Caledonia Mining Plc(CMCL) - 2024 Q2 - Quarterly Report

Management's Responsibility for Financial Information Overview of Management and Board Responsibilities Management is responsible for preparing unaudited IFRS interim financial statements and maintaining effective internal controls, with board oversight confirming control effectiveness as of June 30, 2024 - Management is responsible for preparing unaudited condensed consolidated interim financial statements in accordance with IFRS and ensuring their fair presentation in all material respects[1] - Management is responsible for establishing and maintaining adequate internal controls over financial reporting (ICOFR) and assessed their effectiveness as of June 30, 2024[2][36] - The Board of Directors, through its Audit Committee, is responsible for ensuring management fulfills its financial reporting and internal control responsibilities[3] - The unaudited condensed consolidated interim financial statements as of June 30, 2024, were approved by the Board on August 12, 2024, but have not been audited by the Group's independent auditors[4][37] Consolidated Financial Statements Consolidated Statements of Financial Position As of June 30, 2024, total group assets increased to $338.5 million from $328.3 million on December 31, 2023, driven by increases in both non-current and current assets, with total equity also growing and total liabilities slightly rising Consolidated Statements of Financial Position Key Data ($ thousands) | Indicator | June 30, 2024 | December 31, 2023 | | :-------------------------------- | :------------ | :---------------- | | Total Non-Current Assets | 275,743 | 274,074 | | Total Current Assets | 62,760 | 54,229 | | Total Assets | 338,503 | 328,303 | | Equity Attributable to Shareholders | 245,648 | 239,715 | | Non-Controlling Interests | 26,326 | 24,477 | | Total Equity | 271,974 | 264,192 | | Total Non-Current Liabilities | 25,280 | 23,978 | | Total Current Liabilities | 41,249 | 40,133 | | Total Liabilities | 66,529 | 64,111 | | Total Equity and Liabilities | 338,503 | 328,303 | Consolidated Statements of Profit or Loss and Other Comprehensive Income For the six months ended June 30, 2024, group profit significantly increased to $13.17 million from a $4.02 million loss in the prior year, driven by higher revenue and gross profit despite increased foreign exchange losses and taxes, with basic EPS improving from ($0.31) to $0.53 Consolidated Statements of Profit or Loss Key Data (Six Months Ended June 30, $ thousands) | Indicator | 2024 | 2023 | | :-------------------------------- | :----- | :------ | | Revenue | 88,635 | 66,466 | | Gross Profit | 36,748 | 16,783 | | Operating Profit | 22,366 | 2,581 | | Profit Before Tax | 20,846 | 757 | | Tax Expense | (7,681) | (4,775) | | Profit (Loss) for the Period | 13,165 | (4,018) | | Profit (Loss) Attributable to Owners of the Company | 10,560 | (5,542) | | Profit (Loss) Attributable to Non-Controlling Interests | 2,605 | 1,524 | | Basic Earnings Per Share (US$) | 0.53 | (0.31) | | Diluted Earnings Per Share (US$) | 0.53 | (0.31) | - For the six months ended June 30, 2024, net foreign exchange losses significantly increased to $6.15 million compared to $2.08 million in the prior year period[17] Consolidated Statements of Changes in Equity As of June 30, 2024, total equity increased to $271.97 million from $264.19 million on December 31, 2023, primarily due to profit for the period and equity-settled share-based payment expenses, partially offset by dividends declared Key Data on Changes in Equity (Six Months Ended June 30, $ thousands) | Indicator | Balance December 31, 2023 | Profit for the Period | Dividends Declared | Equity-Settled Share-based Payment Expense | Other Changes | Balance June 30, 2024 | | :-------------------------------- | :------------------- | :-------------------- | :----------------- | :--------------------------------- | :------------ | :-------------------- | | Share Capital | 165,068 | - | - | - | 120 | 165,188 | | Reserves | 137,819 | - | - | 592 | (34) | 138,445 | | Retained Losses | (63,172) | 10,560 | (5,373) | - | - | (57,985) | | Equity Attributable to Shareholders | 239,715 | 10,560 | (5,373) | 592 | 34 | 245,648 | | Non-Controlling Interests | 24,477 | 2,605 | (756) | - | - | 26,326 | | Total Equity | 264,192 | 13,165 | (6,129) | 592 | 34 | 271,974 | Consolidated Statements of Cash Flows For the six months ended June 30, 2024, net cash inflow from operating activities significantly improved to $23.97 million compared to a $3.10 million net outflow in the prior year, with investing activities continuing to consume cash and financing activities resulting in a net outflow due to dividend payments and loan note changes Consolidated Statements of Cash Flows Key Data (Six Months Ended June 30, $ thousands) | Indicator | 2024 | 2023 | | :-------------------------------- | :----- | :------ | | Net Cash Inflow (Outflow) from Operating Activities | 23,973 | (3,102) | | Net Cash Outflow from Investing Activities | (12,209) | (11,696) | | Net Cash Inflow (Outflow) from Financing Activities | (1,736) | 10,582 | | Net Increase (Decrease) in Cash and Cash Equivalents | 10,028 | (4,216) | | Net Cash and Cash Equivalents at End of Period | (1,366) | (2,907) | - For the six months ended June 30, 2024, cash inflow from operating activities significantly increased to $27.52 million compared to $0.67 million in the prior year period[23] - For the six months ended June 30, 2024, dividends paid increased to $5.63 million compared to $5.32 million in the prior year period[23] Notes to the Condensed Consolidated Interim Financial Statements 1 Reporting Entity Caledonia Mining Corporation Plc, a Jersey-registered company, primarily operates gold mines and explores for precious metal minerals in Zimbabwe, with its shares listed on NYSE American, LSE AIM, and VFEX - Caledonia Mining Corporation Plc is a company registered in Jersey[24] - The Group is primarily engaged in gold mining and the exploration and development of precious metal minerals in Zimbabwe[25] - Caledonia's shares are listed on NYSE American LLC, the AIM market of the London Stock Exchange, and the Victoria Falls Stock Exchange (VFEX)[26] 2 Basis of Preparation These unaudited condensed consolidated interim financial statements are prepared in accordance with IAS 34, omitting some information required for annual financial statements, and are based on historical cost, except for fair value measurement of cash-settled and equity-settled share-based payment arrangements and derivative financial assets - These unaudited condensed consolidated interim financial statements are prepared in accordance with IAS 34, "Interim Financial Reporting," and do not include all information required for annual financial statements[27] - The statements are prepared on a historical cost basis, except for cash-settled share-based payment arrangements, equity-settled share-based payment arrangements, and derivative financial assets, which are measured at fair value[28] 3 Use of Accounting Assumptions, Estimates and Judgements In preparing these unaudited condensed consolidated interim financial statements, management applied accounting assumptions, estimates, and judgments consistent with those used in the audited annual consolidated financial statements for the year ended December 31, 2023 - The key accounting assumptions, estimates, and judgments used in preparing the unaudited condensed consolidated interim financial statements are consistent with those in the 2023 audited annual consolidated financial statements[14] 4 Material Accounting Policies The Group has applied the same accounting policies and methods of computation consistently to these unaudited condensed consolidated interim financial statements for all periods presented as those applied in the consolidated financial statements for the year ended December 31, 2023 - The Group has applied the same accounting policies and methods of computation consistently to these unaudited condensed consolidated interim financial statements for all periods presented as those applied in the 2023 annual consolidated financial statements[15] 5 Blanket Zimbabwe Indigenisation Transaction This note details the 2012 transaction where Zimbabwean residents acquired a 51% stake in Blanket Mine via vendor financing repaid by dividends, with NCI recognized based on unconditional dividend attribution or excess over financing loan balances; Caledonia repurchased Fremiro's 15% stake in 2018, increasing its holding to 64% - On February 20, 2012, the Group announced a Memorandum of Understanding with the Government of Zimbabwe for Zimbabwean residents to acquire a 51% effective ownership in