NASDAQ$RGLD

Royal Gold Inc. · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Royal Gold had an excellent quarter marked by near-record revenue and increased operating cash flow and earnings.

Royal Gold reported a strong second quarter with net income of $81.2 million, or $1.23 per share, on revenue of $174.1 million. The company's portfolio performed well, benefiting from record high quarterly gold prices. Royal Gold repaid $100 million of debt during the quarter and acquired additional royalty interests at the Back River Gold District for $51 million.

  • Revenue reached $174.1 million, accompanied by operating cash flow of $113.5 million and earnings of $81.2 million.
  • Adjusted EBITDA margin remained high at 81%.
  • The company repaid $100 million of debt, reducing total debt to $50 million and returning the balance sheet to a net cash position.
  • A quarterly dividend of $0.40 per share was paid, reflecting a 7% increase over the prior year.

Headline financials

Total Revenue

$174M

Previous: $144M+20.9%
EPS (adj)

$1.25

Previous: $0.88+42.0%
Capital Expenditures

-$51.2M

No prior period
Free Cash Flow

$81.2M

Previous: $63.4M+28.0%
Net Income

$81.2M

Previous: $63.4M+28.0%
Operating Income

$102M

Previous: $71.9M+42.0%
Gross Profit

$113M

Previous: $81.1M+38.9%
Cash & Equivalents

$74.2M

Previous: $106M-30.1%
Total Assets

$3.27B

Previous: $3.44B-5.0%
Stock-Based Comp

$3.35M

Previous: $1.94M+72.3%

Revenue & EPS history

Royal Gold · Revenue · Quarterly

$174M

Q2 2024+20.9%vs Q2 2023
Beat estimate in 6 of 14 quarters(43%)
ActualEstimate

Forward guidance

Royal Gold did not provide specific forward guidance in this report. The report highlights ongoing optimization and expansion projects at various properties, which are expected to contribute to future production and revenue.

Tailwinds

  • Water restrictions at Andacollo are improving and expected to continue improving in the second half of 2024.
  • Khoemacau mine expansion project aims to increase production capacity to 130,000 tonnes of copper by 2028.
  • Pueblo Viejo is shifting to recovery rate optimization in the second half of 2024.
  • Peñasquito expects higher gold grades from the Peñasco pit in the December 2024 quarter.
  • Bellevue expects to grow production by increasing underground ore movement and processing capacity.

Headwinds

  • Production at the Andacollo mine in Chile continues to be impacted by low water availability.
  • Pueblo Viejo production was flat compared to the prior quarter.
  • Delays in the delivery of metals from operators
  • Environmental risks, including those caused by climate change
  • Operating activities or financial performance of properties on which we hold stream or royalty interests

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

+0.5%

Avg return

Earnings day

+0.8%

Avg return

5 days after

-0.6%

Avg return

30 days after

52%

34 / 65 earnings

Positive

+23.1%

Q2 2016

Best reaction

-24.4%

Q1 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.9%+3.5%-13.0%
Q4 2025-2.3%+3.7%-22.5%
Q3 2025-2.2%+8.1%+16.4%
Q1 2025-2.2%-7.3%-3.7%
Q4 2024+4.3%-2.8%+0.5%
Q3 2024-0.6%-3.2%-2.7%
Q2 2024-1.0%+3.3%+3.8%
Q1 2024+1.1%+2.0%-0.2%
Q4 2023+2.7%-0.3%+3.7%
Q3 2023+2.2%+4.8%+17.7%
Q2 2023-2.7%-2.1%-3.7%
Q1 2023+4.6%+3.0%-9.9%
Q4 2022-2.5%-3.2%-0.4%
Q3 2022-9.8%-1.3%+17.1%
Q2 2022-1.6%+0.4%-13.3%
Q1 2022+1.0%-5.8%-11.6%
Q4 2021+9.0%+7.4%+24.2%
Q3 2021+3.6%+3.1%+5.8%
Q2 2021-1.5%+3.4%-0.9%
Q1 2021+1.0%-1.1%-9.4%
Q4 2020-0.5%-10.4%-10.2%
Q3 2020+5.9%+3.4%-4.6%
Q2 2020-2.1%-3.9%-5.8%
Q1 2020+2.7%+1.4%+2.6%
Q4 2019+5.9%+7.1%+8.7%
Q3 2019-6.3%-6.3%+1.1%
Q2 2019-3.0%-1.7%+1.5%
Q1 2019-1.1%-2.0%-5.6%
Q4 2018-0.4%-1.2%-11.0%
Q3 2018+0.5%+0.2%+1.9%
Q2 2018+0.2%+1.6%+0.0%
Q1 2018+3.0%+5.6%-1.5%
Q4 2017+2.6%+2.2%+9.8%
Q3 2017+7.0%+10.3%+10.5%
Q2 2017-1.9%-0.8%-9.3%
Q1 2017+9.7%+8.4%+2.4%
Q4 2016-0.5%-1.8%-10.5%
Q3 2016+7.5%
Q2 2016+23.1%
Q1 2016-24.4%
Q4 2015+2.4%
Q3 2015-0.4%
Q2 2015-7.7%
Q1 2015-9.3%
Q4 2014+2.9%
Q3 2014+0.9%
Q2 2014+0.6%
Q1 2014-2.2%
Q4 2013+12.5%
Q3 2013+0.9%
Q2 2013-1.4%
Q1 2013-3.8%
Q4 2012-4.2%
Q3 2012+0.1%
Q2 2012-5.0%
Q1 2012-1.3%
Q4 2011+1.8%
Q4 2009+1.8%
Q3 2010+3.7%
Q3 2011+3.7%
Q2 2011-1.7%
Q2 2010-1.7%
Q1 2011+3.7%
Q4 2010+3.7%
Q1 2010+3.7%

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