REG - Caledonia Mining Crp - Results for the Quarter ended June 30, 2025
11/08/2025 07:00
For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20250811:nRSK7670Ua&default-theme=true
RNS Number : 7670U Caledonia Mining Corporation PLC 11 August 2025
Caledonia Mining Corporation Plc
Results for the Quarter ended June 30, 2025
Details of Management Conference Call
(NYSE AMERICAN: CMCL; AIM: CMCL; VFEX: CMCL)
Strong Performance Driven by Record Q2 Production and Higher Gold Prices
St Helier, August 11, 2025 - Caledonia Mining Corporation Plc ("Caledonia" or
"the Company") announces its operating and financial results for the quarter
ended June 30, 2025 ("Q2 2025" or the "Quarter"). Further information on the
financial and operating results for the Quarter can be found in the Management
Discussion and Analysis ("MD&A") and the unaudited condensed consolidated
interim financial statements, which are available on the Company's website and
are being filed on SEDAR+.
Q2 2025 HIGHLIGHTS
Financial Highlights:
· Gold revenue of $65.0 million (second quarter of 2024 ("Q2
2024"): $50.1 million, +30%)
· Gross profit of $33.8 million (Q2 2024: $22.9 million, +48%)
· EBITDA of $39.5 million (including one off profit on sale of
solar plant in April 2025 of $8.5m) (Q2 2024: $20.4 million, +94%)
· Net profit attributable to shareholders of the Company of $20.5
million (Q2 2024: $8.3 million, +147%)
· Adjusted EPS of 113.9 cents (Q2 2024: 44.6 cents, +155%)
· Net cash from operating activities of $28.1 million (Q2 2024:
$19.1 million, +47%)
· Net cash position (including fixed term deposits) improved to
$26.2 million (Q2 2024: negative $1.4 million)
· A dividend of 14 cents per share was declared today, August 11,
2025
· Completion of the solar plant sale (through the sale of the Zimbabwe
subsidiary owning the plant) to CrossBoundary Energy Holdings for $22.35
million which was paid in cash
Operational Highlights:
· Production at Blanket Mine of 21,070 ounces (Q2 2024: 20,773
ounces, +1.4%)
· Production guidance at Blanket Mine for 2025 increased to 75,500
- 79,500 ounces of gold
· On-mine cost per ounce of $1,123 (Q2 2024: $1,013, +10.9%)
· All-in sustaining cost ("AISC") per ounce of $1,805 (Q2 2024:
$1,485, +21.5%)
· Average realised gold price of $3,188 per ounce (Q2 2024: $2,302,
+38.5%)
· Continued progress on Bilboes feasibility study and Motapa
exploration programme
· Continued exploration at Blanket to upgrade inferred resources
and explore new areas within the mining lease area.
Mark Learmonth, Chief Executive Officer, commented:
"Caledonia has delivered another strong quarter, highlighted by record
second-quarter gold production at Blanket and a substantial increase in
profitability, reflecting strong operational performance and a higher gold
price environment. I would like to thank the team for their hard work and
contribution.
"The successful sale of our solar plant in April has strengthened our balance
sheet and ensures a reliable, long-term renewable energy supply for Blanket
Mine.
"Our ongoing drilling campaign at Blanket Mine continues to demonstrate
encouraging results, further improving our confidence in the mineral resource
and pointing to additional future mineral resource growth. The grades and
widths we are seeing from this drilling campaign are as good as and, in some
cases, considerably better than results from previous drilling campaigns.
"We are encouraged by the progress on the Bilboes feasibility study, and we
continue to evaluate opportunities that could materially improve project
economics. At the same time, our exploration programme at Motapa is advancing
well, with a clear focus on identifying both sulphide and oxide resources that
could support near-term production and longer-term growth.
"Looking ahead, we remain focused on delivering our increased production
guidance at Blanket, and advancing our growth pipeline in a way that maximises
long-term value for shareholders. With a strong operational base and a clear
strategic roadmap, Caledonia is well positioned to continue building on this
positive momentum."