Blanket Mine for a transaction value of $30.09 million[16] - The Group provided vendor financing for these transactions, repayable through 80% of Blanket Mine's dividends, with the remaining 20% unconditionally attributable to the respective indigenous shareholders[30] - Non-controlling interests (NCI) are recognized based on dividends unconditionally attributable to equity holders or the portion of Blanket Mine's net asset value attributable to them that exceeds the financing loan balance[33] - On January 20, 2020, Caledonia repurchased Fremiro's 15% stake in Blanket Mine, increasing the company's holding to 64%[44] Blanket Mine Indigenisation Shareholding and Financing Loan Balances ($ thousands) | Shareholder | Shareholding | Effective Interest and NCI Recognized | NCI Subject to Financing Loan | Loan Balance June 30, 2024 | Loan Balance December 31, 2023 | | :---------------- | :----------- | :-------------------------------- | :------------------------------- | :---------------------------- | :-------------------------------- | | NIEEF | 16% | 3.2% | 12.8% | 8,096 | 8,489 | | Community Trust | 10% | 10.0% | 0.0% | – | – | | BETS | 10% | -* | -* | 4,594 | 4,908 | | Total | 36% | 13.2% | 12.8% | 12,690 | 13,397 | BETS's shares are treated as treasury shares. 6 Production Costs For the six months ended June 30, 2024, total production costs decreased to $39.42 million from $40.58 million in the prior year, with Blanket Mine incurring most costs, primarily wages, salaries, and consumable materials Production Costs (Six Months Ended June 30, $ thousands) | Category | 2024 | 2023 | | :-------------------------- | :----- | :----- | | Blanket Mine | 37,839 | 40,576 | | Wages and Salaries | 14,953 | N/A | | Consumable Materials | 12,381 | N/A | | Electricity Costs | 7,014 | N/A | | Bilboes | 1,581 | N/A | | Total Production Costs | 39,420 | 40,576 | - For the six months ended June 30, 2024, production costs decreased by $1.16 million year-on-year[59] 7 Net Foreign Exchange (Loss) Gain Zimbabwe introduced the ZiG currency on April 5, 2024, replacing RTGS$, showing greater stability against the USD; however, the Group recorded a net foreign exchange loss of $6.15 million for the six months ended June 30, 2024, significantly higher than the $2.08 million loss in the prior year, primarily from realized losses on gold sales receivables and cash - The Reserve Bank of Zimbabwe introduced the ZiG currency on April 5, 2024, replacing RTGS$, with ZiG showing greater stability against the US dollar[48][61] - Gold producers will continue to receive 75% of their revenue in US dollars, with the remainder in ZiG[48] Net Foreign Exchange (Loss) Gain (Six Months Ended June 30, $ thousands) | Category | 2024 | 2023 | | :------------------------------------------------ | :----- | :----- | | Unrealized Foreign Exchange (Loss) Gain | (62) | 762 | | Realized Foreign Exchange (Loss) Gain | (6,091) | (2,870) | | Net Foreign Exchange (Loss) Gain | (6,153) | (2,077) | - A 10% appreciation of the ZiG against the US dollar would result in a $0.638 million foreign exchange loss, while a 10% depreciation would result in a $0.975 million foreign exchange gain[63] 8 Administrative Expenses For the six months ended June 30, 2024, administrative expenses decreased to $6.28 million from $9.12 million in the prior year, primarily due to a significant reduction in consulting service fees, partially offset by increased staff costs Administrative Expenses (Six Months Ended June 30, $ thousands) | Category | 2024 | 2023 | | :-------------------------- | :----- | :----- | | Consulting Service Fees | 782 | 3,823 | | Staff Costs | 3,350 | 2,815 | | Total Administrative Expenses | 6,275 | 9,122 | - Consulting service fees decreased by $3.04 million, while staff costs increased by $0.54 million[53] 9 Share-based Payments The Group grants RSUs and PUs under its 2015 Omnibus Equity Incentive Compensation Plan, with cash-settled and equity-settled payments linked to gold production, costs, and project development, leading to reduced cash-settled liabilities and increased equity-settled expenses 9.1 Cash-settled Share-based Payments Cash-settled RSUs and PUs vest after three years, with PUs subject to performance conditions; as of June 30, 2024, the estimated liability for cash-settled share-based payments decreased to $0.644 million from $1.294 million