Caledonia Mining Corporation Plc press release
Endeavour Reports Strong Q1-2025 Results
NYSE - New York Stock Exchange · Jersey
| NEWS RELEASE – LSE & TSX: EDV All amounts in US$ | | |
ENDEAVOUR REPORTS STRONG Q1-2025 RESULTS FY-2025 guidance on track • Adjusted EBITDA of $613m • Record Free Cash Flow of $409m
| OPERATIONAL AND FINANCIAL HIGHLIGHTS | | - Strong quarterly production of 341koz at AISC of $1,129/oz; on track to achieve FY-2025 guidance with performance slightly weighted towards H1-2025, following strong Q1-2025 performance at the Houndé mine. | | - Adj. EBITDA of $613m for Q1-2025, up 12% over Q4-2024. | | - Adj. Net Earnings of $219m (or $0.90/sh) for Q1-2025, up 99% over Q4-2024. | | - Operating Cash Flow before changes in working capital of $592m (or $2.43/sh) for Q1-2025, up 66% over Q4-2024. | | - Record Free Cash Flow of $409m (or $1.68/sh) for Q1-2025, up 53% over Q4-2024; Free Cash Flow of $775m generated over the past three quarters following the completion of the Group’s growth phase in Q2-2024. | | - Net debt reduced by over $350m in Q1-2025 to $378m; Net Debt / Adj. EBITDA (LTM) improved to 0.22x, significantly below the Group’s 0.50x target. | | SECTOR LEADING SHAREHOLDER RETURNS | | - Record $140m (or $0.57/sh) H2-2024 dividend paid in early Q2-2025, record FY-2024 dividends of $240m; supplemented with $37m of share buybacks bringing total returns to $277m, equivalent to a 5.9% yield or $251/oz produced. | | - FY-2025 total returns expected to be larger than FY-2024 as minimum dividend of $225m has already been supplemented with $52m of share buybacks year to date; bringing minimum FY-2025 returns to $277m. | | ATTRACTIVE ORGANIC GROWTH | | - Assafou project DFS on track for completion between late-2025 and early-2026, with exploration ongoing at Assafou and at the nearby Pala Trend 3 target, where a maiden resource is expected in H2-2025. | | - Strong exploration efforts with $ 24 m spent in Q1-2025 , focused on near-mine resource expansions and Assafou. |
London, 1 May 2025 – Endeavour Mining plc (LSE:EDV, TSX:EDV, OTCQX:EDVMF) (“Endeavour”, the “Group” or the “Company”) is pleased to announce its operating and financial results for Q1-2025, with highlights provided in Table 1 below.
Table 1: Operating and financial highlights
| All amounts in US$ million unless otherwise specified | THREE MONTHS ENDED | | | | | | 31 March 2025 | 31 December 2024 | 31 March 2024 | Δ Q1-2025 vs. Q4-2024 | | | | | | | | | | | OPERATING DATA | | | | | | | Gold Production, koz | 341 | 363 | 219 | (6)% | | | Gold sold, koz | 353 | 356 | 225 | (1)% | | | Total Cash Cost 1 , $/oz | 929 | 979 | 1,007 | (5)% | | | All-in Sustaining Cost 1 , $/oz | 1,129 | 1,141 | 1,186 | (1)% | | | Realised Gold Price 2 , $/oz | 2,783 | 2,590 | 2,041 | +7% | | | CASH FLOW | | | | | | | Operating Cash Flow before changes in working capital | 592 | 356 | 137 | +66% | | | Operating Cash Flow before changes in working capital 1 , $/sh | 2.43 | 1.46 | 0.56 | +66% | | | Operating Cash Flow | 494 | 381 | 55 | +30% | | | Operating Cash Flow 1 , $/sh | 2.03 | 1.56 | 0.22 | +30% | | | Free Cash Flow 1,3 | 409 | 268 | (132) | +53% | | | Free Cash Flow 1,3 , $/sh | 1.68 | 1.10 | (0.54) | +53% | | | PROFITABILITY | | | | | | | Net Earnings Attributable to Shareholders | 173 | (119) | (20) | n.a. | | | Net Earnings, $/sh | 0.71 | (0.49) | (0.08) | n.a. | | | Adj. Net Earnings Attributable to Shareholders 1 | 219 | 110 | 41 | +99% | | | Adj. Net Earnings 1 , $/sh | 0.90 | 0.45 | 0.17 | +100% | | | EBITDA 1,4 | 540 | 357 | 156 | +51% | | | Adj. EBITDA 1,4 | 613 | 546 | 213 | +12% | | | SHAREHOLDER RETURNS 1 | | | | | | | Shareholder dividends paid | — | 100 | 100 | n.a. | | | Share buybacks | 40 | 8 | 13 | +400% | | | FINANCIAL POSITION HIGHLIGHTS 1 | | | | | | | Net Debt | 378 | 732 | 831 | (48)% | | | Net Debt / LTM Trailing adj. EBITDA 4 | 0.22x | 0.55x | 0.80x | (60)% | |
1 This is a non-GAAP measure, refer to the non-GAAP Measures section for further de tails. 2 Realised gold price s are inclusive of the Sabodala-Massawa stream and the realised gains/losses from the Group’s revenue protection programm e. 3 From all operations ; c alculated as Operating Cash F low less Cash used in investing activities . 4 Last Twelve Months (“LTM”) Trailing EBITDA adj includes EBITDA generated by discontinued operations .
