Wheaton Precious Metals Corp. press release

Wheaton Precious Metals Announces Record Revenue, Adjusted Net Earnings and Operating Cash Flow for 2024

2025-03-13

TSX - Toronto Stock Exchange · Gold · Copper · Silver · Zinc · Palladium · Platinum · Cobalt · Canada

PR Newswire

Designated News Release FOURTH QUARTER AND FULL YEAR FINANCIAL RESULTS

VANCOUVER, BC , March 13, 2025 /PRNewswire/ - "Wheaton achieved record revenue, adjusted net earnings and operating cash flow in 2024, driven by our diversified portfolio of high-quality and long-life assets. We exceeded our production guidance for the year due to outperformances at Salobo and Constancia and are proud to have returned a record level of dividends to shareholders in 2024," said Randy Smallwood , President and Chief Executive Officer of Wheaton Precious Metals. "In 2024, Wheaton remained focused on accretive growth, delivering four new streams and royalties and further reinforcing our industry-leading growth profile. This impressive growth is readily apparent in our five-year production forecast, where we estimate annual production increasing by 40% to 870,000 gold equivalent ounces. As we enter 2025, we look forward to building off our accomplishments from 2024, delivering on a consistent growth profile, and ultimately creating lasting value for all stakeholders."

Solid Financial Results and Strong Balance Sheet

Fourth quarter of 2024: A record $381 million in revenue, a record $319 million in operating cash flow, $88 million in net earnings and a record $199 million in adjusted net earnings 1 . Declared a quarterly dividend 1 of $0.155 per common share. Full year of 2024: A record $1,285 million in revenue, a record $1,028 million in operating cash flow, $529 million in net earnings and a record $640 million in adjusted net earnings 1. Declared record annual dividends 1 of $0.62 per common share. Balance Sheet: cash balance of $818 million , no debt, and an undrawn $2 billion revolving credit facility as at December 31, 2024 .

High Quality Asset Base

Streaming and royalty agreements on 18 operating mines and 28 development projects and other 5 , including the addition of the Koné and Kurmuk projects announced in the fourth quarter. Attributable gold equivalent production 3 ("GEOs") of 187,500 ounces in the fourth quarter of 2024 and 635,000 for the full year of 2024, with quarterly production increasing 14% relative to the comparable period of the prior year as a result of higher production from Salobo and Peñasquito, with gold production achieving record quarterly production. Exceeded the upper limits of the 2024 annual production guidance of 550,000 to 620,000 GEOs 3 , primarily resulting from stronger than expected production at Salobo due to higher gold grades and recoveries, and higher grades at Constancia from the mining of the Pampacancha deposit. Further de-risked forecast growth profile as construction activities advanced at a number of projects, including the Blackwater, Goose, Platreef, and Mineral Park projects which are expected to be producing by the end of 2025. Accretive portfolio growth: On October 21, 2024 , the Company amended the Fenix PMPA, increasing the amount of attributable gold it is entitled to under the contract. On October 23, 2024 , the Company entered into a precious metals purchase agreement ("PMPA") with Montage Gold Corp. ("Montage") in respect to the Koné Gold Project located in Côte d'Ivoire. On December 5, 2024 , the Company entered into a PMPA with Allied Gold Corporation ("Allied") in respect to the Kurmuk Project located in Ethiopia . Subsequent to the quarter, on March 7, 2025 , the Company amended its PMPA with Artemis Gold Inc. ("Artemis") in respect to the Blackwater project located in Canada .

Leadership in Sustainability

Top Rankings: One of the top-rated companies by Sustainalytics, AAA rated by MSCI (upgraded in 2024 from AA to AAA, the highest possible rating), and Prime rated by ISS. Subsequent to the quarter, awarded US$1 million to the winning venture of the inaugural Future of Mining Challenge, ReThink Milling Inc., to advance their Conjugate Anvil Hammer Mill ("CAHM") and MonoRoll technologies, for their potential ability to lower energy use in the milling process. Subsequent to the quarter, Wheaton was recognized by Corporate Knights as one of the 2025 Global 100 Most Sustainable Corporations, based on a rigorous assessment of over more than 8,300 public companies with revenue over US$1 billion .