Revenue and Profit
Revenue for the Quarter was $65.0 million, a 30% increase from $50.1 million
in Q2 2024. This improvement was driven by higher gold prices and slightly
higher production. Gross profit increased to $33.8 million (Q2 2024: $22.9
million).
Net profit attributable to shareholders of the Company more than doubled to
$20.5 million (Q2 2024: $8.3 million), while adjusted EPS rose to 113.9 cents
from 44.6 cents in Q2 2024.
Costs
Consolidated on-mine cost per ounce increased by 10.9% to $1,123 (Q2 2024:
$1,013), primarily due to higher labour and consumables costs at Blanket Mine.
Labour costs increased due to a higher headcount, inflationary salary
increases, bonuses paid for higher production, and overtime worked. Consumable
costs per ounce at Blanket increased due to higher repair and maintenance
activities at the metallurgical plant and on underground trackless mining
machinery in the Quarter.
Consolidated AISC rose to $1,805 per ounce (Q2 2024: $1,485); this was as
expected due to higher on-mine costs and increased sustaining capital
expenditure (as planned).
Full year sustaining capital expenditure remains on target.
Cash Generation
During the half year ended 30 June 2025, Caledonia generated operating cash
inflows of $41.3 million (Q2 2025: $28.1 million), driven by higher production
at Blanket and a favourable gold price environment.
An additional $22.35 million (pre-tax) was received in the Quarter from the
sale of the solar plant, further strengthening the group's cash position.
This strong cash generation supported continued investment in strategic
growth. The group invested $17.7 million during the half year (Q2 2025: $10.5
million) in property, plant, and equipment on key infrastructure at Blanket. A
further $3.1 million during the half year (Q2 2025: $1.8 million) was
allocated to exploration and evaluation activities, primarily at Bilboes and
Motapa.
To optimise short-term returns and strengthen the balance sheet, $18.0 million
was placed into fixed-term deposits during the Quarter.
Financing activities had a net outflow of $6.0 million during the half year
(Q2 2025: $6.9 million), with three key drivers being net proceeds from loans
and bond issuance for supporting capital projects making a positive
contribution of $3.2 million (Q2 2025: $0.8 million) and an outflow of $9.0
million (Q2 2025: $7.6 million) returned to Caledonia and Blanket minority
shareholders through dividends. Additionally, $0.1 million (Q2 2025: $0.1
million) paid lease liabilities in the period.
As a result of all the key movements above, cash and cash equivalents
increased by $16.9 million during the half year (Q2 2025: $12.8 million) to
$8.2 million. This reflects Caledonia's prudent treasury management and
balanced approach to deploying capital for both growth and shareholder
returns.
OPERATIONAL REVIEW
Blanket Mine
Blanket Mine produced 21,070 ounces of gold in Q2 2025, a 1.4% increase from
20,773 ounces in Q2 2024. The increase was due to higher grades and better
plant recoveries. As announced on July 16, 2025, Blanket's annual production
guidance for 2025 was increased to 75,500 - 79,500 ounces, reflecting a strong
operational performance.
The plant recovery rate in the Quarter was 94.4%, which represents a new
record. The improved recovery was due to the introduction of an additional
tank in the carbon-in-leach circuit, closer attention to dosage levels of
reagents and improved process controls. The improved recovery rate in the
Quarter compared to the average recovery of 93.6% in 2024 resulted in
approximately 175 ounces of additional gold production in the Quarter. In
the absence of unforeseen changes to the ore feed grade or mineralogy, it is
anticipated that the recovery rate achieved in the Quarter can be sustained.
The metallurgical team at Blanket continues to evaluate opportunities to
achieve further improvements in recovery.
Exploration at Blanket is ongoing with encouraging high grade results. The
programme is aimed at evaluating the continuity of the mineralised zones on
the Blanket, Eroica and Lima orebodies (which comprise three of the main
orebodies at Blanket Mine). The objectives of the programme are to increase
the confidence levels of the existing mineral resource and to grow the mineral
resource estimate below the 34 level (1,110 metres) of the mine.