Management will host a conference call and webcast today, 1 May 2025, at 8:30 am EST / 1:30 pm BST. For instructions on how to participate, please refer to the conference call and webcast section at the end of the news release. Copies of the Management Report and Financial Statements have been submitted to the National Storage Mechanism and will be filed on SEDAR+. The documents will shortly be available for inspection on the Company’s website and at: https://data.fca.org.uk/#/nsm/nationalstoragemechanism.
Ian Cockerill, Chief Executive Officer, commented: "We are pleased that the strong momentum from the end of last year has continued into Q1, as we delivered another quarter of exceptional operational performance, placing us firmly on track to achieve our full-year guidance. Production and all-in sustaining costs were significantly stronger than the prior year period, as we realised the full benefit of our recently completed growth phase, coupled with strong performance across the rest of the portfolio.
During Q1, we generated record free cash flow of over $400 million, reflecting our transition to a highly free cash flow generative phase. Since completing our growth phase, three quarters ago, we have generated more than $775 million of free cash flow, equivalent to $795 per ounce produced.
Our strong free cash flow generation has enabled us to significantly strengthen our balance sheet, reducing our net debt by over $350 million and bringing our leverage ratio below our 0.50x target, down to 0.22x. Our resilient balance sheet gives us the flexibility to invest in future organic growth, through the tier 1 Assafou project, while sustainably rewarding shareholders.
We supplemented our record FY-2024 dividend of $240 million, with $37 million of share buybacks, bringing total shareholder returns for FY-2024 to $277 million, equivalent to an indicative yield of 5.9%, or $251 per ounce produced, returned to shareholders. We have continued to increase our commitment to shareholder returns and, year-to-date we have completed over $52 million of share buybacks, more than we purchased through the whole of 2024, already bringing the minimum returns for FY-2025 to at least $277 million, ensuring that FY-2025 total shareholder returns will exceed FY-2024.
Our tier 1 Assafou project continues to advance on schedule, with the project shaping up to be a cornerstone asset in our portfolio. We now see significant scope for the endowment of the wider district to continue growing, and we expect to provide a resource update later this year, as we advance the Definitive Feasibility Study towards completion.
Building on our momentum through the year, we will focus on maximising free cash flow and enhancing shareholder returns, as we advance our high-quality organic growth pipeline. With our higher-quality portfolio, sector leading margins and best-in-class growth outlook, we are well positioned to capitalise on the favourable gold price environment and deliver value for all of our stakeholders.”