Operational Overview

| (all figures in US dollars unless otherwise noted) | | | Q4 2024 | | | Q4 2023 | | Change | | | 2024 | | | 2023 | | | Change | | Units produced | | | | | | | | | | | | | | | | | | | Gold ounces | | | 117,526 | | | 112,926 | | 4.1 % | | | 379,530 | | | 374,152 | | | 1.4 % | | Silver ounces | | | 5,740 | | | 4,206 | | 36.5 % | | | 20,807 | | | 17,191 | | | 21.0 % | | Palladium ounces | | | 2,797 | | | 4,209 | | (33.5) % | | | 15,632 | | | 15,800 | | | (1.1) % | | Cobalt pounds | | | 393 | | | 215 | | 83.1 % | | | 1,289 | | | 673 | | | 91.5 % | | Gold equivalent ounces 3 | | | 187,493 | | | 164,796 | | 13.8 % | | | 635,007 | | | 584,127 | | | 8.7 % | | Units sold | | | | | | | | | | | | | | | | | | | Gold ounces | | | 87,662 | | | 115,011 | | (23.8) % | | | 332,701 | | | 327,336 | | | 1.6 % | | Silver ounces | | | 4,307 | | | 3,175 | | 35.7 % | | | 16,072 | | | 14,326 | | | 12.2 % | | Palladium ounces | | | 4,434 | | | 3,339 | | 32.8 % | | | 17,270 | | | 13,919 | | | 24.1 % | | Cobalt pounds | | | 485 | | | 288 | | 68.4 % | | | 970 | | | 1,074 | | | (9.7) % | | Gold equivalent ounces 3 | | | 142,561 | | | 155,059 | | (8.1) % | | | 532,468 | | | 506,020 | | | 5.2 % | | Change in PBND and Inventory | | | | | | | | | | | | | | | | | | | Gold equivalent ounces 3 | | | 29,293 | | | (4,030) | | (33,323) | | | 46,378 | | | 15,990 | | | (30,388) | | Revenue | | $ | 380,516 | | $ | 313,471 | | 21.4 % | | $ | 1,284,639 | | $ | 1,016,045 | | | 26.4 % | | Net earnings | | $ | 88,148 | | $ | 168,435 | | (47.7) % | | $ | 529,140 | | $ | 537,644 | | | (1.6) % | | Per share | | $ | 0.194 | | $ | 0.372 | | (47.8) % | | $ | 1.167 | | $ | 1.187 | | | (1.7) % | | Adjusted net earnings 1 | | $ | 198,969 | | $ | 164,569 | | 20.9 % | | $ | 640,170 | | $ | 533,051 | | | 20.1 % | | Per share 1 | | $ | 0.439 | | $ | 0.363 | | 20.9 % | | $ | 1.412 | | $ | 1.177 | | | 20.0 % | | Operating cash flows | | $ | 319,471 | | $ | 242,226 | | 31.9 % | | $ | 1,027,581 | | $ | 750,809 | | | 36.9 % | | Per share 1 | | $ | 0.704 | | $ | 0.535 | | 31.6 % | | $ | 2.266 | | $ | 1.658 | | | 36.7 % |

| All amounts in thousands except gold, palladium & gold equivalent ounces, and per share amounts. |

Financial Review

_Revenues _Revenue in the fourth quarter of 2024 was $381 million (62% gold, 35% silver, 1% palladium and 2% cobalt), with the $67 million increase relative to the prior period quarter being primarily due to a 32% increase in the average realized gold equivalent³ price; partially offset by an 8% decrease in the number of GEOs³ sold.

Revenue was $1,285 million in the year ended December 31, 2024 , representing a $269 million increase from 2023 due primarily to a 20% increase in the average realized gold equivalent³ price; and a 5% increase in the number of GEOs³ sold.

