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Osisko Announces Preliminary Q3 2024 GEO Deliveries, Cash Margin and Reduced Debt Balance

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Osisko Gold Royalties (OR: TSX & NYSE) has released preliminary Q3 2024 results. The company earned 18,408 attributable gold equivalent ounces (GEOs) and recorded preliminary revenues of $57.3 million from royalties and streams. With a cost of sales of $2.2 million, Osisko achieved a quarterly cash margin of $55.1 million (96.3%).

As of September 30th, 2024, Osisko's cash position stood at $58.5 million. The company's revolving credit facility was drawn by $80.7 million, with an additional $469.3 million available plus an uncommitted accordion of up to $200.0 million. Osisko's net debt position was reduced to $22.2 million following debt repayments of $27.3 million in Q3.

The company will host its Q3 2024 results conference call on November 6th, 2024, after market close.

Osisko Gold Royalties (OR: TSX & NYSE) ha rilasciato i risultati preliminari del terzo trimestre 2024. L'azienda ha guadagnato 18.408 once d'oro equivalenti attribuibili (GEO) e ha registrato ricavi preliminari di 57,3 milioni di dollari da royalties e flussi. Con un costo delle vendite di 2,2 milioni di dollari, Osisko ha raggiunto un margine di cassa trimestrale di 55,1 milioni di dollari (96,3%).

Al 30 settembre 2024, la posizione di liquidità di Osisko era di 58,5 milioni di dollari. La linea di credito revolving dell'azienda era utilizzata per 80,7 milioni di dollari, con altri 469,3 milioni di dollari disponibili più un accordion non impegnato fino a 200,0 milioni di dollari. La posizione di debito netto di Osisko è stata ridotta a 22,2 milioni di dollari dopo rimborsi di debito di 27,3 milioni di dollari nel terzo trimestre.

L'azienda ospiterà una conference call sui risultati del terzo trimestre 2024 il 6 novembre 2024, dopo la chiusura del mercato.

Osisko Gold Royalties (OR: TSX & NYSE) ha publicado los resultados preliminares del tercer trimestre de 2024. La compañía ganó 18,408 onzas equivalentes a oro atribuibles (GEO) y registró ingresos preliminares de 57.3 millones de dólares por regalías y flujos. Con un costo de ventas de 2.2 millones de dólares, Osisko logró un margen de efectivo trimestral de 55.1 millones de dólares (96.3%).

Al 30 de septiembre de 2024, la posición de efectivo de Osisko se situaba en 58.5 millones de dólares. La línea de crédito rotativo de la empresa se había utilizado en 80.7 millones de dólares, con otros 469.3 millones de dólares disponibles más un accordion no comprometido de hasta 200.0 millones de dólares. La posición de deuda neta de Osisko se redujo a 22.2 millones de dólares tras los pagos de deuda de 27.3 millones de dólares en el tercer trimestre.

La compañía llevará a cabo su conferencia de resultados del tercer trimestre 2024 el 6 de noviembre de 2024, después del cierre del mercado.

오시스코 골드 로열티(OR: TSX 및 NYSE)는 2024년 3분기 preliminary 결과를 발표했습니다. 회사는 18,408 온스의 귀금속 등가물(GEO)을 얻었으며, 로열티와 스트림에서 5,730만 달러의 preliminarily 수익을 기록했습니다. 판매 비용이 220만 달러인 가운데, 오시스코는 5,510만 달러 (96.3%)의 분기 현금 마진을 달성했습니다.

2024년 9월 30일 기준으로 오시스코의 현금 보유액은 5,850만 달러에 달했습니다. 회사의 회전 신용 시설은 8070만 달러가 인출되었으며, 추가로 4693만 달러가 이용 가능하고, 비약정 accordion이 최대 2억 달러까지 가능합니다. 오시스코의 순 부채도는 채무 상환 후 2,220만 달러로 줄어들었습니다.

회사는 2024년 3분기 결과 콘퍼런스 콜을 2024년 11월 6일, 장 마감 후에 개최할 예정입니다.

Osisko Gold Royalties (OR: TSX & NYSE) a publié les résultats préliminaires du troisième trimestre 2024. L'entreprise a gagné 18 408 onces d'équivalents or attribuables (GEO) et a enregistré des revenus préliminaires de 57,3 millions de dollars provenant de redevances et de flux. Avec un coût des ventes de 2,2 millions de dollars, Osisko a atteint une marge de trésorerie trimestrielle de 55,1 millions de dollars (96,3%).

