Q2 2024 Osisko Gold Royalties Ltd Earnings Call Transcript
Key Points
- Osisko Gold Royalties Ltd (OR) earned 20,068 gold equivalent ounces (GEOs) in Q2 2024, positioning the company well to achieve its full-year guidance of 82,000 to 92,000 GEOs.
- Revenues for Q2 2024 were strong at CAD64.8 million, supported by improving precious metal prices.
- The company maintained high cash margins at 97% during the quarter.
- Osisko Gold Royalties Ltd (OR) reduced its net debt to just over CAD40 million and further repaid CAD13.8 million on its revolving credit facility in Q3, enhancing financial flexibility.
- The company declared and paid its 39th consecutive quarterly dividend of CAD0.065 per share, with over CAD290 million returned to shareholders to date.
- The Eagle Mine experienced a significant underperformance, falling 33% short of budgeted expectations even before the heap leach facility failure on June 24, 2024.
- Osisko Gold Royalties Ltd (OR) took a full, noncash impairment charge of CAD67.8 million on the Eagle NSR royalty, leading to a net loss of CAD0.11 per basic common share for Q2 2024.
- The company adjusted its 2024 GEO delivery guidance to 77,000 to 83,000 GEOs due to the suspension of production at the Eagle Mine.
- Capstone's Mantos Blancos operation saw lower Q2 production year-over-year due to lower grades and recoveries, with plant upgrades delayed by approximately two months.
- The Eagle Mine's production suspension and the uncertainty around its restart timeline pose ongoing risks to Osisko Gold Royalties Ltd (OR)'s future GEO deliveries and financial performance.
Good morning, ladies and gentlemen, and welcome to the Osisko Gold Royalties Q2 2024 results conference call. (Operator Instructions) Please note that this call is being recorded today, August 7, 2024, at 10:00 AM Eastern Time.
Today on the call, we have Mr. Jason Attew, President and Chief Executive Officer; and Mr. Frédéric Ruel, Chief Financial Officer and Vice President of Finance.
I would now like to turn the meeting over to our host for today's call, Mr. Jason Attew. (spoken in French)
Thank you, Joelle. Good morning, everybody, and thanks for being on today's call on this beautiful summer's day. I'm Jason Attew, President and CEO of Osisko Gold Royalties. Procedurally, I'll run through the presentation, and then we'll subsequently open up the line for questions. For those participating online via the webcast, you can submit your questions in advance through the webcast platform.
Today's presentation will also be available and downloadable
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