OPERATING SUMMARY
Strong safety performance for the Group, with zero Lost Time Injuries during the quarter and a Lost Time Injury Frequency Rate (“LTIFR”) of 0.05 for the trailing twelve months ended 31 March 2025. The Group remains on track to achieve its production guidance of 1,110 - 1,260koz within the all-in sustaining cost (“AISC”) guidance of $1,150 - 1,350/oz, with production slightly weighted towards H1-2025, following stronger than expected Q1-2025 performance at the Houndé mine as high-grades were targetted ahead of the wet season and progressively lower grades expected at the Ity and Sabodala-Massawa mines through the year, in line with their mine sequences. Q1-2025 production amounted to 341koz, a slight decrease of 22koz over Q4-2024, due to lower production at Houndé (despite being stronger than expected) and Lafigué as lower grades were mined and processed in line with the mine sequence. This was partially offset by an increase in production at Mana due to mining of higher grade stopes and at Sabodala-Massawa due to higher tonnes milled and higher recovery rates across both the CIL and BIOX plants, while production at Ity was flat. Q1-2025 total cash cost amounted to $929/oz, an improvement of $50/oz over Q4-2024 due to lower mining unit costs at Houndé and Sabodala-Massawa as we optimised drill and blast programs and haulage distances were reduced, respectively, and lower processing unit costs at Ity as reagent consumption improved due to the ore blend. In addition, total cash costs benefitted from 12koz higher gold sales than gold produced, due to the timing of gold shipments at Ity and Lafigué. This was partially offset by higher royalty costs due to the prevailing higher gold prices and higher processing unit costs at Mana and Lafigué due to increased power consumption and scheduled maintenance, respectively. Q1-2025 AISC amounted to $1,129/oz, a decrease of $12/oz over Q4-2024 driven by lower total cash costs and lower sustaining waste capital at Houndé and Lafigué, partially offset by higher sustaining underground development at Mana.
Table 2: Group Production
| | THREE MONTHS ENDED | | | | All amounts in koz, on a 100% basis | 31 March 2025 | 31 December 2024 | 31 March 2024 | | Houndé | 92 | 109 | 42 | | Ity | 84 | 84 | 86 | | Mana | 46 | 41 | 42 | | Sabodala-Massawa | 72 | 70 | 49 | | Lafigué | 48 | 60 | — | | GROUP PRODUCTION | 341 | 363 | 219 |
Table 3: Consolidated Total Cash Costs
| (All amounts in US$/oz) | THREE MONTHS ENDED | | | | 31 March 2025 | 31 December 2024 | 31 March 2024 | | | Houndé | 751 | 922 | 1,120 | | Ity | 875 | 943 | 858 | | Mana | 1,360 | 1,320 | 1,345 | | Sabodala-Massawa | 959 | 1,107 | 890 | | Lafigué | 918 | 748 | — | | GROUP TOTAL CASH COSTS 1 | 929 | 979 | 1,007 |
1 This is a non-GAAP measure , refer to the non-GAAP Measures section for further details.
Table 4: Group All-In Sustaining Costs
| All amounts in US$/oz | THREE MONTHS ENDED | | | | 31 March 2025 | 31 December 2024 | 31 March 2024 | | | Houndé | 858 | 1,024 | 1,572 | | Ity | 930 | 987 | 884 | | Mana | 1,887 | 1,698 | 1,453 | | Sabodala-Massawa | 1,173 | 1,261 | 947 | | Lafigué | 926 | 801 | — | | Corporate G&A | 43 | 41 | 49 | | GROUP ALL-IN SUSTAINING COSTS 1 | 1,129 | 1,141 | 1,186 |
1 This is a non-GAAP measure, refer to the non-GAAP Measures section for further details .
SHAREHOLDER RETURNS PROGRAMME
Endeavour’s shareholder returns programme is comprised of minimum dividends that are supplemented with additional dividends and share buybacks subject to operational performance, a healthy balance sheet and the gold price being above $1,850/oz. Since its first shareholder returns payment in Q1-2021, Endeavour has returned more than $1,232.4 million to shareholders, including $840.0 million of dividends and $392.0 million of share buybacks, exceeding its minimum returns commitments by $572.0 million, or 87%. For FY-2024, Endeavour returned record dividends of $240.0 million. The H2-2024 dividend of $140.0 million ($0.57/sh) was paid on 15 April 2025 to shareholders of record on 14 March 2025. FY-2024 shareholder returns were further supplemented with $37.0 million of share buybacks, bringing total shareholder returns for FY-2024 to $277.0 million, $67.0 million above the minimum commitment, and equivalent to an indicative yield of 5.9%, or $251/oz produced. The FY-2025 minimum dividend commitment is $225.0 million that is expected to be paid in two semi-annual instalments. During Q1-2025, shareholder returns continued to be supplemented with share buybacks with $40.0 million or 1.9 million shares repurchased during the period, an increase of 400% compared to Q4-2024. The Group has continued to opportunistically buyback shares with $12.4 million or 0.5 million shares repurchased during April, bringing total YTD-2025 share repurchases to $52.4 million or 2.4 million shares up to 29 April 2025. As such, the total minimum return for FY-2025 already stands at $277.4 million which is equivalent to the total shareholder returns for FY-2024.
