TRX Gold Reports Year-End 2024 Results

Core Insights - TRX Gold Corporation reported record financial results for the year ending August 31, 2024, with annual gold production of 19,389 ounces and record revenue of $41.2 million, driven by high gold prices and operational efficiencies [2][4][5] Financial Performance - Annual production of gold was 19,389 ounces, slightly down from 20,759 ounces in 2023, while gold sold was 19,075 ounces compared to 20,864 ounces in the previous year [4] - Full year revenue reached $41.2 million, an increase from $38.3 million in 2023, with gross profit of $17.9 million, representing a gross margin of 44% [4][5] - Operating cash flow for the year was $15.3 million, consistent with the previous year, and adjusted EBITDA also reached a record $15.3 million, up from $13.7 million in 2023 [4][5] Operational Highlights - The company successfully expanded its processing plant to 2,000 tonnes per day (tpd), which was fully commissioned at the end of Q4 2024, enhancing throughput and expected to benefit gold production in fiscal 2025 [2][6] - In Q4 2024, the company poured 5,767 ounces of gold, a 25% increase from the previous quarter, and sold 5,715 ounces at an average realized price of $2,412 per ounce [5][6] Exploration and Growth Potential - The discovery of the Stamford Bridge Zone, a new gold mineralization shear zone, was announced, with the best drill results ever recorded for the company, indicating significant exploration potential [2][7] - The company plans to increase exploration drilling in fiscal 2025, focusing on high-priority gold zones including Stamford Bridge and Buckreef Main [7][9] Future Outlook - For fiscal 2025, gold production is expected to exceed fiscal 2024 levels, with a waste stripping campaign planned to access high-grade ore blocks, anticipated to enhance production in the latter half of the year [9] - Cash costs per ounce are expected to remain in line with fiscal 2024 levels, with a slight increase in H1 2025 and a decrease in H2 2025 as higher-grade ore becomes accessible [9]