Au 30 septembre 2024, la position de liquidités d'Osisko s'élevait à 58,5 millions de dollars. La facilité de crédit renouvelable de l'entreprise était tirée à hauteur de 80,7 millions de dollars, avec un montant supplémentaire de 469,3 millions de dollars disponible, plus un accordion non engagé pouvant atteindre 200,0 millions de dollars. La position de dette nette d'Osisko a été réduite à 22,2 millions de dollars suite à des remboursements de dettes de 27,3 millions de dollars au troisième trimestre.

L'entreprise tiendra une conférence téléphonique sur les résultats du troisième trimestre 2024 le 6 novembre 2024, après la clôture du marché.

Osisko Gold Royalties (OR: TSX & NYSE) hat vorläufige Ergebnisse für das 3. Quartal 2024 veröffentlicht. Das Unternehmen erzielte 18.408 anrechenbare Goldäquivalentunzen (GEO) und verzeichnete vorläufige Einnahmen von 57,3 Millionen Dollar aus Royalties und Streams. Bei einem Umsatzkosten von 2,2 Millionen Dollar erzielte Osisko eine vierteljährliche Cash-Marge von 55,1 Millionen Dollar (96,3%).

Zum 30. September 2024 betrug die Liquiditätsposition von Osisko 58,5 Millionen Dollar. Die unbesicherte Kreditlinie des Unternehmens wurde mit 80,7 Millionen Dollar in Anspruch genommen, zudem standen weitere 469,3 Millionen Dollar zur Verfügung, sowie eine nicht verpflichtende Erweiterung von bis zu 200,0 Millionen Dollar. Die Nettoverschuldung von Osisko wurde nach der Rückzahlung von Schulden in Höhe von 27,3 Millionen Dollar im 3. Quartal auf 22,2 Millionen Dollar gesenkt.

Das Unternehmen wird am 6. November 2024 nach Börsenschluss eine Telefonkonferenz zu den Ergebnissen des 3. Quartals 2024 veranstalten.

Positive
  • Earned 18,408 attributable gold equivalent ounces in Q3 2024
  • Recorded preliminary revenues of $57.3 million from royalties and streams
  • Achieved a high quarterly cash margin of $55.1 million (96.3%)
  • Reduced net debt position to $22.2 million
  • Made debt repayments of $27.3 million in Q3
Negative
  • Revolving credit facility drawn by $80.7 million

Insights

Osisko Gold Royalties' Q3 2024 preliminary results show solid performance with 18,408 attributable gold equivalent ounces (GEOs) earned. The company reported $57.3 million in preliminary revenues from royalties and streams, with a impressive cash margin of $55.1 million, or 96.3%.

The company's financial position has improved, with net debt reduced to $22.2 million after debt repayments of $27.3 million. This demonstrates strong cash flow generation and prudent financial management. The available credit facility of $469.3 million plus a $200 million accordion provides ample liquidity for future opportunities.

The increase in average metal prices, particularly gold at $2,474 per ounce compared to $1,928 in 2023, has significantly boosted Osisko's performance. This price environment, coupled with the company's high-margin business model, positions Osisko well for continued strong financial results.

Osisko's preliminary Q3 results demonstrate the strength of the royalty and streaming business model in the current precious metals market. The 96.3% cash margin is exceptionally high, reflecting the low-risk nature of the company's operations and its ability to benefit from rising metal prices without direct exposure to mining costs.

The reduction in net debt to $22.2 million is a positive indicator for investors, as it improves the company's financial flexibility and reduces interest expenses. With a market cap of $3.47 billion, Osisko's debt level is very manageable, potentially allowing for future acquisitions or increased shareholder returns.

The significant increase in gold prices year-over-year (28.3% higher) has been a major tailwind for Osisko. If precious metal prices remain elevated, Osisko is well-positioned to continue delivering strong results, which could drive further share price appreciation and attract investor interest in the royalty and streaming sector.

MONTRÉAL, Oct. 08, 2024 (GLOBE NEWSWIRE) -- Osisko Gold Royalties Ltd (the “Company” or “Osisko”) (OR: TSX & NYSE) is pleased to provide an update on its third quarter 2024 preliminary deliveries, revenues and cash margin, as well as on its cash and debt positions as of September 30th, 2024. All monetary amounts included in this report are expressed in Canadian dollars, unless otherwise noted.

PRELIMINARY Q3 2024 RESULTS

Osisko earned 18,408 attributable gold equivalent ounces1 (“GEOs”) in the third quarter of 2024.

Osisko recorded preliminary revenues from royalties and streams of $57.3 million during the third quarter and preliminary cost of sales (excluding depletion) of $2.2 million, resulting in a quarterly cash margin2 of approximately $55.1 million (or 96.3%).

