(TheNewswire)
Vancouver, B C - TheNewswire - May 29, 2023 - Majestic Gold Corp. (“ Majestic ” or the “ Company ”) (TSX.V:MJS ) ( FSE:MJT) reports its financial and operational results for the firstquarter ended March 31, 2023. The following financial results areexpressed in US dollars unless otherwise stated.
OPERATIONAL HIGHLIGHTS
Three months ended March 31,2023
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Goldproduction was 8,127 ounces, compared to 10,071 ounces producedfor the FY2022 comparative period
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Revenue was $14 million, compared to $17million for the FY2022 comparativeperiod
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Grossprofit from mining operations was $7 million,compared to $9.7 million for the FY2022 comparative period
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Netincome was $4 million ,compared to $5.4 million for the FY2022 comparative period
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Cash flow fromoperating activities, excluding changes in non-cash workingcapital was $7.2 million, compared to $7.7million for the FY2022 comparative period For computationdetails, refer to pages 13-15 of the MDA for this Non-IFRS financialmeasure;
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Strong financial position at March 31, 2023. The Company had cash and short-term investmentsof $58.2 million (December 31, 2022 - $52.7 million) and workingcapital of $41.3 million (December 31, 2022 - $36.4 million);
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Total cash costsand all-in sustaining costs (“AISC”) for the firstquarter of FY2023 , were $730 per ounce and $845per ounce, compared to $659 per ounce and $763 per ounce for the FY2022 comparative period . For AISCcomputation details, refer to pages 13-15 of the MDA for this Non-IFRSfinancial measure;
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AdjustedEBITDA for the firstquarter of FY2023 , was $7.5 million, compared to$9.9 million for the FY2022 comparative period . For EBITDAcomputation details, refer to pages 13-15 of the MDA for this Non-IFRSfinancial measure; an
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On May 22, 2023, the Company’s subsidiaryPersistence Resources Group Ltd (“PRG”), filed its renewalapplication to the Stock Exchange of Hong Kong Limited (the“HKEX”) for listing of its shares on the Main Board of the HKEX.PRG, together with its sponsor and legal advisors are progressingthrough the HKEX listing application process and are responding toqueries from both the HKEX and Hong Kong Securities and FuturesCommission to complete the proposed initial public offering of theshares of Persistence. The HKEX renewal application document can befound at www.majesticgold.com/investors/hkex-application .
Three months ended | Three months ended March 31, 2022 | ||||
Operating data | |||||
8,127 | 10,071 | ||||
Gold realized net of smelting fees (ozs) | 7,415 | 9,168 | |||
Gold sold (ozs) | 7,429 | 9,185 | |||
Average realized gold price ($/oz sold) | $ | 1,858 | $ | 1,847 | |
Total cash costs ($/oz sold) (1) | 730 | 659 | |||
Total production costs ($/oz sold) (1) | 931 | 830 | |||
All-in sustaining costs per ounce ($/oz sold) (1) | 845 | 763 | |||
Financial data | |||||
Gold revenues | $ | 13,967,828 | $ | 17,365,423 | |
Gross profit (2) | 7,050,277 | 9,742,355 | |||
Adjusted EBITDA (1) | 7,477,661 | 9,923,214 | |||
Net income | 4,028,362 | 5,417,860 | |||
Net income attributable to shareholders | 2,656,250 | 3,477,452 | |||
Basic and diluted income per share | 0.00 | 0.01 | |||
March 31, 2023 | December 31, 2022 | ||||
Balance Sheet | |||||
Cash | $ | 48,562,405 | $ | 45,362,546 | |
Total assets | 146,072,227 | 139,605,949 | |||
Total current liabilities | 21,862,600 | 21,059,237 |
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See “Additional Financial Measures” in theCompany’s MDA on pages 13-15.
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“Gross profit” represents total revenues, net ofcost of goods sold.
About Majestic Gold
Currently focused inChina, Majestic Gold Corp. is a British Columbia based company engagedin commercial gold production at the Songjiagou Gold Mine in easternShandong Province, China, with exploration properties located inAustralia, China and Canada. Additional information on the Company andits projects is available at www.sedar.com and on theCompany’s website at www.majesticgold.com .
For further information, pleasecontact:
Stephen Kenwood, P.Geo. , President and CEO
Telephone: (604) 560-9060
Email: info@majesticgold.com
Website: www.majesticgold.com
Cautionary Notes
Certain statements contained hereinmay constitute forward?looking statements and are made pursuant tothe "safe harbor" provisions of the United States PrivateSecurities Litigation Reform Act of 1995 and Canadian securities laws.Forward?looking statements are statements which relate to futureevents. Such statements include estimates, forecasts and statements asto management's expectations with respect to, among other things,business and financial prospects, financial multiples and accretionestimates, future trends, plans, strategies, objectives andexpectations, including with respect to production, explorationdrilling, reserves and resources, exploitation activities and eventsor future operations. Information inferred from the interpretation ofdrilling results and information concerning mineral resource estimatesmay also be deemed to be forward-looking statements, as it constitutesa prediction of what might be found to be present when, and if, aproject is actually developed.
In some cases, you can identifyforward?looking statements by terminology such as "may","should", "expects", "plans,"anticipates", believes", "estimates","predicts", "potential", or "continue"or the negative of these terms or other comparable terminology. Thesestatements are only predictions and involve known and unknown risks,uncertainties and other factors that may cause our or our industry'sactual results, level of activity, performance or achievements to bematerially different from any future results, levels of activity,performance, or achievements expressed or implied by theseforward?looking statements.
While these forward?lookingstatements, and any assumptions upon which they are based, are made ingood faith and reflect our current judgment regarding the direction ofour business, actual results will almost always vary, sometimesmaterially, from any estimates, predictions, projections, assumptionsor other future performance suggestions herein. Except as required byapplicable law, Majestic Gold does not intend to update anyforward?looking statements to conform these statements to actualresults
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