Goldplat : Preliminary Results

Goldplat plc / Ticker: GDP / Index: AIM / Sector: Mining & Exploration

26 September 2016

Goldplat plc ('Goldplat' or 'the Company')

Preliminary Results

Goldplat plc, the AIM listed gold producer, announces its preliminary results for the year ended 30 June 2016 ('FY 2016').

Overview

• Goldplat continued to strengthen its market-leading gold recovery operations in South Africa and Ghana, whilst making progress on the geographical diversification of these businesses into Africa, as well as into South America
• Management approved plans for a plant expansion at Kilimapesa, with the aim of increasing production rates and operational profitability during the 2017 financial year
• The Company produced 37,666 ounces of gold during the year (FY 2015: 30,524 ounces)
  • Significant increase in production from recovery operations to 35,661 ounces (FY 2015: 28,246 ounces)
  • Kilimapesa mine produced 2,005 ounces (FY 2015: 2,278 ounces)
• Actual sales were 40,763 ounces (FY 2015: 24,904 ounces)
  • Gold sold for own account was 27,538 ounces (FY 2015: 21,181 ounces)
  • Gold transferred to clients was 13,225 ounces (FY 2015: 3,723 ounces)
• Multiple cost improvement initiatives and investment in infrastructure to improve operational efficiencies, resulting in increased profitability and return to positive cash flow
• The management team was strengthened across all operations to align skills and experience with Company strategy in order to build on profitability and spearhead new development opportunities
• A new Chairman, Matthew Robinson, was identified, and is to be proposed at the upcoming AGM

Financials

• Operating profit of £1,172,000 (2015: loss of £711,000)
• Profit before tax of £1,942,000 (2015: loss of £796,000)
• South African recovery business continued to perform well and increased its operating profits to £1,777,000 (FY 2015: £1,090,000)
• Gold Recovery Ghana showed the strongest turnaround performance, turning an operational loss in FY 2015 of £641,000 into an operational profit of £437,000 for FY 2016
• Kilimapesa gold mine reported a net loss of £711,000 for the year (FY 2015: loss of £753,000) - operational constraints are now being addressed with mining and treatment capacity being increased during H1 FY 2017, which aims to return the mine to profitability
• Net cash position of £2,056,000 as at 30 June 2016 (2015: £630,000)
• Increase in revenue of 21% whilst cost of sales increased by 10% year on year
• Gold sold on own account increased by 30% to 27,538 ounces (FY 2015: 21,181 ounces), which is reflected in increased Group sales

To view the full report including Chairman's Statement please click here.

** ENDS **

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