_Cash Costs and Margin _Average cash costs¹ in the fourth quarter of 2024 were $441 per GEO³ as compared to $437 in the fourth quarter of 2023. This resulted in a cash operating margin¹ of $2,228 per GEO³ sold, an increase of 41% as compared with the fourth quarter of 2023, a result of the higher realized price per ounce.

Average cash costs¹ in 2024 were $436 per GEO³ as compared to $451 in 2023. This resulted in a cash operating margin¹ of $1,977 per GEO³ sold, a 27% increase from 2023, a result of the higher realized price per ounce coupled with the lower average cash costs due to changes in the sales mix.

_Cash Flow from Operations _Operating cash flow in the fourth quarter of 2024 amounted to $319 million , with the $77 million increase due primarily to the higher gross margin.

Operating cash flows in 2024 amounted to $1,028 million , with the $277 million increase from the comparable period of the previous year being due primarily to the higher gross margin.

_Voisey's Bay Impairment _On June 11, 2018 , the Company entered into an agreement (the "Voisey's Bay PMPA") to acquire from Vale an amount of cobalt equal to 42.4% of the cobalt production from its Voisey's Bay mine, until the delivery of 31 million pounds of cobalt and 21.2% of cobalt production thereafter for the life of mine for a total upfront cash payment of $390 million .

At December 31, 2024 , the Company determined there to be an impairment charge relative to the Voisey's Bay PMPA due to a significant and sustained decline in market cobalt prices. The Voisey's Bay PMPA had a carrying value at December 31, 2024 of $340 million . Management estimated that the recoverable amount at December 31, 2024 under the Voisey's Bay PMPA was $231 million , representing its fair value less cost of disposal and resulting in an impairment charge of $109 million . The recoverable amount related to the Voisey's Bay PMPA was estimated using an average discount rate of 5.5% and the market price of cobalt of $13.62 per pound.

_Produced But Not Yet Delivered _As at December 31, 2024 , approximately 163,600 GEO's 3 were produced but not yet delivered representing approximately three months of payable production. This build in PBND is an increase from the preceding four quarters and at the upper end of our guided range of two to three months, due to a significant increase in quarter-over-quarter production driven by increased production at Peñasquito and Salobo, with Salobo representing a quarterly record.

Balance Sheet (at December 31, 2024 )

Approximately $818 million of cash on hand During the fourth quarter of 2024, the Company made total upfront cash payments of $115 million relative to the mineral stream interests consisting of: $44 million relative to the Kurmuk PMPA; $40 million relative to the Marmato PMPA; $25 million relative to the Mineral Park PMPA; and $6 million relative to the Cangrejos PMPA.

During the fourth quarter of 2024, the Company received a repayment of the upfront cash payment of $13 million relative to the El Domo PMPA, with this amount to be re-advanced at a later date. With the existing cash on hand coupled with the fully undrawn $2 billion revolving credit facility, the Company believes it is well positioned to fund all outstanding commitments and known contingencies as well as providing flexibility to acquire additional accretive mineral stream interests. Given the strength of Wheaton's balance sheet and forecasted cash flows, the Company has elected to not renew its at-the-market equity program, under which no shares have been issued as of December 31, 2024 .

_Global Minimum Tax _The Company is within the scope of global minimum tax ("GMT") under the OECD Pillar Two model rules ("Pillar Two"), under which large multinational entities are subject to a 15% GMT. On June 20, 2024 , Canada's Global Minimum Tax Act ("GMTA"), received royal assent. The GMTA enacts the OECD Pillar Two model rules where in scope companies are subject to a 15% GMT for fiscal years commencing on or after December 31, 2023 . With the enactment of the GMTA on June 20, 2024 , the income of the Company's subsidiaries which operate in jurisdictions with a statutory tax rate of 0% are subject to the GMTA. For the three months and year ended December 31, 2024 an amount of $35 million and $114 million , respectively, current tax expense associated with GMT was recorded. GMT accrued to December 31, 2024 , is payable on or before June 30, 2026 (18 months following year-end).

