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Gold Production: Nearly 46,000 ounces, a 37% increase over Q1 2024.
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Revenue: Increased 86% year over year to $188 million.
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Net Income: Over $62 million, or $0.42 per share, nearly 5 times the prior year.
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EBITDA: Nearly tripled to $120 million.
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Free Cash Flow: Increased by about 2.5 times to $48 million.
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All-in Sustaining Costs: USD1,366 per ounce, including $230 for sustaining exploration and development.
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Cash and Liquidity: $168 million in cash and $318 million in total liquidity.
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Working Capital: Increased to $181 million from $131 million as of December 31, 2024.
Release Date: May 14, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Wesdome Gold Mines Ltd (WDOFF) reported a strong start to the year with nearly 46,000 ounces of gold produced, marking a 37% increase over the same quarter in 2024.
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The company achieved record financial results, including revenue, EBITDA, net income, and free cash flow, all on a per-share basis.
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Wesdome Gold Mines Ltd (WDOFF) increased its liquidity to $318 million, with $168 million in cash and $150 million of undrawn capacity on its revolver.
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The acquisition of Angus Gold is expected to enhance the company's regional exploration pipeline and consolidate its land position around Eagle River.
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The company is making progress on its 'fill the mill' strategy, which aims to unlock significant additional value over the next three to five years through resource modeling, strategic exploration, and cost optimization.
Negative Points
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There was a delay in sequencing some key high-grade areas at Kiena due to lower than expected equipment availability, which could impact production timelines.
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The company is still in the process of transitioning from contractor to owner-operated activities, which may pose operational challenges.
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All-in sustaining costs for the quarter were relatively high at USD1,366 per ounce, which includes significant sustaining exploration and development expenses.
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The Angus Gold acquisition will increase annual exploration spending by up to $5 million, impacting cash flow.
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Kiena's production was lower than planned in Q1 due to equipment availability issues, and the mine is still operating on a just-in-time basis, which limits flexibility.
Q & A Highlights
Q: Regarding the recent Angus Gold transaction, what is the permitting timeline for advancing it into operations, and what is the current capacity for future tailings storage? A: The focus at Angus is to develop a drilling program to support resource development, followed by the permitting process. We have sufficient tailings capacity to support our growth plans at Eagle River.