YTD NET INCOME ANALYSIS Notes:.1/ Includes variation for other products and services. 2/Financial expenses include Exchange result. 3/Net of Revenue from Treatment Charges, Income on inventories and other items. 4/Includes variation in hedging results.. 5/Includes hedging resu
Slide 17: Sales Volume Trend
SALES VOLUME TREND GOLD (Oz) SALE VOLUMES Units 2Q'23 2Q'22 %Chng YTD 2023 YTD 2022 %Chng Gold Oz 260,243 261,039 -0.3 515,267 511,319 0.8 SILVER (koz) Silver Koz 18,835 18,984 -0.8 36,045 36,075 -0.1 Lead Ton 29,926 26,907 11.2 58,067 59,516 -2.4 Zinc Ton 59,778 57,513 3.9 119,559 120,860 -1.1 LEAD
Slide 18: Financial Highlights – Balance Sheet
FINANCIAL HIGHLIGHTS – BALANCE SHEET BALANCE SHEET As of: Jun'23 Dec'22 % Chg. BALANCE SHEET As of: Jun'23 Dec'22 % Chg. Current assets 4,312.7 4,143.7 4.1 Current liabilities 1,580.1 1,416.4 11.6 Inventories 1,862.6 1,880.6 -1.0 Interest-bearing loans 528.4 376.8 40.2 Trade and other receivables 57
Slide 19: Financial Highlights – Cash Flow
FINANCIAL HIGHLIGHTS – CASH FLOW CASH FLOW As of: YTD'23 YTD'22 % Chg. Adjustments to reconcile profit for the period to net cash inflows from operating activities: Depreciation and amortisation 331.8 327.8 1 Income tax expense / (credit) -84.8 62.6 -236 Net finance cost 61.2 70.8 -14 Foreign exchan
Slide 20: Contact
CONTACT Mauricio García, CFO. Mauricio_Garcia@penoles.com.mx Investor Relations Investor_Relations@penoles.com.mx www.penoles.com.mx Disclaimer This presentation contains certain calculations and forward-looking information regarding to Industrias Peñoles, S.A.B. de C.V. (Peñoles) and its subsidiari
Industrias Peñoles, S.A.B. de C.V. — Q2 2023 Earnings Presentation on 6ix