Results from 6,976 metres of underground drilling from January 2025 to the end
of April 2025 indicate that the existing Blanket and Eroica orebodies have
grades and widths which are generally better than expected, while the Lima
orebody is shown to continue below 22 level (750 metres). A new potential
orebody has been intersected in the Blanket orebody area of the mine, with
impressive grades and widths.
Solar Plant Sale Summary
On 11 April, 2025, Caledonia sold its Zimbabwe subsidiary, Caledonia Mining
Services (Private) Limited ("CMS"), to CrossBoundary Energy Holdings for
$22.35 million in cash. CMS owns the 12.2MWac solar plant powering Blanket
Mine, which will continue supplying energy under an exclusive agreement.
Bilboes Project
The feasibility study for the Bilboes sulphide project is progressing well and
we continue to evaluate new opportunities which may enhance the economics of
the project and the potential for near-term, low capital revenue opportunities
elsewhere in Caledonia's asset portfolio to contribute to funding the Bilboes
project.
In the Quarter, 372 ounces of gold were produced from the Bilboes oxide mine.
Motapa Exploration
After the encouraging results from the 2024 exploration programme, a $2.8
million exploration programme is underway at Motapa for 2025, targeting
sulphide and oxide resources across the Motapa property. With Motapa's
location adjacent to Bilboes, significant synergies could be obtained should a
viable resource be identified through the planned exploration programme.
To the end of June 2025, a total of 1,788 meters of diamond drilling and 9,638
meters of reverse circulation drilling has been completed. A full overview of
activities and results are expected to be provided during the second half of
2025.
LEADERSHIP CHANGES
Mr. Johan Holtzhausen retired from the Board and as chair of the Audit
Committee in May 2025.
Ms. Tariro Gadzikwa was appointed as chair of the Audit Committee.
REPORTING CHANGES
Caledonia will no longer publish financial statements and management's
discussion and analysis (MD&A) reports on a quarterly basis in accordance
with Canadian securities regulations. This decision aligns with applicable
exemptions under Canadian securities regulations, including National
Instrument 71-102 - Continuous Disclosure and Other Exemptions Relating to
Foreign Issuers, and reflects our status as an SEC foreign issuer with
equivalent disclosure obligations outside Canada.
We remain fully committed to transparent and timely disclosure of material
information through the publication of our annual and half-yearly financial
statements and via recognised regulatory channels, and, going forwards, we
anticipate publishing revenue, costs and production results for the quarters
for which we do not release detailed financial results (namely, the first and
third quarters). This change does not affect our obligation to disclose any
significant developments or risks that may materially impact the group's
financial position or performance. We will continue to provide comprehensive
MD&A commentary as part of our annual and semiannual reporting cycle.
OUTLOOK AND GUIDANCE
Blanket is on track to achieve production within its updated guidance range of
75,500 to 79,500 ounces 1 for 2025, while continuing to modernise operations
and improve mining and operational cost efficiencies.
Further exploration is being undertaken at Blanket, aiming to upgrade existing
inferred mineral resources to measured and indicated categories, with the goal
of extending the mine's life. In addition, exploration is ongoing in target
areas outside the current mine footprint within the Blanket mining lease area.
Work continues on the feasibility study for the Bilboes sulphide project,
including the assessment of new factors that may enhance the project's
economics. At Motapa, exploration efforts are progressing through a $2.8
million programme focused on both oxide and sulphide resources.
