SilverCrest Metals (US:SILV)2024-03-11 11:03Financial Performance - SilverCrest generated $61.3 million in revenue for Q4 2023, a 50% increase from $40.8 million in Q4 2022[18] - The company achieved a mine operating income of $36.9 million in Q4 2023, representing a 60% operating margin[18] - Net earnings for Q4 2023 were $35.9 million, or $0.25 per share, significantly higher than $5.2 million, or $0.03 per share, in Q4 2022[31] - For the full year 2023, the Company generated net earnings of $116.7 million, or $0.79 per share, compared to $31.3 million, or $0.21 per share, in 2022[32] - Total cash flow from operating activities in 2023 was $158.3 million, a significant increase from cash outflows of $9.9 million in 2022[34] Cash Flow and Financial Position - Free cash flow for 2023 totaled $121.1 million, or $0.82 per share, with a strong financial position and no debt[10] - Free cash flow for Q4 2023 was $24.1 million, or $0.16 per share, while total free cash flow for 2023 was $121.1 million, or $0.82 per share[35] - As of December 31, 2023, the Company had treasury assets of $105.2 million, a 107% increase from the previous year, and remains debt-free[36] - Net cash position at the end of 2023 was $85,964,000, significantly higher than $1,170,000 in 2022, indicating strong financial health[55] Production and Sales - The Company sold 16,100 oz of gold and 1.28 million oz of silver in Q4 2023, compared to 11,400 oz of gold and 1.0 million oz of silver in Q4 2022[28] - The average realized price for gold was $1,979 per ounce and for silver was $23.09 per ounce in Q4 2023[4] - The company expects to sell between 9.8 to 10.2 million ounces of AgEq in 2024, with cash costs projected at $9.50 to $10.00 per ounce AgEq sold[9] - Mining rates are expected to ramp up to a targeted exit rate of 1,050 tonnes per day in H2 2024[6] - The processing plant is projected to operate at an average of 1,200 tonnes per day in 2024, with consistent silver equivalent sales expected throughout the year[7] Costs and Expenditures - Cash costs for Q4 2023 were $7.45 per ounce AgEq sold, while corporate AISC was $14.36 per ounce AgEq sold[21] - The all-in sustaining cost (AISC) averaged $14.36 per oz AgEq sold in Q4 2023, up from $12.23 per oz AgEq sold in Q3 2023, but within the guidance range of $13.75 to $15.50[22] - Total capital expenditures for Q4 2023 were $17,357,000, with sustaining capital expenditures at $12,025,000, indicating a focus on maintaining current production levels[46] - Sustaining capital expenditures for 2023 totaled $37,144,000, reflecting ongoing investments to support production levels[46] Exploration and Development - SilverCrest completed 3.6 km of underground development in Q4 2023, contributing to a total of 13.2 km for the year[19] - The Company completed 17,947 metres of drilling at Las Chispas in Q4 2023, with 42% focused on infill drilling to convert Inferred Resources to Indicated Resources[24] - The company plans to continue its exploration program at Las Chispas in 2024 with a budget of up to $14 million, targeting resource conversion and growth[26] Market Outlook - The company anticipates continued production growth and strategic plans for 2024, with expectations for gold and silver prices to influence future operations[56] - Average realized gold price per ounce sold in Q4 2023 was $1,979, up from $1,730 in 2022, while average realized silver price per ounce sold was $23.09, compared to $21.51 in 2022[44] - Total cash costs for Q4 2023 were $19,044,000, with cash costs per silver equivalent ounce sold at $7.45, slightly down from $7.73 in 2022[53] - All-in sustaining costs (AISC) for Q4 2023 were $36,708,000, with AISC per silver equivalent ounce sold at $14.36, up from $12.58 in 2022[53]