on December 31, 2023, and PUs expense for H1 2024 decreased to $0.057 million from $0.271 million in H1 2023 - RSUs and PUs allow holders to elect to settle the vested value in cash or shares[55] - Performance conditions for PUs are based on gold production, average normalized controllable cost per ounce of gold, Blanket Mine resource development, and the financing and construction of the Bilboes sulphide project[85] - As of June 30, 2024, the cash-settled share-based payment liability was $0.644 million (December 31, 2023: $1.294 million)[66] - For the six months ended June 30, 2024, the cash-settled share-based payment expense for PUs was $0.057 million (2023: $0.271 million)[67] - In calculating the estimated liability, the average performance multiplier for PUs was expected to be 80%-100% as of June 30, 2024 (2023: 93%-100%)[86] 9.2 Equity-settled Share-based Payments Equity-settled Performance Units (EPUs) and Restricted Share Units (ERSUs) vest after three years, subject to performance conditions and a minimum one-year holding period for issued shares; H1 2024 equity-settled share-based payment expense for EPUs increased to $0.414 million from $0.331 million in H1 2023, while ERSUs expense was $0.092 million (H1 2023: zero) - Performance conditions for EPUs are based on gold production, average normalized controllable cost per ounce of gold, Blanket Mine resource development, and the financing and construction of the Bilboes sulphide project, with a three-year performance period[69] - Shares issued are subject to a minimum holding period of at least one year from the EPU vesting date[70] - For the six months ended June 30, 2024, the equity-settled share-based payment expense for EPUs was $0.414 million (2023: $0.331 million)[90] - For the six months ended June 30, 2024, the equity-settled share-based payment expense for ERSUs was $0.092 million (2023: zero)[73] - At the reporting date, a 100% probability of achieving performance conditions was assumed for calculating EPU and ERSU expenses, thus a 100% performance multiplier was used[90][93] 10 Other Expenses For the six months ended June 30, 2024, other expenses decreased to $1.26 million from $2.10 million in the prior year, primarily due to the absence of property, plant, and equipment impairment losses in H1 2024 that were present in 2023 Other Expenses (Six Months Ended June 30, $ thousands) | Category | 2024 | 2023 | | :------------------------------------------ | :----- | :----- | | Intermediated Money Transfer Tax (IMTT) | 528 | 666 | | Community and Social Responsibility Costs | 736 | 582 | | Property, Plant and Equipment Impairment | – | 851 | | Total Other Expenses | 1,264 | 2,099 | - No property, plant, and equipment impairment losses were recognized in H1 2024, compared to $0.851 million in H1 2023[93] 11 Finance Income and Finance Cost For the six months ended June 30, 2024, total finance costs decreased to $1.53 million from $1.83 million in the prior year, primarily due to the elimination of Motapa loan notes payable, partially offset by solar loan notes payable and new loans and borrowings, while finance income remained stable Finance Income and Costs (Six Months Ended June 30, $ thousands) | Category | 2024 | 2023 | | :------------------------------------ | :----- | :----- | | Bank Finance Income | 9 | 9 | | Amortisation of Rehabilitation Provision | 198 | 36 | | Lease Finance Costs | 5 | 11 | | Overdraft and Short-Term Loan Finance Costs | 864 | 977 | | Solar Loan Notes Payable Finance Costs | 395 | 197 | | Motapa Loan Notes Payable Finance Costs | – | 612 | | Loans and Borrowings Finance Costs | 67 | – | | Total Finance Costs | 1,529 | 1,833 | - Motapa loan notes payable decreased from $0.612 million in H1 2023 to $0 in H1 2024[93] - Solar loan notes payable increased from $0.197 million in H1 2023 to $0.395 million in H1 2024[93] 12 Exploration and Evaluation Assets As of June 30, 2024, exploration and evaluation assets slightly increased to $94.54 million from $94.27 million on December 31, 2023, primarily due to ongoing exploration costs, partially offset by an adjustment to Motapa's decommissioning asset estimate Exploration and Evaluation Assets ($ thousands) | Asset | June 30, 2024 | December 31, 2023 | | :-------------------------- | :------------ | :---------------- | | Bilboes Gold | 73,764 | 73,573 | | Motapa | 