INVESTOR CONFERENCE CALL
Details of Investor and Analyst Presentation
Conference Call Details
A presentation for investors and analysts will be held as follows:
When: August 13, 2025 at 2:00pm London time
Topic: Q2 2025 Results Call for Investors
Register in advance for this webinar: https://brrmedia.news/CMCL_Q225
(https://brrmedia.news/CMCL_Q225)
Enquiries:
Caledonia Mining Corporation Plc
Mark Learmonth Tel: +44 1534 679 800
Camilla Horsfall Tel: +44 7817 841 793
Cavendish Capital Markets Limited (Nomad and Joint Broker)
Adrian Hadden
Pearl Kellie Tel: +44 207 397 1965
Tel: +44 131 220 9775
Panmure Liberum (Joint Broker)
Scott Mathieson Tel: +44 20 3100 2000
Camarco, Financial PR/ IR (UK)
Gordon Poole Tel: +44 20 3757 4980
Elfie Kent
Fergus Young
3PPB (Financial PR, North America)
Patrick Chidley Tel: +1 917 991 7701
Paul Durham Tel: +1 203 940 2538
Curate Public Relations (Zimbabwe)
Debra Tatenda Tel: +263 77802131
IH Securities (Private) Limited (VFEX Sponsor - Zimbabwe)
Lloyd Mlotshwa Tel: +263 (242) 745 119/33/39
This announcement contains inside information which is disclosed in accordance
with the Market Abuse Regulation (EU) No. 596/2014 ("MAR") as it forms part of
UK domestic law by virtue of the European Union (Withdrawal) Act 2018 and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR.
Cautionary Note Concerning Forward-Looking Information
Information and statements contained in this news release that are not
historical facts are "forward-looking information" within the meaning of
applicable securities legislation that involve risks and uncertainties
relating, but not limited to Caledonia's current expectations, intentions,
plans, and beliefs. Forward-looking information can often be identified by
forward-looking words such as "anticipate", "believe", "expect", "goal",
"plan", "target", "intend", "estimate", "could", "should", "may" and "will" or
the negative of these terms or similar words suggesting future outcomes, or
other expectations, beliefs, plans, objectives, assumptions, intentions or
statements about future events or performance. Examples of forward-looking
information in this news release include: production guidance, expected
recovery rates, our plans and timing regarding further exploration and
drilling and development, future costs, the development of Bilboes and Motapa,
the amount and funding of capital costs and the publication of the Bilboes
feasibility study. This forward-looking information is based, in part, on
assumptions and factors that may change or prove to be incorrect, thus causing
actual results, performance or achievements to be materially different from
those expressed or implied by forward-looking information. Such factors and
assumptions include, but are not limited to: failure to establish estimated
resources and reserves, the grade and recovery of ore which is mined varying
from estimates, success of future exploration and drilling programs,
reliability of drilling, sampling and assay data, assumptions regarding the
representativeness of mineralization being inaccurate, success of planned
metallurgical test-work, capital and operating costs varying significantly
from estimates, delays in obtaining or failures to obtain required
governmental, environmental or other project approvals, inflation, changes in
exchange rates, fluctuations in commodity prices, delays in the development of
projects and other factors.
Security holders, potential security holders and other prospective investors
should be aware that these statements are subject to known and unknown risks,
uncertainties and other factors that could cause actual results to differ
materially from those suggested by the forward-looking statements. Such
factors include, but are not limited to: risks relating to estimates of
mineral reserves and mineral resources proving to be inaccurate, fluctuations
in gold price, risks and hazards associated with the business of mineral
exploration, development and mining, risks relating to the credit worthiness
or financial condition of suppliers, refiners and other parties with whom the
Company does business; inadequate insurance, or inability to obtain insurance,
to cover these risks and hazards, employee relations; relationships with and
claims by local communities and indigenous populations; political risk; risks
related to natural disasters, terrorism, civil unrest, public health concerns
(including health epidemics or outbreaks of communicable diseases such as the
coronavirus (COVID-19)); availability and increasing costs associated with
mining inputs and labour; the speculative nature of mineral exploration and
development, including the risks of obtaining or maintaining necessary
licenses and permits, diminishing quantities or grades of mineral reserves as
mining occurs; global financial condition, the actual results of current
exploration activities, changes to conclusions of economic evaluations, and
changes in project parameters to deal with unanticipated economic or other
factors, risks of increased capital and operating costs, environmental, safety
or regulatory risks, expropriation, the Company's title to properties
including ownership thereof, increased competition in the mining industry for
properties, equipment, qualified personnel and their costs, risks relating to
the uncertainty of timing of events including targeted production rate
increase and currency fluctuations, risks related to potentially being unable
to remedy the deficiency in control over accounting for deferred tax
liabilities and risks related to potentially being unable to prevent financial
statements misstatements in the future. Security holders, potential security
holders and other prospective investors are cautioned not to place undue
reliance on forward-looking information. By its nature, forward-looking
information involves numerous assumptions, inherent risks and uncertainties,
both general and specific, that contribute to the possibility that the
predictions, forecasts, projections and various future events will not
occur. Caledonia undertakes no obligation to update publicly or otherwise
revise any forward-looking information whether as a result of new information,
future events or other such factors which affect this information, except as
required by law.
