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Dynacor Reports Q2-2025 Results and Advances International Expansion Plan
Globenewswire·2025-08-11 12:00

Core Viewpoint - Dynacor Group Inc. announced its unaudited financial and operational results for Q2 2025, highlighting key milestones in its international expansion plan aimed at achieving $1 billion in sales by 2030, despite facing challenges in ore supply during the quarter [1][2]. Financial Performance - Q2 2025 sales reached $79.7 million, marking a 18.4% increase from $67.4 million in Q2 2024 [11]. - EBITDA for the quarter was $5.7 million, with net income reported at $3.5 million [7][11]. - The gross operating margin for Q2 2025 was $7.1 million, representing 9.0% of sales, down from 14.8% in Q2 2024 [18]. - For the first half of 2025, total sales amounted to $159.7 million, compared to $135.2 million in the same period of 2024 [18]. Operational Highlights - The company processed 38,152 tonnes of ore in Q2 2025, averaging 419 tonnes per day, which was lower than the historical standard due to a government-mandated curfew on artisanal miners [10][12]. - Production of AuEq ounces in Q2 2025 was 24,955, down from 28,364 in Q2 2024 [10]. - The company has solid liquidity with $58.4 million in cash and short-term investments as of June 30, 2025, compared to $25.8 million at the end of 2024 [7][20]. International Expansion - Dynacor is advancing its international expansion with significant developments in Senegal, Ghana, and Ecuador [2][7]. - In Senegal, the company is constructing a 50-tonne per day pilot plant and has placed orders for key equipment [7]. - A Memorandum of Understanding (MOU) was signed with a partner in Ghana for a joint venture [7]. - The acquisition of the Svetlana processing plant in Ecuador was completed for $9.75 million, funded by proceeds from common share issuance [7][8]. Updated Guidance - The company updated its 2025 sales guidance to $340-$350 million, down from the initial range of $345-$375 million, due to ore supply disruptions [5][6]. - Production guidance for 2025 was also revised to 105,000-110,000 AuEq ounces, down from 120,000-130,000 ounces [8]. Capital Expenditures - Capital expenditures for 2025 are projected at $12 million for Peru and Senegal, and $17 million for Ecuador, which includes the acquisition of the Svetlana plant [8][23].