10,605 | 10,592 | | Maligreen | 6,007 | 5,998 | | GG | 3,774 | 3,723 | | Total | 94,536 | 94,272 | - Exploration costs for consumables and drilling amounted to $0.56 million in H1 2024[76] - The adjustment to Motapa's decommissioning asset estimate was ($0.899 million)[76] 13 Property, Plant and Equipment As of June 30, 2024, the carrying value of property, plant, and equipment increased to $181.03 million from $179.65 million on December 31, 2023, with additions of $9.44 million and depreciation expense of $8.06 million for the period; the solar plant became fully operational in February 2023 and was reclassified as held for sale in September 2023 Property, Plant and Equipment Carrying Value ($ thousands) | Indicator | June 30, 2024 | December 31, 2023 | | :-------------------------- | :------------ | :---------------- | | Carrying Value | 181,027 | 179,649 | - Additions to property, plant, and equipment amounted to $9.44 million in H1 2024[78] - Depreciation expense was $8.06 million in H1 2024[99] - The solar plant became fully operational on February 2, 2023, and was classified as held for sale on September 28, 2023[97] 14 Inventories As of June 30, 2024, total inventories remained stable at $20.40 million, largely consistent with $20.30 million on December 31, 2023, with an increase in consumable materials offset by a significant decrease in gold in process Inventories ($ thousands) | Category | June 30, 2024 | December 31, 2023 | | :---------------- | :------------ | :---------------- | | Consumable Materials | 19,437 | 18,001 | | Gold in Process | 964 | 2,303 | | Total Inventories | 20,401 | 20,304 | - Gold in process decreased from 3,057 ounces on December 31, 2023, to 1,066 ounces on June 30, 2024[80] 15 Trade and Other Receivables As of June 30, 2024, trade and other receivables decreased to $7.88 million from $9.95 million on December 31, 2023, primarily due to reductions in gold sales receivables and VAT receivables, with all outstanding gold sales receivables fully settled post-period end Trade and Other Receivables ($ thousands) | Category | June 30, 2024 | December 31, 2023 | | :--------------------------------- | :------------ | :---------------- | | Gold Sales Receivables | 3,844 | 5,403 | | VAT Receivables | 3,612 | 4,259 | | Deposits for Stores, Equipment and Other Receivables | 426 | 290 | | Total | 7,882 | 9,952 | - All outstanding gold sales receivables were fully settled after the period end[127] - The company offset $1.8 million of VAT receivables against Quarter Payment Dates (QPDs) liabilities due to the Zimbabwe Revenue Authority[127] 16 Prepayments As of June 30, 2024, prepayments significantly increased to $5.29 million from $2.54 million on December 31, 2023, primarily due to increased ZiG-denominated prepayments to Blanket Mine third-party suppliers Prepayments ($ thousands) | Category | June 30, 2024 | December 31, 2023 | | :--------------------------------- | :------------ | :---------------- | | Blanket Mine Third-Party Suppliers - ZiG | 2,947 | – | | Blanket Mine Third-Party Suppliers - USD | 1,482 | 808 | | CMSA Suppliers | 681 | 527 | | Other Prepayments | 177 | 265 | | Total Prepayments | 5,287 | 2,538 | 17 Cash and Cash Equivalents As of June 30, 2024, net cash and cash equivalents significantly improved from an $11.03 million deficit on December 31, 2023, to a $1.37 million deficit, with increased bank balances and reduced bank overdrafts and short-term loans; a $2.0 million CABS bank USD loan due July 2024 was fully repaid Cash and Cash Equivalents ($ thousands) | Category | June 30, 2024 | December 31, 2023 | | :------------------------------------------ | :------------ | :---------------- | | Bank Balances | 15,412 | 4,252 | | Restricted Cash | – | 2,456 | | Cash and Cash Equivalents | 15,412 | 6,708 | | Bank Overdrafts and Short-Term Loans Used for Cash Management | (16,778) | (17,740) | | Net Cash and Cash Equivalents | (1,366) | (11,032) | - A $2.0 million CABS bank USD loan due in July 2024 was fully repaid[104] - As of June 30, 2024, total drawn USD overdraft facilities and term loans amounted to $16.8 million, with $3.2 million undrawn[128] 18 Assets and Liabilities Associated with Assets Held for Sale The solar plant was classified as held for sale from September 28, 2023, with a carrying value of $13.48 million as of June 30, 2024; management is in