Table 5: Cumulative Shareholder Returns
| (All amounts in US$m) | | MINIMUM DIVIDEND COMMITMENT | SUPPLEMENTAL DIVIDENDS | BUYBACKS COMPLETED | TOTAL RETURN | △ ABOVE MINIMUM COMMITMENT | | | FY-2020 | — | 60 | — | 60 | +60 | | 2021-2023 Shareholder Returns Programme | FY-2021 | 125 | 15 | 138 | 278 | +153 | | FY-2022 | 150 | 50 | 99 | 299 | +149 | | | FY-2023 | 175 | 25 | 66 | 266 | +91 | | | 2024-2025 Shareholder Returns Programme (ongoing) | FY-2024 | 210 | 30 | 37 | 277 | +67 | | FY-2025 (Minimum) | 225 | — | 52 | 277 | +52 | | | TOTAL | TOTAL | 885 | 180 | 392 | 1,457 | +572 |
CASH FLOW SUMMARY
The table below presents the cash flow and net debt position for Endeavour for the three-month periods ended 31 March 2025, 31 December 2024, and 31 March 2024, with accompanying explanations below.
Table 6: Cash Flow and Net Debt
| | | THREE MONTHS ENDED | | | | All amounts in US$ million unless otherwise specified | Notes | 31 March 2025 | 31 December 2024 | 31 March 2024 | | Net cash from/(used in), as per cash flow statement: | | | | | | Operating cash flows before changes in working capital | | 592 | 356 | 137 | | Changes in working capital | | (98) | 25 | (82) | | Cash generated from operating activities | [1] | 494 | 381 | 55 | | Cash used in investing activities | [2] | (85) | (113) | (188) | | Free Cash Flow 1,2 | | 409 | 268 | (133) | | Cash (used in)/generated from financing activities | [3] | (67) | (136) | 88 | | Effect of exchange rate changes on cash | | 10 | — | (12) | | INCREASE/(DECREASE) IN CASH | | 353 | 132 | (56) | | Cash and cash equivalent position at beginning of period 3 | | 384 | 252 | 517 | | CASH AND EQUIVALENT POSITION AT END OF PERIOD 3 | | 737 | 384 | 461 | | Principal amount of $500m Senior Notes | | 500 | 500 | 500 | | Drawn portion of Lafigué Term Loan | | 130 | 133 | 147 | | Drawn portion of Sabodala Term Loan | | — | 13 | — | | Drawn portion of $645m Revolving Credit Facility | | 485 | 470 | 645 | | NET DEBT 1 | [4] | 378 | 732 | 831 | | Trailing twelve month adjusted EBITDA 1 , 4 | | 1,725 | 1,325 | 1,034 | | Net Debt / Adjusted EBITDA (LTM) ratio 1 , 4 | | 0.22x | 0.55x | 0.80x |
1 Free cash flow, n et debt, and a djusted EBITDA are Non-GAAP measures. Refer to the non-GAAP measure section in this press release and in the Management Report . 2 From all operations; calculated as Operating Cash Flow less Cash used in investing activities. 3 Ca sh and cash equivalents are net of bank overdrafts ( Nil at 31 March 2025; $13.1 million at 31 December 2024; $62.2 at 30 September 2024; Nil at 3 1 March 2024; Nil at 31 December 2023 ). 4 Trailing twelve month adjusted EBITDA includes EBITDA generated by discontinued operations .
NOTES:
1) Operating cash flows increased by $112.8 million from $381.4 million (or $1.56 per share) in Q4-2024 to $494.2 million (or $2.03 per share) in Q1-2025 due to higher realised gold prices and lower operating costs, partially offset by a working capital outflow (driven by a build-up of inventory and net payment of accounts payable), higher royalties, higher income tax payments and a higher realised loss on gold collars and LBMA averaging. Operating cash flows increased by $439.1 million from $55.1 million (or $0.22 per share) in Q1-2024 to $494.2 million (or $2.03 per share) in Q1-2025 due to higher revenues and lower income tax payments, partially offset by higher operating costs and royalties, higher working capital outflows and a higher realised loss on gold collars and LBMA averaging. Notable variances are summarised below:
Working capital was an outflow of $98.0 million in Q1-2025, a decrease of $123.1 million over the Q4-2024 inflow of $25.1 million. The outflow in Q1-2025 consisted of (i) a trade and other payables outflow of $47.8 million related to decreases in supplier payables and payroll-related liabilities, (ii) an inventory outflow of $44.1 million related to an increase in gold-in-circuit inventory at Houndé and Ity and stockpile inventory at Houndé and (iii) a receivables outflow of $10.2 million related to a build-up of VAT receivables in Burkina Faso, partially offset by, (iv) a prepaid expenses and other inflow of $4.1 million related to the timing of deposits and supplier prepayments.