Fourth Quarter Operating Asset Highlights

_Salobo: _In the fourth quarter of 2024, Salobo produced 84,300 ounces of attributable gold, representing record quarterly production and an increase of approximately 17% relative to the fourth quarter of 2023, primarily due to higher throughput, grades and recovery. On January 28, 2025 , Vale S.A. ("Vale") announced the completion of the Salobo III ramp-up and improved performance at Salobo I and II.

On March 4, 2025 , Vale informed the Company that it had achieved a sustained throughput capacity of over 35 Mtpa over a 90-day period, indicating completion of the second phase of the Salobo III expansion project. Pending review of the final completion test by the Company, Wheaton anticipates advancing the remaining balance of the expansion payment to Vale, in the amount of $144 million within thirty days of the date of receipt.

_Antamina : _In the fourth quarter of 2024, Antamina produced 0.9 million ounces of attributable silver, a decrease of approximately 8% relative to the fourth quarter of 2023 primarily due to lower throughput, partially offset by higher recoveries.

_Peñasquito __: _In the fourth quarter of 2024, Peñasquito produced 2.5 million ounces of attributable silver, an increase of approximately 138% relative to the fourth quarter of 2023, as prior year operations were impacted by a labour strike which began on June 7, 2023 and ended on October 13, 2023 with the safe ramp-up of operations beginning after the end of the strike. On February 20, 2025 , Newmont Corporation ("Newmont") announced that co-product production in 2025 is expected to decline as mining moves back into the Peñasco pit which contains lower silver grades relative to the Chile Colorado pit.

_Constancia : _In the fourth quarter of 2024, Constancia produced 1.0 million ounces of attributable silver and 18,200 ounces of attributable gold, an increase of approximately 16% for silver production and a decrease of approximately 18% for gold production relative to the fourth quarter of 2023. The increase in silver production, which represented a quarterly record, was primarily due to higher grades. The decrease in gold production was primarily the result of lower gold grades as more material was mined from Constancia and reclaimed from the stockpile compared with the prior year. On February 19, 2025 , Hudbay Minerals Inc. ("Hudbay") announced that gold production in 2025 is expected to be lower than 2024 levels as additional high grade gold benches were mined in late 2024, ahead of schedule, resulting in gold production exceeding 2024 guidance levels. The Pampacancha deposit is now expected to be depleted in early December 2025 as opposed to October 2025 , as the mine plan has smoothed Pampacancha production throughout the year. Total mill ore feed from Pampacancha is expected to be approximately 25% in 2025, lower than the typical one-third in prior years as Pampacancha approaches depletion.

_Sudbury : _In the fourth quarter of 2024, Vale's Sudbury mines produced 5,000 ounces of attributable gold, a decrease of approximately 14% relative to the fourth quarter of 2023, due to lower recoveries.

_Stillwater : _In the fourth quarter of 2024, the Stillwater mines produced 2,200 ounces of attributable gold and 2,800 ounces of attributable palladium, a decrease of approximately 7% for gold and 34% for palladium relative to the fourth quarter of 2023, primarily due to lower throughput as Stillwater West operations were put into care and maintenance on September 12, 2024 .

_Voisey's Bay: _In the fourth quarter of 2024, the Voisey's Bay mine produced 393,000 pounds of attributable cobalt, an increase of approximately 83% relative to the fourth quarter of 2023, as the transitional period between the depletion of the Ovoid open-pit and ramp-up to full production of the Voisey's Bay underground mine nears completion. On December 3, 2024 , Vale reported that it has completed construction and commissioning of the Voisey's Bay underground mine extension. The expansion transitioned Voisey's Bay from open pit to underground mining. The project involved the development of two underground mines, Reid Brook and Eastern Deeps, which will deliver ore for processing at Vale's Long Harbour refinery. The full ramp-up is expected by the second half of 2026.

