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Highlights

  • In FY23, the company saw a modest 2.2% increase in revenue, driven primarily by a higher realized gold price.
  • In Q3, Endeavour returned USD 229mn to shareholders, comprising USD 100mn in dividends and USD 29mn in share buybacks.
  • For FY24, the group has allocated sustaining capital expenditure of USD 125.0 million, with USD 51.3 million already invested in ongoing projects

Endeavour Mining PLC (LSE: EDV) is a gold-producing firm based in West Africa.  It has a market cap of GBP 3793.85mn and is listed on the FTSE 100 index.

In FY23, the company saw a modest 2.2% increase in revenue, rising from USD 2,069 million in FY22 to USD 2,115 million, driven primarily by a higher realized gold price, which increased by USD 148 per ounce (from USD 1,791 in FY22 to USD 1,939 in FY23). However, despite the revenue growth, the group's adjusted EBITDA decreased by 7.6%, falling from USD 1,133 million in FY22 to USD 1,047 million in FY23, a reduction of USD 86 million.

Endeavour achieved its highest production level this year at 270,000 ounces (koz), representing an 8% increase from Q2FY24. This increase was attributed to the ramp-up of the Sabodala-Massawa BIOX expansion and Lafigué mine.

Recent Business Update

In Q3, Endeavour returned USD 229 million to shareholders, comprising USD 100 million in dividends and USD 29 million in share buybacks.

Company Outlook

For FY24, the group has allocated sustaining capital expenditure of USD 125.0 million, with USD 51.3 million already invested in ongoing projects during the first half of the year.

The projected growth capital expenditure for the year is USD 245.0 million, with USD 192.1 million already committed. The majority of this allocation is directed towards the BIOX® expansion in Senegal and the development of the Lafigué mine in Côte d'Ivoire.

Despite lower yields at Sabodala-Massawa, the group expects to meet its overall production guidance of 1,130 – 1,270 koz for FY24.

Top 10 Shareholders:

The top 10 shareholders of Endeavour hold approximately 51.97% of the total shares. La Mancha Investments S.à r.l. is the largest shareholder, with about 17.81% of the shares. BlackRock Investment Management (UK) Ltd. follows with around 13.04%. The chart below illustrates these holdings.

Stock Information

The stock price of EDV has declined by around 11.36% in the past month. However, the stock has appreciated by around 21.11% in the past nine months. The stock’s 52-week low and high are GBX 1231.00 and GBX 1944.00, respectively. As of November 13, 2024, the stock’s closing price is GBX 1537.

 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 November 2024. The reference data in this report has been partly sourced from EODHD/Others.