Precious metals streamer Triple Flag boasts record Q1 cash flow of $113m
TSX- and NYSE-listed streaming and royalty company Triple Flag Precious Metals Corporation delivered a record operating cash flow of $113-million in the first quarter of the year, on the back of record 30 166 gold-equivalent ounces (GEOs) having been sold.
The group’s net earnings per share (EPS) amounted to $0.57 apiece, or $116-million, which compares to net EPS of $0.23 apiece, or $45.5-million, in the same quarter last year.
Triple Flag’s operating cash flow and sales were $65.9-million and 28 761 GEOs, respectively, in the first quarter of last year.
Adjusted earnings before interest, taxes, depreciation and amortisation were $128-million in the quarter under review, compared with $70.7-million in the prior comparable quarter.
In particular, the company sold 18 249 oz of gold and 11 567 oz of silver in the quarter under review. Triple Flag has streaming agreements in Australia, Latin America, North America and Africa.
The group declared a quarterly cash dividend of $0.0575 apiece.
CEO Sheldon Vanderkooy says the strong cash flow generation in the quarter and the group’s $1.1-billion of available liquidity bodes well for advancing an active deal pipeline.
Triple Flag entered into an agreement with Evolution Mining during the reporting quarter to unlock the new gold-dominant E44 deposit at the Northparkes operation, in Australia’s New South Wales, underpinned by guaranteed minimum gold and silver deliveries.
Together with a potential mill expansion to more than 10-million tonnes a year, this development will deliver significant value for shareholders, Vanderkooy confirms.
Triple Flag also recently completed the acquisition of a 3% gross royalty on the Gunnison copper project, in Arizona, which provides the company with additional exposure to copper in the US.
Triple Flag remains on track to achieve its full-year sales guidance of between 95 000 and 105 000 GEOs, ahead of a 2030 target of between 140 000 and 150 000 GEOs.