_Other Silver: _In the fourth quarter of 2024, total Other Silver attributable production was 1.4 million ounces, an increase of approximately 4% relative to the fourth quarter of 2023, primarily due to higher production at Zinkgruvan, partially offset by lower production at Neves-Corvo.

Detailed mine-by-mine production and sales figures can be found in the Appendix to this press release and in Wheaton's consolidated MD&A in the 'Results of Operations and Operational Review' section.

Recent Development Asset Updates

_Blackwater Project: _On November 6, 2024 , Artemis announced that overall construction of the Blackwater project was over 95% complete as of September 30 , 2024. Construction of the tailings storage facility is ready to allow for the commencement of commissioning of the plant. Artemis reported that the initial mining fleet has been commissioned and pre-stripping of the mine, as well as the construction of haul roads are well advanced. On January 22, 2025 , Artemis announced that commissioning of the grinding circuit at the Blackwater project has advanced and milling of first ore commenced, with the first pour of gold and silver being announced on January 29, 2025 . Commercial production remains targeted for Q2 2025.

_Goose Project: _On February 19, 2025 , B2Gold Corp. ("B2Gold") announced that all planned construction activities for 2024 were completed and project construction and development continue to progress on track to achieve first gold pour at the Goose project in the second quarter of 2025, followed by a ramp up to commercial production in the third quarter of 2025. Following the successful completion of the 2024 sea lift, the construction of the 163 kilometer Winter Ice Road was completed in February 2025 . As of February 18, 2025 , the Winter Ice Road is fully operational with the transportation of all materials from the Marine Laydown Area to the Goose project site expected to be completed by May 15, 2025 .

_Mineral Park Project: _During the quarter, Waterton's Origin Mining continued to advance the Mineral Park project, with the installation of new crushing and milling circuits nearing completion. Project construction continues to progress on track for first ore to the mill in Q2 2025, followed by a ramp up to commercial production during the second half of 2025. At project completion the fully refurbished mill capacity will be 16.5 Mtpa.

_Platreef Project: _On October 30, 2024 , Ivanhoe Mines ("Ivanhoe") reported that construction of the Phase 1 concentrator was completed on schedule early in the third quarter. First ore is scheduled for the second half of 2025, while underground development prioritizes development to accelerate Phase 2. Ivanhoe also states that work continues on the updated feasibility study to accelerate the startup of Phase 2, as well as the preliminary economic assessment of the previously announced Phase 3 expansion to 10 Mtpa processing capacity. On February 18, 2025 , Ivanhoe reported positive results from the two independent technical studies completed on the Phase 2 and Phase 3 expansions. The study outlines Phase 1 production from Q4-2025, followed by the Phase 2 expansion two years later in Q4-2027. Ivanhoe noted that the Phase 3 expansion is expected to rank Platreef as one of the largest primary PGM producers on a platinum equivalent basis.

_Fenix Project: _On October 2, 2024 , Rio2 Limited ("Rio2") announced that its Chilean subsidiary has received the principal Sectorial Permits it requires to begin construction at the Fenix project. These Sectorial Permits represent the last governmental authorization required to enable the start of the construction phase and subsequent operation of the Fenix mine. On January 13, 2025 , Rio2 reported that construction activities recommenced in October 2024 and construction is expected to be completed in November 2025 . Bulk earthworks at the plant side have been completed and concrete bases for the footings of the processing plant have been poured. Earthworks have commenced on the leach pad stability platform, which forms the base of the Phase 1 leach pad. First gold production is currently expected in January 2026 .

_Marmato Mine: _On March 13, 2025 , Aris announced an enhanced Marmato expansion, whereby the design of the carbon-in-pulp processing facility will be upgraded by 25% from 4,000 tpd to 5,000 tpd. Aris reports that construction remains on track, and production is expected to start ramping up in the second half of 2026.