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Highlights

  • Atalaya Mining’s H1 FY24 revenue declined 4.3% due to lower concentrate sales despite higher copper prices
  • EBITDA reduced by 8.6% amid lower sales volumes and increased copper prices
  • The company announced an interim dividend of USD 0.04 per share for H1 FY24
  • 2024 copper production forecast remains 45,000-50,000 tonnes with costs ranging from USD 2.80-3.20 per pound

Atalaya Mining PLC (LSE: ATYM) is an FTSE AIM 100-listed company that produces copper concentrates and silver by-products at its Proyecto Riotinto site in Spain.

In H1 FY24, the company's revenue experienced a decline of approximately 4.3% compared to the previous corresponding period (pcp). This drop in revenue was largely attributed to reduced sales volumes of concentrate, despite a rise in realized copper prices. Although lower sales volumes impacted revenue, the increase in copper prices and effective cost control measures mitigated the decline. As a result, EBITDA saw a reduction of 8.6% in H1 FY24.

Further, in Q1 FY24, the company had a higher gross margin of 14.3% and a lower debt/equity ratio of 0.11x, compared to the industry median of 11.1% and 0.17x, respectively.

Recent Business Update

On 14 August 2024, the company announced an interim dividend of USD 0.04 per share. The dividend relates to H1 FY24. It is scheduled to be paid on 19 September 2024.

Company Outlook

The company has maintained its Copper production guidance for 2024 at 45,000 to 50,000 tonnes, as outlined in the Q2 FY24 operations update. This forecast is based on expectations for improved ore grades and robust plant performance during the latter half of the year.

Regarding financial forecasts, cash costs and all-in-sustaining costs (AISC) is anticipated to remain within the range of USD 2.80 to USD 3.00 per pound and USD 3.00 to USD 3.20 per pound of payable copper, respectively. Additionally, the forecasted total for non-sustaining capital expenditures is set between EUR 64 million and EUR 73 million, while the budget for exploration expenditures remains at EUR 5 million to EUR 7 million.

Top 10 Shareholders

The top 10 shareholders of Atalaya Mining together own approximately 67.84% of the total shares. Urion Holdings (Malta) Ltd. holds the largest stake with about 30.89% shareholding. It is followed by Cobas Asset Management, SGIIC, SA with around 15.04% stake, as shown in the chart below:

Price Performance

The stock price of ATYM has decreased by approximately 11.54% over the past three months but has risen by around 10.56% over the last six months. It has a 52-week low of GBX 281.00 and a 52-week high of GBX 493.50. It is currently trading below the average of these 52-week high and low values.

Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference data for all price data, currency, technical indicators, support, and resistance levels is 03 September 2024. The reference data in this report has been partly sourced from EODHD/Others.