This news release is not an offer of the shares of Caledonia for sale in the
United States or elsewhere. This news release shall not constitute an offer to
sell or the solicitation of an offer to buy, nor shall there be any sale of
the shares of Caledonia, in any province, state or jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of such province, state or
jurisdiction.
Consolidated statements of profit or loss and other comprehensive income
(in thousands of United States Dollars, unless indicated otherwise)
For the Six months ended June 30 Six months ended
June 30
Unaudited 2025 2024 2025 2024
Restated(*) Restated(*)
Revenue 65,309 50,107 121,487 88,635
Royalty (3,507) (2,475) (6,278) (4,409)
Production costs (23,954) (20,460) (46,576) (39,420)
Depreciation (4,042) (4,239) (7,901) (8,058)
Gross profit 33,806 22,933 60,732 36,748
Net foreign exchange loss (1,026) (2,182) (2,278) (7,064)
Administrative expenses (4,363) (3,664) (8,961) (6,275)
Fair value loss on derivative financial instrument - (174) (1,592) (476)
Equity-settled share-based expense (226) (305) (82) (506)
Cash-settled share-based (expense) / credit (285) (4) (443) (57)
Other expenses (1,103) (664) (1,946) (1,264)
Other income 75 185 141 349
Profit on the sale of non-current assets held for sale 8,540 - 8,540 -
Operating profit 35,418 16,125 54,111 21,455
Finance income 121 3 127 9
Finance cost (602) (797) (1,502) (1,529)
Profit before tax 34,937 15,331 52,736 19,935
Tax expense (11,341) (5,151) (17,977) (7,681)
Profit for the period 23,596 10,180 34,759 12,254
Other comprehensive income
Items that are or may be reclassified to profit or loss
Exchange differences on translation of foreign operations 239 178 446 34
Total comprehensive income for the period 23,835 10,358 35,205 12,288
Profit attributable to:
Owners of the Company 20,487 8,283 29,402 9,769
Non-controlling interests 3,109 1,897 5,357 2,485
Profit for the period 23,596 10,180 34,759 12,254
Total comprehensive income attributable to:
Owners of the Company 20,726 8,461 29,848 9,803
Non-controlling interests 3,109 1,897 5,357 2,485
Total comprehensive income for the period 23,835 10,358 35,205 12,288
Earnings per share
Basic earnings per share (cents) 105.7 41.6 150.3 48.9
Diluted earnings per share (cents) 105.7 41.6 150.3 48.9
Adjusted earnings per share
Basic earnings per share (cents) 113.9 44.6 172.4 54.2
Dividends per share (cents) 14.0 14.0 28.0 28.0
* Refer to note 27.
