AUS
NZ
UK
CA
USA
IND
Highlights
- Red 5 is an Australia based gold mining and mineral exploration company
- In FY24, Red’s revenue jumped 47% YoY to AUD 620 million and gross profit increased by 221% YoY to AUD 90.4 million
- Van Eck Associates Corporation has the highest stake in the firm with a shareholding of 9.20%
Red 5 Limited (ASX:RED) is an ASX-listed gold mining and mineral exploration company with operations in Eastern Goldfields Region of Western Australia. In June 2024, the company merged with Silver Lake Resources.
In the financial year 2024 (FY24), RED’s gold sales jumped 35% YoY to over 223k ounces, supported by a 29% YoY increase in sales from Kings of the Hills. Meanwhile, revenue increased by 47% YoY to AUD 620 million.
During the reported period, gross profit surged by 221% YoY to AUD 90.4 million and loss after tax dropped to AUD 5.5 million, from AUD 8.7 million in the previous corresponding period.
Following the transformative merger with Silver Lake in June 2024, the cash and deposits reached AUD 442.5 million, as of 30 June 2024.
Top 10 shareholders of RED
The top 10 shareholders of RED have around 33.74% shareholding in the firm, while the top four have 22.71% of the shareholding. Van Eck Associates Corporation and Regal Funds Management Pty. Ltd. have the maximum stakes in the company with a shareholding of ~9.20% and ~5.16%, respectively.
Recent business update
On 26 August 2024, the company shared an update concerning the change in company’s name. The company informed that a shareholder’s general meeting is scheduled for 25 September 2024, where Resolution 1 would propose changing the company’s name to Vault Minerals Limited, alongside changing the ticker code to “VAU”. The suggested name will reflect the recent merger with Silver Lake, which has positioned it as a mid-tier gold production firm with diverse operations in Tier 1 jurisdictions.
Outlook
In FY25, the company expects to record gold sales of 390k – 430k at an AISC of AUD 2,250 – 2,450 per ounce. The gold sales guidance reflects a rise of 84% YoY and includes full-year contribution of Silver Lake operations.
During the reported period, the company expects production of 210k – 230k from Kings of the Hills, 85k – 95k from Mount monger and 95k – 105k from Deflector.
Share performance of RED
RED shares closed 3.17% lower at AUD 0.305 apiece on 3 September 2024 with a market cap of AUD 2.14 billion. RED’s share price has increased by 22% in the past one year and has declined by almost 29.07% in the last three months.
52-week high of RED is AUD 0.495, recorded on 22 May 2024, while 52-week low is AUD 0.205, recorded on 15 September 2023.
RED Daily Technical Chart, Source: EODHD/Others
Note 1: Past performance is neither an Indicator nor a guarantee of future performance.
Note 2: The reference date for all price data, and currency, is 03 September 2024. The reference data in this report has been partly sourced from EODHD/Others.
Disclaimer
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