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Highlights

  • Caledonia Mining’s Q3FY24 gold production at Blanket Mine totaled 18,992 ounces, down from 21,772 ounces in Q3FY23
  • Year-to-date production in FY24 surpassed 2023 figures, reaching 56,815 ounces
  • The company declared a quarterly dividend of US 14.0 cents per share, yielding around 5.96%

Caledonia Mining Corporation PLC (LSE:CMCL) is listed on the FTSE index. It is a gold production company based in Zimbabwe. The company holds a 64% interest in the gold-producing Blanket Mine. It fully owns the Bilboes mine, as well as the Motapa and Maligreen gold mining claims.

In the third quarter of the financial year 2024 (Q3FY24), Caledonia Mining reported gold production of 18,992 ounces at the Blanket Mine, a decrease from 21,772 ounces in the prior corresponding period (pcp). However, year-to-date production reached 56,815 ounces, surpassing the 2023 total of 55,244 ounces.

In the reported period, the company posted gross revenue of USD 46.90 million, a decrease of 6.4% from USD 50.10 million in pcp. Despite the decline in revenue, gross profit saw a significant increase, rising 36.9% to USD 19.30 million compared to USD 14.10 million in pcp.  Gross profit growth was driven by the higher cost of production at the Blanket Mine in FY23, which amounted to USD 69.6 million, and the surge in operating costs at the small-scale Bilboes oxide mine in FY23, which reached USD 13.1 million.

The company announced an interim dividend of US 14.0 cents, which was paid on 06 December 2024. As of 10 January 2025, this brings the annualised dividend yield to around 5.96%.

Outlook

Caledonia Mining Corporation has outlined key strategic priorities for the upcoming years, focusing on sustaining Blanket mine production within the target range of 74,000 to 78,000 ounces in 2024, with expectations to maintain similar output levels in 2025. The company is also committed to finalizing the feasibility study for the Bilboes sulphide project by Q12025, with plans to secure funding solutions and initiate project development shortly thereafter. In addition to these efforts, exploration activities at the Motapa site remain a core focus, as Caledonia continues to pursue future growth opportunities and expand its portfolio.

Top 10 Shareholders

The top 10 shareholders of CMC own approximately 45.44% of the total shares. The largest shareholder is Toziyana Trust, holding about 12.55%, followed by Shining Capital Management Ltd., which holds around 10.01% of the shares.

Stock Performance

The stock price of CMCL has declined by approximately 35.04% over the past three months. It has a 52-week low of GBX 600.00 and a 52-week high of GBX 1,304.84 and is currently trading below the average of its 52-week high and low. As of 13 January 2025, the stock’s closing price is GBX 760.00.

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 13 January 2025. The reference data in this report has been partly sourced from EODHD/Others.