Galiano Gold(US:GAU)2025-11-06 23:52Revenue and Income - Revenue for the three months ended September 30, 2025, was $114,197,000, a 60.5% increase from $71,130,000 in the same period of 2024[5] - Income from mine operations for the three months ended September 30, 2025, was $48,176,000, representing an increase of 82.0% compared to $26,444,000 in 2024[5] - The net loss for the three months ended September 30, 2025, was $42,020,000, compared to a net income of $1,100,000 in the same period of 2024[5] - For the three months ended September 30, 2025, the total revenue from Ghana was $114,197, compared to $71,130 for the same period in 2024, representing a 60.6% increase[107][108] - For the nine months ended September 30, 2025, total revenue from Ghana was $288,091, up from $166,788 in the same period in 2024, indicating a 72.5% increase[109][110] Costs and Expenses - Cost of sales for the three months ended September 30, 2025, totaled $66,021,000, up 47.8% from $44,686,000 in the prior year[5] - The cost of sales for the three months ended September 30, 2025, included production costs of $41,630, depreciation and depletion of $15,256, and royalties of $9,135, leading to an income from mine operations of $48,176[107] - Total production costs for the nine months ended September 30, 2025, were $123,175,000, up from $84,499,000 in the same period of 2024, representing an increase of approximately 45.7%[74] - The Company recognized current income tax expense of $21.8 million for the nine months ended September 30, 2025, compared to nil for the same period in 2024[78] - Total finance expense for the nine months ended September 30, 2025, was $99,069,000, significantly higher than $36,607,000 for the same period in 2024, reflecting an increase of approximately 171.5%[77] Assets and Liabilities - Total assets increased to $585,218,000 as of September 30, 2025, from $500,353,000 at the end of 2024, reflecting a growth of 16.9%[3] - Current liabilities rose to $204,579,000 as of September 30, 2025, compared to $110,815,000 at December 31, 2024, marking an increase of 84.5%[3] - Total liabilities as of September 30, 2025, were $383,265[106] - The total financial liabilities as of September 30, 2025, were $277,502 thousand, an increase from $179,529 thousand as of December 31, 2024[90] Cash and Cash Equivalents - Cash and cash equivalents at the end of the period were $116,440,000, up from $105,775,000 at the end of 2024, indicating a 10.5% increase[3] - As of September 30, 2025, cash and cash equivalents increased to $116.4 million from $105.8 million as of December 31, 2024[30] - The Company’s cash and cash equivalents as of September 30, 2025, were $116,440 thousand, compared to $105,775 thousand as of December 31, 2024[89] Share Capital and Equity - The weighted average number of shares outstanding for the three months ended September 30, 2025, was 258,791,445, compared to 256,912,077 in 2024[5] - The company’s share capital increased to $618,982,000 as of September 30, 2025, from $616,203,000 at the end of 2024[6] - The number of issued and outstanding common shares increased to 259.4 million as of September 30, 2025, from 257.1 million at December 31, 2024[53] Acquisitions and Investments - The Company acquired Gold Fields Limited's 45% interest in the AGM, increasing its ownership to 90%[11] - The acquisition of Gold Fields involved a total consideration of $65.0 million in cash and 28.5 million common shares[28] - The net assets attributable to Galiano from the acquisition amounted to $297.97 million[29] - The Company incurred $2.5 million in acquisition-related costs during the nine months ended September 30, 2024[28] Exploration and Evaluation - The company reported exploration and evaluation expenditures of $879,000 for the three months ended September 30, 2025, down from $1,809,000 in the same period of 2024[5] - Additions to mineral interests included capitalized stripping costs of $11.9 million and $38.9 million for the Abore and Esaase deposits, respectively, for the three and nine months ended September 30, 2025[34] Financial Instruments and Hedging - The Company reported realized losses on ZCC gold hedges of $13,094 thousand for Q3 2025, compared to $2,162 thousand for Q3 2024[91] - Unrealized losses on ZCC gold hedges for the nine months ended September 30, 2025, were $57,128 thousand, significantly higher than $22,171 thousand for the same period in 2024[91] - The company engages in hedging programs to manage exposure to gold price risk, aiming for margin protection during periods of elevated capital spending[104] Taxation - The effective tax rate (ETR) for the Company differs from the combined Canadian federal and provincial statutory tax rates of 27% due to taxable income generated in Ghana, which is subject to a statutory tax rate of 35%[78] Other Financial Metrics - The average interest rate earned on cash and cash equivalents during the nine months ended September 30, 2025, was 4.1%, down from 5.4% in the same period of 2024[100] - Change in working capital for the nine months ended September 30, 2025, was $12,850 thousand, compared to $(17,818) thousand for the same period in 2024[88] - Total commitments as of September 30, 2025, amounted to $416,817 thousand, up from $283,968 thousand as of December 31, 2024[82]