RAMELIUS INCREASES HALF YEAR NET PROFIT AFTER TAX 297% TO A RECORD A$81.3M H1 FY 2021 HIGHLIGHTS
• Gold production of 144,240 ounces (H1 FY 2020: 92,084oz), up 57%
• EBITDA** of A$192.8M (H1 FY 2020: A$65.9M), up 193%
• EBIT** of A$118.3M (H1 FY 2020: A$30.5M), up 288%
• Net profit before tax of A$116.7M (H1 FY 2020: A$29.6M), up 294%
• Net profit after tax of A$81.3M (H1 FY 2020: A$20.5M), up 297%
• AISC* of A$1,261/oz (H1 FY 2020: A$1,240/oz), up 2%
• Sales revenue of A$342.2M (H1 FY 2020: A$158.5M), up 116%
• Net cash & bullion of A$213.4M(FY 2020: A$87.7M), up 143%
• FY 2020 Guidance remains at 260–280koz at an AISC of A$1,230–A$1,330/oz
Ramelius Resources Limited (ASX: RMS) (“Ramelius”, “the Company”) is pleased to report
a record financial and operational performance for the half year ended 31 December 2020.
Net Profit after Tax increased 297% to A$81.3M on the back of improving grades at Ramelius’
Western Australian gold mines and an increasing realised gold price. All in Sustaining Costs
(“AISC”) remained comparable to the prior corresponding period, further demonstrating the
Company’s commitment to cost control.
EBITDA of A$192.8M from sales revenue of $342.2M highlighted a margin of 56.3%, which
is one of the highest amongst the ASX listed mid-tier gold producers.
A total of A$83.4M was invested in future long term mine development largely consisting of:
• A$58.6M in mine development (Mt Magnet open pit & underground mines, Edna
May underground and the Marda Gold Project)
• A$17.7M across property, plant, and equipment (mostly relating to the Tampia Gold
• A$6.6M on exploration and evaluation, and
• A$2.3M on the contingent consideration for the 2017 acquisition of the Edna May
Project from Evolution Mining Ltd.
Notwithstanding this significant investment in mine development over the half year, $16.2M
distributed to shareholders in the form of a fully franked dividend, and $16.3M in debt
repayments, the Company’s cash and gold increased by A$36.0M from 30 June 2020.
There were no dividends recommended on the back of the half year results but in keeping
with recent practice we will assess dividends at the end of the full year results for FY2021.
Full details are contained in the Appendix 4D and half year financial report released today.
Ramelius Managing Director, Mark Zeptner, today said:
“The Company’s profitability has increased significantly in the December 2020 half and continues the solid earnings from
the second half of FY20. This profitability has been achieved as a result of strong cost controls, improving grades, and an
improving gold price.
Both our production centres contributed to the increasing EBITDA and underlying profitability over the corresponding
period last year. At Mt Magnet the additional high grade feed from the undergrounds and continued solid performance
from Eridanus has resulted in nearly a three-fold increase in production centre earnings.
EBIT from Edna May increased five-fold with the plant operating at full capacity feeding ore from Greenfinch and Marda
as well as the Edna May underground.
Both the increase in earnings and cashflow highlight the strength of our balance sheet which will allow us to develop our
own growth projects with confidence and continue to assess external growth opportunities as they arise.”
courtesy of Bell Direct
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