Summarised Consolidated Statements of Financial Position
(in thousands of United States Dollars, unless indicated otherwise)
Unaudited Jun 30 Dec 31 Dec 31
As at 2025 2024 2023
*Restated
Total non-current assets 300,646 287,046 274,074
Income tax receivable 106 355 1,120
Inventories 29,528 23,768 20,304
Derivative financial assets - - 88
Trade and other receivables 9,364 12,675 9,952
Prepayments 11,663 6,748 2,538
Fixed term deposit 18,000 - -
Cash and cash equivalents 19,860 4,260 6,708
Assets held for sale - 13,512 13,519
Total assets 389,167 348,364 328,303
Total non-current liabilities 73,741 68,505 63,970
Cash-settled share-based payment 751 634 920
Income tax payable 9,122 2,958 10
Lease liabilities 278 95 167
Loans and borrowings 1,741 1,174 -
Loan note instruments 1,093 855 665
Trade and other payables 29,137 26,647 20,503
Overdrafts 11,649 12,928 17,740
Liabilities associated with assets held for sale - 104 128
Total liabilities 127,512 113,900 104,103
Total equity 261,655 234,464 224,200
Total equity and liabilities 389,167 348,364 328,303
Consolidated statements of cash flows
(in thousands of United States Dollars, unless indicated otherwise)
Unaudited Three months ended June 30, Six months ended June 30,
2025 2024 2025 2024
Cash inflow from operations 34,111 20,988 52,668 27,523
Interest received 11 3 17 9
Finance costs paid (623) (710) (1,166) (1,283)
Tax paid (5,415) (1,195) (10,246) (2,276)
Net cash inflow from operating activities 28,084 19,086 41,273 23,973
Cash flows used in investing activities
Acquisition of property, plant and equipment (10,511) (6,897) (17,761) (10,638)
Expenditure on exploration and evaluation assets (1,831) (733) (3,060) (1,163)
Proceeds from sale of non-current asset held for sale (net of selling costs) 21,966 - 21,966 -
Proceeds from the sale of property plant and equipment 17 - 17 -
Acquisition of put options - (168) (1,592) (408)
Investment in fixed term deposits (18,000) - (18,000) -
Net cash used in investing activities (8,359) (7,798) (18,430) (12,209)
Cash flows from financing activities
Dividends paid (7,606) (2,912) (8,993) (5,632)
Payment of lease liabilities (104) (38) (133) (75)
Proceeds from loans and borrowings 1,259 2,032 1,259 2,032
Repayments of loans and borrowings (472) - (472) -
Bonds - solar bond issue receipts (net of transaction cost) - 1,939 2,387 1,939
Net cash (used in) / from financing activities (6,923) 1,021 (5,952) (1,736)
Net increase in cash and cash equivalents 12,802 12,309 16,891 10,028
Effect of exchange rate fluctuations on cash and cash equivalents (19) 485 (12) (362)
Net cash and cash equivalents at the beginning of the period (4,572) (14,160) (8,668) (11,032)
Net cash and cash equivalents at the end of the period 8,211 (1,366) 8,211 (1,366)
1 Refer to the technical report entitled "NI 43-101 Technical Report on
the Blanket Gold Mine, Zimbabwe" with effective date December 31,
2023 prepared by Caledonia Mining Corporation Plc and filed by the Company
on SEDAR+ (https://www.sedarplus.ca (https://www.sedarplus.ca/) ) on May 15,
2024.
Craig James Harvey, MGSSA, MAIG, Caledonia Vice President, Technical Services,
has reviewed and approved the scientific and technical information contained
in this news release. Craig James Harvey is a "Qualified Person" as defined
by each of (i) the Canadian Securities Administrators' National Instrument
43-101 - Standards of Disclosure for Mineral Projects and (ii) sub-part 1300
of Regulation S-K of the U.S. Securities Act.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END IR SFMSEFEISEFARecent news on Caledonia Mining
See all newsREG - Caledonia Mining Crp - Caledonia approves quarterly dividend
AnnouncementREG - Caledonia Mining Crp - Results for the Quarter ended June 30, 2025
AnnouncementREG - Caledonia Mining Crp - Holding(s) in Company
AnnouncementREG - Caledonia Mining Crp - Holding(s) in Company
AnnouncementREG - Caledonia Mining Crp - Notice of Results
Announcement