As at September 30th, 2024, Osisko’s cash position was $58.5 million. The Company’s revolving credit facility was drawn by $80.7 million at the end of September 2024, with an additional amount of $469.3 million available to be drawn plus the uncommitted accordion of up to $200.0 million. The net debt position as of September 30, 2024 was reduced to $22.2 million during the third quarter following debt repayments of $27.3 million.

Q3 2024 RESULTS CONFERENCE CALL AND WEBCAST DETAILS

Osisko provides notice of its third quarter 2024 results conference call and webcast.

Results Release:Wednesday, November 6th, 2024 after market close
  
Conference Call:Wednesday, November 6th, 2024 at 5:00 pm ET
  
Dial-in Numbers:
(Option 1)
North American Toll-Free:  1 (800) 717-1738
Local – Montreal: 1 (514) 400-3792
Local – Toronto: 1 (289) 514-5100
Local – New York: 1 (646) 307-1865
Conference ID: 83490
  
Webcast link:
(Option 2)
https://viavid.webcasts.com/starthere.jsp?ei=1691902&tp_key=a7c42fad9d
  
Replay (available until Friday,
December 6th, 2024 at 11:59
PM ET):
North American Toll-Free: 1 (888) 660-6264
Local – Toronto: 1 (289) 819-1325
Local – New York: 1 (646) 517-3975
Playback Passcode: 83490#
  
 Replay also available on our website at www.osiskogr.com
  

Notes:

The figures presented in this press release, including the cash balance, debt position, revenues and costs of sales, have not been audited and are subject to change. As the Corporation has not yet finished its quarter-end procedures, the anticipated financial information presented in this press release is preliminary, subject to quarter-end adjustments, and may change materially.

(1)Gold Equivalent Ounces
  
 GEOs are calculated on a quarterly basis and include royalties and streams. Silver and copper earned from royalty and stream agreements are converted to gold equivalent ounces by multiplying the silver ounces or copper tonnes earned by the average silver or copper price for the period and dividing by the average gold price for the period. Diamonds, other metals and cash royalties are converted into gold equivalent ounces by dividing the associated revenue earned by the average gold price for the period.

 

 Average Metal Prices and Exchange Rate      
  Three months ended
September 30,
 
   2024  2023 
       
 Gold (i)$2,474 $1,928 
 Silver (ii)$29.43 $23.57 
 Copper (iii)$9,210 $8,356 
        
 Exchange rate (US$/Can$) (iv) 1.3641  1.3414 

 

 (i)The London Bullion Market Association’s pm price in U.S. dollars per ounce.
 (ii)The London Bullion Market Association’s price in U.S. dollars per ounce.
 (iii)The London Metal Exchange’s price in U.S. dollars per tonne.
 (iv)Bank of Canada daily rate.
   

 

(2)Non-IFRS Measures
  
 The Corporation has included certain performance measures in this press release that do not have any standardized meaning prescribed by IFRS Accounting Standards including cash margin in dollars and in percentage. The presentation of these non-IFRS measures is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS Accounting Standards. These measures are not necessarily indicative of operating profit or cash flow from operations as determined under IFRS Accounting Standards. As Osisko’s operations are primarily focused on precious metals, the Corporation presents cash margins as it believes that certain investors use this information, together with measures determined in accordance with IFRS Accounting Standards, to evaluate the Corporation’s performance in comparison to other companies in the precious metals mining industry who present results on a similar basis. However, other companies may calculate these non-IFRS measures differently.

Cash margin (in dollars) represents revenues less cost of sales (excluding depletion). Cash margin (in percentage) represents the cash margin (in dollars) divided by revenues.

 

 (In thousands of dollars)Three months ended
September 30, 2024
     
 Revenues$57,255 
 Less: Cost of sales (excluding depletion)($2,141)
 Cash margin (in dollars)$55,114 
 Cash margin (in percentage of revenues) 96.3% 
     

About Osisko Gold Royalties Ltd

Osisko is an intermediate precious metal royalty company focused on the Americas that commenced activities in June 2014. Osisko holds a North American focused portfolio of over 185 royalties, streams and precious metal offtakes. Osisko’s portfolio is anchored by its cornerstone asset, a 3-5% net smelter return royalty on the Canadian Malartic Complex, one of Canada’s largest gold mines.

Osisko’s head office is located at 1100 Avenue des Canadiens-de-Montréal, Suite 300, Montréal, Québec, H3B 2S2.