Working capital was an outflow of $98.0 million in Q1-2025, an increase of $15.7 million over the Q1-2024 outflow of $82.3 million, largely driven by an increase in outflows in trade and other payables and an increase in outflows related to inventories, partially offset by a decrease in the outflow of trade and other receivables and an increase in the inflow of prepaid expenses.
Gold sales from continuing operations decreased slightly from 356koz in Q4-2024 to 353koz in Q1-2025 due to lower production at Houndé following a strong Q4-2024. Group gold sales exceeded production by 12koz during the quarter largely due to the timing of shipments of gold produced from Ity and Lafigué in the prior quarter. The realised gold price from continuing operations for Q1-2025 increased by $319/oz to $2,939/oz from $2,620/oz in Q4-2024. Inclusive of the Group’s Revenue Protection Programme (-$93/oz Q1-2025 impact) and London Bullion Market Association (“LBMA”) gold price averaging strategy (-$62/oz Q1-2025 impact), the realised gold price for Q1-2025 increased by $193/oz to $2,783/oz from $2,590/oz in Q4-2024.
Gold sales from continuing operations increased from 225koz in Q1-2024 to 353koz in Q1-2025, following higher production in Q1-2025 with the addition of production from the Lafigué mine and BIOX expansion at Sabodala-Massawa. The realised gold price from continuing operations for Q1-2025 increased by $848/oz to $2,939/oz from $2,091/oz in Q1-2024. Inclusive of the Group’s Revenue Protection Programme (-$93/oz Q1-2025 impact against a realised gold price of $2,939/oz in Q1-2025) and LBMA gold price averaging strategy (-$62/oz Q1-2025 impact against a realised gold price of $2,939/oz in Q1-2025), the realised gold price for Q1-2025 increased by $743/oz to $2,783/oz from $2,041/oz in Q1-2024.
Total cash cost per ounce decreased from $979/oz in Q4-2024 to $929/oz in Q1-2025 due to lower mining unit costs at Houndé and Sabodala-Massawa, lower processing unit costs at Ity, and 12koz higher gold sales than gold produced in Q1-2025. This was partially offset by higher royalty costs and higher processing unit costs at Mana and Lafigué.
Total cash cost per ounce decreased from $1,007/oz in Q1-2024 to $929/oz in Q1-2025 due to higher volumes of gold sold, partially offset by higher gross operating costs and royalties related to a higher realised gold price.
Income taxes paid increased by $22.1 million from $16.9 million in Q4-2024 to $39.0 million in Q1-2025 due largely to the timing of corporate income tax payments in Senegal.
Income taxes paid decreased by $12.3 million from $51.3 million in Q1-2024 to $39.0 million in Q1-2025 due to a decrease in taxes paid at the corporate level during Q1-2025 due to the timing of withholding tax payments and a reduction in provisional tax payments at Mana related to a lower FY-2024 tax base when compared to FY-2023.
Table 7: Tax Payments
| | THREE MONTHS ENDED | | | | All amounts in US$ million | 31 March 2025 | 31 December 2024 | 31 March 2024 | | Houndé | 11 | 11 | 11 | | Ity | — | 2 | — | | Mana | 2 | 2 | 4 | | Sabodala-Massawa | 24 | — | 31 | | Lafigué | 2 | — | 1 | | Other 1 | — | 1 | 5 | | Taxes paid | 39 | 17 | 51 |
1 Included in the “Other” category is income and withholding taxes paid by Corporate and Exploration entities.
2) Cash flows used in investing activities decreased by $28.4 million from $113.2 million in Q4-2024 to $84.8 million in Q1-2025 due to a decrease in non-sustaining capital spend during the quarter of $25.3 million and lower growth capital expenditure following the commissioning of the Lafigué and Sabodala-Massawa projects during Q3-2024. In addition an inflow of $17.0 million related to the release of restricted cash at Ity decreased cash flows used in investing activities further. This decrease was partially offset by an increase in sustaining capital of $12.3 million.