advanced negotiations with a reputable global renewable energy operator for its sale, expecting to realize a cash profit and secure future power supply for Blanket Mine, while related site rehabilitation liabilities decreased Assets and Liabilities Associated with Assets Held for Sale ($ thousands) | Category | June 30, 2024 | December 31, 2023 | | :------------------------------------------ | :------------ | :---------------- | | Non-Current Assets Held for Sale (Solar Plant) | 13,484 | 13,519 | | Liabilities Associated with Assets Held for Sale (Site Rehabilitation Liability) | 93 | 128 | - Management is in advanced negotiations with potential buyers for the sale of the solar plant, expecting to realize a cash profit and secure future power supply for Blanket Mine[106] - The Board approved management to negotiate the sale of the solar plant on September 28, 2023, and the asset met the criteria for classification as held for sale[131] 19 Share Capital As of June 30, 2024, the number of ordinary shares issued increased to 19,199,860 from 19,188,073 on December 31, 2023, driven by share-based payments to employees and option exercises Issued Ordinary Shares ($ thousands) | Indicator | Number of Shares | Amount | | :------------------------------------------ | :----------- | :----- | | December 31, 2023 | 19,188,073 | 165,068 | | Shares Issued: | | | | - Share-based Payments - Employees (Note 9.1(a)) | 6,787 | 83 | | - Option Exercise | 5,000 | 37 | | June 30, 2024 | 19,199,860 | 165,188 | - A Caledonia consultant signed an option exercise notice on June 14, 2024, to purchase 5,000 shares at $7.35 per share[133] 20 Provisions As of June 30, 2024, total site rehabilitation provisions decreased to $9.42 million from $10.99 million on December 31, 2023, primarily due to changes in Blanket Mine provision estimates (due to mine life extension to 2041) and the exclusion of Motapa's old tailings storage facility from rehabilitation liabilities Site Rehabilitation Provisions Reconciliation ($ thousands) | Category | June 30, 2024 | December 31, 2023 | | :-------------------------------- | :------------ | :---------------- | | Blanket Mine | 4,096 | 4,766 | | Motapa, Maligreen and Bilboes | 5,320 | 6,219 | | Total Balance | 9,416 | 10,985 | - Changes in Blanket Mine provision estimates are due to the extension of the mine's life (LoM) to 2041[135] - Following further review, Motapa's old tailings storage facility is not within Caledonia's claim area and has therefore been excluded from rehabilitation liabilities[135] - The discount rate for Blanket Mine provisions is 4.61% (2023: 4.14%), with cash flows estimated at an average inflation rate of 2.37%[112] 21 Loan Notes As of June 30, 2024, total loan notes increased to $9.09 million from $7.11 million on December 31, 2023, primarily due to solar loan notes with a 9.5% fixed interest rate, a three-year term, and a company guarantee 21.1 Solar Loan Notes As of June 30, 2024, solar loan notes increased to $9.09 million from $7.11 million on December 31, 2023, with $2.0 million received during the period; these bonds, issued by Caledonia Mining Services (Private) Limited, carry a 9.5% fixed interest rate, payable semi-annually, and are guaranteed by the company Solar Loan Notes ($ thousands) | Indicator | June 30, 2024 | December 31, 2023 | | :-------------------------- | :------------ | :---------------- | | Balance January 1 | 7,112 | – | | Amounts Received | 2,000 | 7,000 | | Transaction Costs | (61) | (105) | | Finance Costs Accrued | 395 | 549 | | Finance Costs Paid | (353) | (332) | | Balance | 9,093 | 7,112 | - These bonds carry a 9.5% fixed interest rate, payable semi-annually, have a three-year term, and are guaranteed by the company[137] 22 Trade and Other Payables As of June 30, 2024, total trade and other payables decreased to $18.80 million from $20.50 million on December 31, 2023, primarily due to a reduction in trade payables and other employee benefits, partially offset by increased electricity accruals and holiday payables Trade and Other Payables ($ thousands) | Category | June 30, 2024 | December 31, 2023 | | :------------------------------------------ | :------------ | :---------------- | | Trade Payables | 4,222 | 6,166 | | Electricity Accruals | 3,771 | 2,676 | | Dividends Payable | 1,608 | 1,048 | | Holiday Pay Accrual | 3,498 | 2,655 | | Other Employee Benefits - Settlement | – | 1,588 | | Total | 18,803 | 20,503 | 23 Cash Flow Information For the six months ended June 30, 2024, cash flow from operations before working capital changes significantly increased to $30.29 million from $4.92 million in the prior year, primarily due to higher operating profit and depreciation, partially offset by unrealized foreign exchange gains Cash Flow from Operating Activities (Six Months Ended June 30, $ thousands) | Indicator | 2024 | 2023 | | :------------------------------------------------ | :----- | :----- | | Operating Profit | 22,366 | 2,581 | | Depreciation | 8,058 | 5,664 | | Unrealized Foreign Exchange Gain | (639) | (3,983) | | Cash Flow from Operations Before Working Capital Changes | 30,286 | 4,916 | | Cash Flow from Operating Activities | 27,523 | 666 | 24 Operating Segments The Group's operating segments are Blanket, South Africa, Bilboes Oxide, and Exploration & Evaluation projects, with the Blanket segment contributing most revenue ($86.94 million) and profit before tax ($25.10 million) in H1 2024; the Group sold 29,539 ounces of gold worth $63.89 million to its key customer, AEG - The Group's reportable segments include Blanket Mine, Bilboes Oxide, Exploration and Evaluation Projects (E&E Projects), and South Africa[141] Segment Revenue and Profit (Loss) Before Tax (Six Months Ended June 30, 2024, $ thousands) | Segment | Revenue | Profit (Loss) Before Tax | | :------------------- | :------ | :----------------------- | | Blanket | 86,937 | 25,098 | | South Africa | – | 1,069 | | Bilboes Oxide | 1,698 | (161) | | Exploration & Evaluation Projects | – | (51) | | Corporate and Other | – | (5,102) | | Total | 88,635 | 20,846 | - As of June 30, 2024, the Group sold 29,539 ounces of gold worth $63.89 million to its key customer, AEG, with management believing this new sales mechanism reduces sales and collection risk and may facilitate debt financing secured by offshore gold sales[156] 25 Supplemental Disclosure of Cash Flow Items This section provides detailed reconciliations for taxes paid, property, plant, and equipment acquisitions, and dividends paid, with $2.28 million in taxes paid and $5.63 million in dividends paid during H1 2024 Taxes Paid Reconciliation (Six Months Ended June 30, $ thousands) | Indicator | 2024 | 2023 | | :------------------------------------------ | :----- | :----- | | Net Income Tax Payable Opening Balance | (1,110) | 1,284 | | Current Tax Expense | 7,544 | 3,915 | | Net Income Tax Payable Closing Balance | (3,878) | (2,408) | | Taxes Paid | 2,276 | 2,346 | Dividends Paid Reconciliation (Six Months Ended June 30, $ thousands) | Indicator | 2024 | 2023 | | :------------------------------------------ | :----- | :----- | | Dividends Payable Opening Balance | 1,048 | 1,883 | | Dividends Declared | 6,129 | 7,578 | | Dividends Payable Closing Balance | (1,608) | (4,058) | | Dividends Paid | 5,632 | 5,317 | - Cash outflow for the acquisition of property, plant, and equipment was $10.64 million in H1 2024[158] 26 Subsequent Events Between June 30, 2024, and the financial statement release date, no other significant subsequent events occurred, apart from discretionary payments to certain employees over 60 (expected $2.4 million outflow in FY2024) and $2.7 million in dividends declared and paid in July 2024 - The company granted discretionary payments to certain employees over 60, with an expected cash outflow of $2.4 million in FY2024[159] - The company declared and paid $2.7 million in dividends in July 2024[160] Corporate Information Directors, Officers and Corporate Details This section lists board members, officers, and board committees as of August 12, 2024, and provides key corporate details including registered offices in Jersey, South Africa, and Zimbabwe, along with information on lawyers, auditors, banks, and stock ticker symbols - Board members and officers are listed as of August 12, 2024[148] - Board committees, including the Audit Committee, Remuneration Committee, Nomination and Corporate Governance Committee, Technical Committee, Strategic Planning Committee, Disclosure Committee, and ESG Committee, are detailed[148] - Registered office information for the company in Jersey, South Africa, and Zimbabwe is provided[149] - Stock ticker symbols are confirmed as "CMCL" on NYSE American, AIM, and VFEX[149]