For further information, please contact Osisko Gold Royalties Ltd:
  
Grant Moenting
Vice President, Capital Markets
Tel: (514) 940-0670 x116
Cell: (365) 275-1954
Email: gmoenting@osiskogr.com
Heather Taylor
Vice President, Sustainability and Communications
Tel: (514) 940-0670 x105
Email: htaylor@osiskogr.com
  

Forward-Looking Statements

Certain statements contained in this press release may be deemed “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking statements are statements other than statements of historical fact, that address, without limitation, future events, that financial information may be subject to year-end adjustments, the availability of the uncommitted accordion of the credit facility. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential”, “scheduled” and similar expressions or variations (including negative variations), or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors, most of which are beyond the control of Osisko, and actual results may accordingly differ materially from those in forward-looking statements. Such risk factors include, without limitation, (i) with respect to properties in which Osisko holds a royalty, stream or other interest; risks related to: (a) the operators of the properties, (b) timely development, permitting, construction, commencement of production, ramp-up (including operating and technical challenges), (c) differences in rate and timing of production from resource estimates or production forecasts by operators, (d) differences in conversion rate from resources to reserves and ability to replace resources, (e) the unfavorable outcome of any challenges or litigation relating title, permit or license, (f) hazards and uncertainty associated with the business of exploring, development and mining including, but not limited to unusual or unexpected geological and metallurgical conditions, slope failures or cave-ins, flooding and other natural disasters or civil unrest or other uninsured risks, (ii) with respect to other external factors: (a) fluctuations in the prices of the commodities that drive royalties, streams, offtakes and investments held by Osisko, (b) fluctuations in the value of the Canadian dollar relative to the U.S. dollar, (c) regulatory changes by national and local governments, including permitting and licensing regimes and taxation policies, regulations and political or economic developments in any of the countries where properties in which Osisko holds a royalty, stream or other interest are located or through which they are held, (d) continued availability of capital and financing and general economic, market or business conditions, and (e) responses of relevant governments to infectious diseases outbreaks and the effectiveness of such response and the potential impact of such outbreaks on Osisko’s business, operations and financial condition; (iii) with respect to internal factors: (a) business opportunities that may or not become available to, or are pursued by Osisko, (b) the integration of acquired assets or (c) the determination of Osisko’s PFIC status (d) that financial information may be subject to year-end adjustments. The forward-looking statements contained in this press release are based upon assumptions management believes to be reasonable, including, without limitation: the absence of significant change in Osisko’s ongoing income and assets relating to determination of its PFIC status, and the absence of any other factors that could cause actions, events or results to differ from those anticipated, estimated or intended and, with respect to properties in which Osisko holds a royalty, stream or other interest, (i) the ongoing operation of the properties by the owners or operators of such properties in a manner consistent with past practice and with public disclosure (including forecast of production), (ii) the accuracy of public statements and disclosures made by the owners or operators of such underlying properties (including expectations for the development of underlying properties that are not yet in production), (iii) no adverse development in respect of any significant property, (iv) that statements and estimates relating to mineral reserves and resources by owners and operators are accurate and (v) the implementation of an adequate plan for integration of acquired assets.

For additional information on risks, uncertainties and assumptions, please refer to the most recent Annual Information Form of Osisko filed on SEDAR+ at www.sedarplus.ca and EDGAR at www.sec.gov which also provides additional general assumptions in connection with these statements. Osisko cautions that the foregoing list of risk and uncertainties is not exhaustive. Investors and others should carefully consider the above factors as well as the uncertainties they represent and the risk they entail. Osisko believes that the assumptions reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be accurate as actual results and prospective events could materially differ from those anticipated such the forward-looking statements and such forward-looking statements included in this press release are not guarantee of future performance and should not be unduly relied upon. These statements speak only as of the date of this press release. Osisko undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, other than as required by applicable law.


FAQ

What were Osisko's (OR) GEO deliveries in Q3 2024?

Osisko earned 18,408 attributable gold equivalent ounces (GEOs) in the third quarter of 2024.

What was Osisko's (OR) cash margin in Q3 2024?

Osisko achieved a quarterly cash margin of $55.1 million, or 96.3% of revenues, in Q3 2024.

How much debt did Osisko (OR) repay in Q3 2024?

Osisko made debt repayments of $27.3 million during the third quarter of 2024.

What was Osisko's (OR) cash position as of September 30, 2024?

Osisko's cash position was $58.5 million as of September 30, 2024.

When will Osisko (OR) release its full Q3 2024 results?

Osisko will release its full Q3 2024 results on Wednesday, November 6th, 2024, after market close.

Osisko Gold Royalties Ltd

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