Taseko(US:TGB)2025-02-20 00:37Production and Operations - Taseko's Gibraltar mine produced 105.6 million pounds of copper in 2024, a decrease of 13.0% from 122.6 million pounds in 2023 due to lower mill running time[13] - Total copper production for 2025 is expected to be in the range of 120 to 130 million pounds, driven by increased mill availability and higher throughput[23] - Molybdenum production was 1.4 million pounds in 2024, a 17% increase from 1.2 million pounds in the prior year, with an average price of US$21.30 per pound, down 12% from US$24.19 in 2023[17] - The strip ratio increased to 1.6 in 2024 from 1.3 in 2023 as mining operations transitioned to the Connector pit, with ore stockpiles increasing by 5.0 million tons[15] - Total copper produced in Q4 2023 was 29,883 thousand pounds, with total costs per pound produced at C$1.99, a decrease from C$2.50 in Q3 2023[183] Financial Performance - Revenues for the year ended December 31, 2024, were C$608.1 million, an increase of 15.8% from C$524.9 million in 2023[9] - The company reported a net loss of C$13.4 million for 2024, compared to a net income of C$82.7 million in 2023, reflecting a significant decline[9] - Adjusted EBITDA for the year was C$224.0 million, up from C$190.1 million in 2023, representing a 17.8% increase[9] - The company reported a net loss of Cdn$13.4 million ($0.05 loss per share) for the year ended December 31, 2024, compared to a net income of Cdn$82.7 million ($0.29 earnings per share) in the prior year, primarily due to unrealized foreign exchange losses and increased production costs[62] - The company reported a net loss of $21.2 million in Q4 2024, a decrease of $59.3 million compared to a net income of $38.1 million in Q4 2023[126] Costs and Expenses - Total operating costs (C1) for the year were US$2.66 per pound produced, with an average realized copper price of US$4.17 per pound[9] - Cost of sales for 2024 was Cdn$490.9 million, an increase of Cdn$116.4 million from the prior year, primarily due to higher site operating costs and transportation costs[71] - Total site costs at Gibraltar were $413.9 million in 2024, $16.9 million lower than 2023, primarily due to reduced input costs and the impact of an 18-day labor strike[16] - Site operating costs rose by $35.7 million in Q4 2024, primarily due to decreased capitalized waste stripping and increased ownership in Gibraltar[134] - The total costs per pound produced for the year ended December 31, 2024, were C$2.37, reflecting a decrease from C$2.68 in 2023[183] Cash Flow and Liquidity - In Q4 2024, Taseko's cash flow from operations was C$73.3 million, compared to C$62.8 million in Q4 2023, marking a 24.0% increase[10] - The company had a cash balance of C$173 million and approximately C$331 million of available liquidity at December 31, 2024[10] - Cash flow from operations increased to Cdn$232.6 million in 2024, up from Cdn$151.1 million in the prior year, driven by higher copper and molybdenum sales volumes[99] - Cash used for investing activities was Cdn$317.9 million in 2024, compared to Cdn$167.6 million in 2023, reflecting increased capital expenditures[101] - Cash provided by operating activities for Q4 2024 was Cdn$73.3 million, an increase from C$62.8 million in Q4 2023[123] Acquisitions and Investments - Taseko acquired the remaining 12.5% interest in Gibraltar in March 2024, increasing its effective interest in the mine from 87.5% to 100%[9] - The company completed the acquisition of an additional 12.5% interest in the Gibraltar mine for a minimum of Cdn$60 million, with an initial payment of Cdn$10 million made at closing[114] - The acquisition of the remaining 50% of Cariboo from Dowa and Furukawa was completed for a minimum of Cdn$117 million, with an initial payment of Cdn$5 million[115] - The company recognized a bargain purchase gain of Cdn$47.4 million on the acquisition of the remaining 50% of Cariboo, completed on March 25, 2024[83] - The company has capital expenditure commitments of Cdn$47.9 million related to equipment for the Florence Copper project as of December 31, 2024[119] Project Developments - The company commenced construction of the commercial production facility at the Florence Copper project, which is approximately 56% complete as of year-end 2024[9] - Construction costs for the Florence Copper project totaled US$154.97 million for the year ended December 31, 2024, with total project expenditures reaching US$203.43 million[32] - The estimated remaining construction costs for the Florence Copper commercial facility are US$232 million, with first copper production expected in late 2025[36] Market and Pricing - The average realized copper price increased to US$4.17 per pound in 2024, compared to US$3.84 per pound in 2023[67] - The average molybdenum price in the fourth quarter of 2024 was US$21.71 per pound, with molybdenum generating a by-product credit of US$0.42 per pound of copper produced[21] - The Company has secured a minimum copper price of US$4.00 per pound for 108 million pounds of copper for 2025 through copper collar contracts[28] - Molybdenum revenues increased by Cdn$8.7 million due to higher sales volumes, despite lower average prices[70] Tax and Regulatory - The effective tax rate for 2024 was 174.3%, significantly higher than 37.7% in 2023, primarily due to the purchase of the residual 12.5% interest in Cariboo[88] - The effective tax rate for Q4 2024 was negative at (123.2)%, compared to 31.1% in the prior year, primarily due to unrealized foreign exchange losses[148] Other Financial Metrics - Total assets grew to Cdn$2.2 billion in 2024, an increase of Cdn$610.9 million from Cdn$1.6 billion in 2023, indicating significant asset expansion[92] - Property, plant, and equipment increased by Cdn$484.1 million in 2024, including Cdn$287.3 million for Florence Copper project expenditures[94] - Finance expenses for the year ended December 31, 2024, increased to Cdn$40.8 million from Cdn$39.1 million in 2023, primarily due to higher principal on new senior secured notes and additional borrowings[85]