- Revenue for Q1 2024 decreased to
$15.7 million (Restated Q1 2023 -$18.0 million ), representing a$2.3 million or -12.9% decrease. - Mine operating income increased by
$1.8 million (or 49.5%) to$5.3 million in Q1 2024 (Restated Q1 2023 -$3.5 million ) while gross margin increased from 19.6% in Restated Q1 2023 to 33.7% in Q1 2024. - Operating loss was
$0.03 million in Q1 2024 compared to an operating income of$1.8 million in Restated Q1 2023. - Net loss attributable to equity shareholders was
$0.9 million ($0.00 loss per share) in Q1 2024 versus net loss attributable to equity shareholders of$0.4 million ($0.00 loss per share) in Restated Q1 2023. The decrease in Q1 2024 net income was largely attributable to the increase in overall operating costs associated with the soft restart of the Zandfontein underground operations located at theCrocodile River Mine ("CRM") inSouth Africa and foreign exchange losses incurred in the period due to the strengthening of theU.S. dollar. - The Company had a working capital deficit (current assets less current liabilities) of
$16.7 million as atMarch 31, 2024 (December 31, 2023 – working capital deficit of$15.5 million ) and short-term cash resources of$20.7 million (consisting of cash, cash equivalents and short-term investments) (December 31, 2023 –$21.3 million )
Prior Period Error - Restatement of Comparatives
Certain 2023 comparative numbers in the condensed interim consolidated financial statements and corresponding MD&A have been restated to correct an error in the condensed interim consolidated financial statements for the three months ended
As discussed in the previous news release of
The following table presents the effects of the restatement on the individual line items within the Company's unaudited Condensed Interim Consolidated Statement of Income (Loss), Condensed Interim Statement of Comprehensive Income (Loss) and Condensed Interim Statement of Financial Position, expressed in thousands of
Three months ended | |||
As previously | Adjustment | As restated | |
$ | $ | $ | |
Revenue | 22,058 | (4,021) | 18,037 |
Production costs | (15,360) | 2,324 | (13,036) |
Mine operating income (loss) | 5,233 | (1,697) | 3,536 |
Operating income (loss) | 3,497 | (1,697) | 1,800 |
Net income (loss) for the period | 1,343 | (1,697) | (354) |
Net income (loss) attributable to equity | 1,344 | (1,697) | (353) |
Earnings (loss) per share, basic and diluted | 0.01 | (0.01) | 0.00 |
Comprehensive income (loss) for the period | (2,267) | (1,766) | (4,033) |
As at | |||
As previously | Adjustment | As restated | |
$ | $ | $ | |
Accumulated other comprehensive loss | (321,406) | (13) | (321,419) |
Deficit | (850,900) | 13 | (850,887) |
The Company's audited consolidated financial statements for the year ended
The Company has a primary listing on the
The Company has filed the following documents, under the Company's profile on SEDAR+ at www.sedarplus.ca:
- Condensed interim consolidated financial statements for the three months ended
March 31, 2024 ; and - Management's discussion and analysis for the three months ended
March 31, 2024 .
The condensed interim consolidated financial statements for the three months ended
https://senspdf.jse.co.za/documents/2024/JSE/ISSE/EPS/Q124.pdf.
Operations
The Company derived revenue from the processing of PGM and chrome concentrates during Q1 2024 and Q1 2023. Eastplats' majority of revenue (approximately 93% for Q1 2024) is from chrome concentrate sales to third parties.
Summary of chrome production for the three months ended
Q1 2024 | Q1 2023 | |
Total Tailings Feed (Tons) | 385,299 | 631,954 |
Average grade Cr concentrate | 38.57 % | 38.65 % |
Tons of Cr concentrate | 79,882 | 147,090 |
Summary of PGM production for the three months ended
Q1 2024 | Q1 2023 | |
Tons of PGM | 945 | 1,156 |
PGM ounces | 1,475 | 2,134 |
*PGM 6E ounces are estimates until final exchanges and umpire results have been concluded, which can take up to three months. |
About
Eastplats owns directly and indirectly a number of PGM and chrome assets in the
Operations at the
Cautionary Statement Regarding Forward-Looking Information
This news release contains "forward-looking statements" or "forward-looking information" (collectively referred to herein as "forward-looking statements") within the meaning of applicable securities legislation. Such forward-looking statements include, without limitation, forecasts, estimates, expectations and objectives for future operations that are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Company. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "will," "plan," "intends," "may," "could," "expects," "anticipates" and similar expressions. Further disclosure of the risks and uncertainties facing the Company and other forward-looking statements are discussed in the Company's most recent Annual Information Form available under the Company's profile on www.sedarplus.ca.
In particular, this press release contains, without limitation, forward-looking statements pertaining to: expected earnings from chrome and PGM revenue from the Zandfontein underground section at the CRM in
All forward-looking statements in this news release are expressly qualified in their entirety by this cautionary statement, the "Cautionary Statement on Forward-Looking Information" section contained in the Company's most recent Management's Discussion and Analysis available under the Company's profile on www.sedarplus.ca. The forward-looking statements in this news release are made as of the date they are given and, except as required by applicable securities laws, the Company disclaims any intention or obligation, and does not undertake, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
SOURCE
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