Slide 1: 2021 Full Year Financial Results
For personal use only 2021 FULL YEAR FINANCIAL RESULTS 19 AUGUST 2021 JAKE KLEIN – EXECUTIVE CHAIRMAN L AW R I E C O N WAY – F I N A N C E D I R E C T O R A N D C F O
Slide 2: Forward Looking Statement
FORWARD LOOKING STATEMENT For personal use only These materials prepared by Evolution Mining 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: Production Target & Forecast Financials
PRODUCTION TARGET & FORECAST FINANCIALS For personal use only Group Three-Year FY22 FY23 FY24 Outlook Production (oz) 700,000 – 760,000 815,000 – 875,000 940,000 – 1,010,000 AISC (A$/oz)1 1,220 – 1,280 1,125 – 1,185 1,170 – 1,230 Sustaining Capex (A$/M) 125 – 155 120 – 160 125 – 165 Major Capital (A
Slide 4: Highlights
HIGHLIGHTS SAFETY | EXCELLENCE | ACCOUNTABILITY | RESPECT For personal use only Record FY21 Portfolio Strong Balance Net Profit positioned for high Sheet to margin growth support growth 4
Slide 5: Executing a Value Accretive Growth Strategy
EXECUTING A VALUE ACCRETIVE GROWTH STRATEGY Accretive to shareholders For personal use only Principles Improve portfolio quality Concentrated portfolio of 6 – 8 assets Cowal Red Lake Ernest Henry Mungari Motivated seller Strategic Synergies Rationale Deep turnaround opportunity Geological upside 5
Slide 6: Mungari Consolidation
MUNGARI CONSOLIDATION Kundana and EKJV acquisition completed 18 August 2021 For personal use only Fully funded by underwritten equity raising of A$400M Share Purchase Plan being well supported Targeting A$50M Closes on Friday 20 August 2021 High acceptance rate with over 90% of employees
Slide 7: Sustainability: Integrated into Everything We Do
SUSTAINABILITY INTEGRATED INTO EVERYTHING WE DO For personal use only Keeping our people healthy and safe Through strong collective leadership Evolution Creating value continues to navigate COVID-19 safely with no material in the areas we impact on operations and supporting stakeholders choose to
Slide 8: Financial Highlights
Financials Units FY21 FY20 Change FINANCIAL HIGHLIGHTS Statutory Profit before tax A$M 496.2 408.6 21% For personal use only Statutory Profit after tax1 A$M 345.3 301.6 14% Underlying Profit after tax1 A$M 354.3 405.4 (13%) EBITDA A$M 914.2 1,029.4 (11%) EBITDA Margin % 49% 53% (8%) AIC Margin A$/oz
Slide 9: Record Statutory Net Profit
RECORD STATUTORY NET PROFIT Record statutory profit up 14% to A$345.3M For personal use only Strong underlying profit of A$354.3M By-product revenue up 27% due mainly to higher achieved copper price Operating costs driven by: Increased activity of A$26.6M (~3.5%) Price changes of A$5.8M
Slide 10: High EBITDA and Mine Cash Flow Margins
HIGH EBITDA AND MINE CASH FLOW MARGINS Benefits of portfolio approach focused on margins For personal use only Operating margins of 50% Cash Flow Margins (% Revenue) Net mine cash margin after capital of 30% 58% 50% Group cash flow of 18% 38% 30% Continued high margin at cornerstone assets 28%
Slide 11: Dividends
DIVIDENDS 120% Dividends declared (cps) 20 18 100% 16 Final dividend: 14 For personal use only 80% 12 Fully franked at 5 cents (~A$91M1) 9 60% 10 5 8 Payment date: 28 September 2021 40% 6 6 4 Record date: 31 August 2021 20% 1 2 3 7 7 4 1 1 2 3.5 3.5 2 0% 0 Full year dividend: FY15 FY16 FY17 FY
Slide 12: Balance Sheet
BALANCE SHEET Continued Strengthening of Balance Sheet Pro-Forma Debt Maturity Profile (A$M) For personal use only 477 Investment grade debut debt placement Increases average debt maturity from 3 to 7 years No material debt repayment until FY26 273 240 Undrawn revolver facility (A$360M) Lo
Slide 13: FY22 Guidance – Production and Cost
FY22 GUIDANCE – PRODUCTION AND COST Production For personal use only Cowal benefits from higher grade ore (Stage H) FY22 Gold Production AISC (A$/oz) Red Lake driven by higher grade and throughput in Guidance* H2 Mungari will realise benefits of Kundana and EKJV Cowal 230,000 – 250,000 1,180 –
Slide 14: FY22 Guidance – Capital
FY22 GUIDANCE – CAPITAL Sustaining Capital Sustaining For personal use only Cowal planned mobile fleet replacement and mill upgrades FY22 Major Capital Capital Red Lake investment linked to new growth in mine life Guidance (A$M) (A$M) Replacement mobile fleet (A$20 – 25M) Mine development (A
Slide 15: FY22 Guidance – Quarters
FY22 GUIDANCE – QUARTERS Production will ramp up based on mine plans and as projects are delivered For personal use only AISC will trend down from ~A$1,450/oz in September Quarter Sustaining capital planned to be consistent quarter-on- quarter (QoQ) Cowal Process lower grade stockpile in Sep
Slide 16: Summary
SUMMARY BUILDING A GOLD COMPANY THAT PROSPERS THROUGH THE CYCLE For personal use only Disciplined growth Continued focus A$943M returned investment in long- on margins over to shareholders life cornerstone ounces via 17 consecutive assets dividends 16
Slide 17: Appendix
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES For personal use only APPENDIX
Slide 18: FY22 Guidance – Production Costs & Capital
FY22 GUIDANCE – PRODUCTION COSTS & CAPITAL For personal use only All-in Sustaining Sustaining Gold Production Major Capital** FY22 Guidance Cost* Capital** (oz) (A$/oz) (A$M) (A$M) Cowal 230,000 – 250,000 1,180 – 1,220 35.0 – 40.0 260.0 – 280.0 Red Lake 155,000 – 165,000 1,600 – 1,660 55.0 – 60.0 13
Slide 19: FY22 Guidance – Discovery and Non-Cash
FY22 GUIDANCE DISCOVERY AND NON-CASH For personal use only Depreciation & Discovery FY22 Guidance Amortisation (A$M) (A$/oz) Cowal 410 – 460 5.0 - 10.0 Red Lake 330 – 380 15.0 – 20.0 Mungari 420 – 470 5.0 – 10.0 Mt Rawdon 700 – 750 0.0 – 2.0 Mt Carlton 520 – 570 0.0 – 3.0 Ernest Henry 1,420 – 1,470
Slide 20: Production and Cost Outlook
PRODUCTION AND COST OUTLOOK Cornerstone assets driving production towards 1Mozpa by FY24 Production (koz) For personal use only Cowal trends up to 350kozpa by FY24 from Stage H & Underground 940 – 1,010 Red Lake achieves >200kozpa in FY23 and >250kozpa in FY24 815 - 875 700 - 760 Mungari imp
Slide 21: Capital Outlook
CAPITAL OUTLOOK SUSTAINING CAPITAL Equipment and infrastructure replacement due to longer mine life plans For personal use only Sustaining Capital Cowal A$35 – 45M per year (A$M) Red Lake A$40 – 45M (FY22); A$45M – 55M (FY23 & FY24) Red Lake mine development: A$15 – 20M per year MAJOR CAPITA
Slide 22: Evolution Mining
For personal use only Evolution MINING