Aya Gold Posts Net Loss Of $26 Million For 2024
Aya Gold & Silver (TSX: AYA) has filed its fourth quarter and full year 2024 financial results. The fourth quarter saw revenues decline on a year over year basis, as a result of a since-completed expansion at the mine that impacted operations.
Revenues for the fourth quarter totaled just $9.3 million, a 16% drop versus the prior year despite average realized silver prices hitting $27.65 an ounce during the quarter. The decline in revenue led to negative gross profits for the period of $1.7 million, which set the company off on the wrong foot for the remainder of the results.
Operating income declined by nearly 2,600% year over year in Q4, dropping from positive $1.4 million to negative $34.5 million. Net income meanwhile swung from positive $3.6 million, or $0.03 per share, to a loss of $30.0 million, or $0.23 per share.
For the full year Aya’s performance was no better, with topline revenue falling 9% to $39.1 million, while gross profits dropped from $15.8 million to $5.4 million.
Operating income for the full fiscal year came in at a loss of $38.7 million, leading to a net loss for 2024 of $26.0 million, or $0.20 per share, as compared to a net income of $5.3 million, or $0.04 per share, in 2023. Operating cash flows were also negative on the year at $8.6 million.
Aya’s cash position as of year end stood at $49.2 million, with working capital said to total $23.4 million.
From an operating perspective, the fourth quarter saw production improve 9% to 491,310 ounces of silver, with cash costs coming in at $26.57 an ounce, as compared to $13.69 in the fourth quarter of 2023. On an adjusted basis, cash costs increased from $13.69 to $21.51 an ounce.
Across all of 2024, silver production declined 16% compared to 2023 levels, with production coming in at 1.6 million silver ounces. Cash costs increased 74% to $21.71 an ounce in 2024, which on an adjusted basis fell to $19.62 an ounce.
CEO Benoit La Salle however called the year pivotal for Aya, given that they completed the expansion of the Zgounder mine on budget. Production is said to now be running above nameplate capacity, with the company in 2025 set to focus on maximizing profitability and growth.
Guidance released today has Aya Gold calling for 2025 production of between 5.0 and 5.3 million ounces of silver at cash costs between $15.00 to $17.50 an ounce. Exploration and development expenditures meanwhile are expected to be between $25 to $30 million.
Aya Gold & Silver last traded at $12.82 on the TSX.
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