In This Article:
For immediate release
30 May 2022
Serabi Gold plc
(“Serabi” or the “Company”)
Trading Update and Update on Publication of Annual Financial Results
Serabi (AIM:SRB, TSX:SBI), the Brazilian focused gold mining and development company, expects to publish the audited full year results in mid-June 2022. This is to allow the Company's auditors time to complete their audit procedures. As the audit of the full year results is at an advanced stage, the Company does not expect this outstanding work to have any impact on the summary financial information set out below or the cash position of the Company.
The Company is today providing a further update on its 2022 activities.
Operational Highlights
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Gold production for April 2022 was 2,919 ounces, the highest monthly level so far in 2022.
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The Company anticipates gold production for May 2022 will be similar.
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An initial 400 tonnes of ore recovered from the Coringa Project is being transported to Palito and ore-sorting test work is due to commence in the coming days. This ore will also provide a bulk sample to be processed through the Palito plant.
Financial Highlights – 2022
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On 17 May 2022, the Company completed a US$5.1 million unsecured loan arrangement with a Brazilian bank. The loan is repayable as a bullet payment on 12 May 2023 and carries an interest coupon of 6.6 per cent. This additional working capital offsets the unexpected reduction in revenue and cash for the first quarter of 2022.
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The Group currently has in excess of US$10.5 million in cash, including the proceeds of this loan.
Financial Highlights – Unaudited preliminary results for FY2021
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Revenue increase of 13 per cent to US$63.1 million (2020: US$55.8 million) reflecting the eight per cent increase in gold production.
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EBITDA of US$19.13 million also represents the best annual performance for the Group (2020: US$15.52 million).
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Revenues and EBITDA are in line with consensus forecasts.
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Post tax profit of US$9.95 million represents the best annual result for the Group and an increase of 42 per cent year on year.
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Earnings per share of 13.85 cents compared with 11.92 cents for 2020.
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Average gold price of US$1,776 received on gold sales in 2021. (2020: US$1,727).
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Cash Cost for the year of US$1,090 per ounce (2020: US$1,075).
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All-In Sustaining Cost for the year of US$1,429 per ounce (2020: US$1,374 per ounce) reflecting the additional US$2.45 million of mine development expenditure incurred in the year.
Key Financial Information
| UNAUDITED SUMMARY FINANCIAL STATISTICS FOR THE THREE AND TWELVE MONTHS ENDING 31 DECEMBER 2021 | ||||
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| 12 months to | 3 months to | 12 months to | 3 months to |
| Revenue | 63,141 | 16,400 | 55,830 | 11,616 |
| Cost of Sales | (37,759) | (10,532) | (34,166) | (9,237) |
| Gross Operating Profit | 25,382 | 5,868 | 21,664 | 2,378 |
| Administration and share based payments | (6,257) | (1,742) | (6,144) | (1,305) |
| EBITDA | 19,125 | 4,126 | 15,520 | 1,072 |
| Depreciation and amortisation charges | (6,050) | (1,957) | (5,129) | (412) |
| Operating profit before finance and tax | 13,075 | 2,169 | 10,391 | 660 |
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| Profit/(loss) after tax | 9,950 | 2,288 | 7,031 | 412 |
| Earnings per ordinary share (basic) | 13.85 cents | 3.02 cents | 11.92 cents | (0.70 cents) |
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| Average gold price received | US$1,776 | US$1,772 | US$1,727 | US$1,841 |
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| As at | As at |
| Cash and cash equivalents (US$000’s) |
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| 12,218 | 6,604 |
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| Cash Cost and All-In Sustaining Cost (“AISC”) |
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| 12 months to | 12 months to |
| Gold production for cash cost and AISC purposes |
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| 33,848 ozs | 31,212 ozs |
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| Total Cash Cost of production (per ounce) |
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| US$1,090 | US$1,075 |
| Total AISC of production (per ounce) |
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| US$1,429 | US$1,374 |