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Gold Royalty (NYSE:GROY) +1.2% in Monday’s trading, bucking the sharp downturn in shares of most gold-related firms, after reporting higher Q1 revenues and gold production.
Q1 revenues totaled $2.9M, which rises to $4.2M when including land agreement proceeds and interest, compared to just $767M in revenues in the year-earlier quarter.
Gold Royalty (GROY) said results enjoyed a boost from its first full quarter of pre-production and gold payments under the Borborema royalty and gold-linked loan financing completed in December, and other existing cash flowing royalties on the Canadian Malartic, Cozamin and Borden Mines produced stronger revenues.
The company said results equated to 2,019 gold equivalent oz, which was more than double from a year earlier.
Gold Royalty (GROY) said it remains on track to meet its targets for the year of 5K-5.6K gold equivalent oz, which equates to $10M-$11.2M in total revenues, land agreement proceeds and interest, based on a gold price of $2K/oz.
“While quarterly land agreement proceeds from the royalty generator model are expected to be lower for the remainder of the year, strong commodity prices and the expected ramp up of Côté towards commercial production in [Q3] 2024 are expected to continue to fuel growth in royalty revenue through the remainder of 2024,” the company said.
Additional Insight:
Investors may find Gold Royalty (GROY) an attractive investment option due to its strong performance in Q1 and positive outlook for the coming year. The company’s focus on increasing gold production and revenues showcases its potential for growth in the precious metals industry.
