Ramelius Resources Limited · ASX:RMS
Ramelius Resources — H1 FY2021 Earnings Presentation
12 slides from Ramelius Resources's earnings presentation, Feb 22, 2021
Slide 1: Financial Results Half Year Ended December 2020
Ramelius Resources Limited Mark Zeptner Tim Manners Managing Director Chief Financial Officer ASX:RMS Financial Results Half Year Ended December 2020 HALF YEAR RESULTS – DECEMBER 2020 1
Slide 2: Qualification: Forward Looking Statements
QUALIFICATION Forward Looking Statements This presentation contains certain forward looking statements with respect to Ramelius Resources Ltd’s (Ramelius) financial condition, results of operations, production targets and other matters that are subject to various risks and uncertainties. Actual resu
Slide 3: H1 FY2021 - Highlights
H1 FY2021 - HIGHLIGHTS • NPAT: Up 297% to A$81.3M (Dec 19: A$20.5M) Financial Results • Net Cash & Gold: Up 32% to A$213.4M (June 2020: A$161.1M) • Feasibility Study Complete: 584,000t @ 13.3 g/t Au for 238,000oz^ Penny Project • Financially Compelling: Pre-Tax NPV A$301M (5% at A$2,300/oz) • Minera
Slide 4: H1 FY2021 – Production & Sales
H1 FY2021 – PRODUCTION & SALES • Group: 144,240 oz up 57% (H1 FY2020: 92,084 oz) Gold Production • Mt Magnet: 84,119 oz up 26% (H1 FY2020: 66,987 oz) • Edna May: 60,121 oz up 140% (H1 FY2020: 25,097 oz) • Group: A$1,261/oz up 2% (H1 FY2020: A$1,240/oz) AISC • Mt Magnet: A$1,143/oz down 4% (H1 FY2020
Slide 5: H1 FY2021 Financial Highlights
H1 FY2021 FINANCIAL HIGHLIGHTS^ HY Ended HY Ended % Financials Units 31 Dec 2020 31 Dec 2019 Change Revenue A$’000 342,226 158,451 116% EBITDA A$’000 192,840 65,910 193% EBITDA Margin A$’000 56.3% 41.6% 35% Net profit after Tax A$’000 81,320 20,494 297% Cash Flow from Operations A$’000 160,934 54,35
Slide 6: Reconciliation of EBIT (Dec 19 to Dec 20)
RECONCILIATION OF EBIT (DEC 19 TO DEC 20) ▪ Higher production at marginally higher costs generated material lift in Earnings ▪ Higher gold sales from 57% increase in gold produced ▪ Average sales price increased 25% on back of higher spot market & improved hedge book prices ▪ Underlying costs per to
Slide 7: Margins Rising: Cost Control & Improving Gold Price
MARGINS RISING: COST CONTROL & IMPROVING GOLD PRICE ▪ Gold production increased year-on-year by 21.5% since FY15 AISC Margin increased from 20% in FY15 to 42% in FY20 ▪ Consistent AISC profile over past 6 years…varying less than 4% over timeframe ▪ Commitment to cost control and focus on cash flow m
Slide 8: Reconciliation of Movement in Net Cash & Gold (Last 6 Months)
RECONCILIATION OF MOVEMENT IN NET CASH & GOLD (LAST 6 MONTHS) ▪ Strong AISC margin of $149.4m ▪ Cash generation invested into current and future projects and also a return to shareholders ▪ Maintain committed exploration program ▪ Fully Franked dividend (2cps) from FY20 paid in this period ▪ Stamp D
Slide 9: Return on Investment – Key Driver of Decision Making
RETURN ON INVESTMENT – KEY DRIVER OF DECISION MAKING* ➢ Track record of generating positive (net) cash flow from new projects ➢ Marda now in production (298kt ore stockpile, ~A$25M in free cf.) ➢ Tampia commenced capital expenditure program ➢ Penny capital program brought forward from FY22 into FY21
Slide 10: Balance Sheet Strength
BALANCE SHEET STRENGTH CURRENT ASSETS ▪ $312.7M in current assets ▪ Very strong liquidity: $162.4M (current assets less current liabilities) ▪ Net Assets $581.9M (up 13% on June 2020) ▪ Corporate Facility: $8.1M outstanding (June 2021) ▪ Poised to act on growth opportunities, both Figures are A$M in
Slide 11: Amongst Highest Margins Compared to Peer Group
AMONGST HIGHEST MARGINS COMPARED TO PEER GROUP^ ^ Source: Refer to Company specific Financial Results released on ASX Platform in January/February 2021 HALF YEAR RESULTS – DECEMBER 2020 11
Slide 12: Questions?
Questions ? HALF YEAR RESULTS – DECEMBER 2020 12