BGL’s FY24 earnings result was broadly in line with our estimates. There were some variances in working capital vs our estimates, and BGL’s A$90.9m in lease liabilities was ~A$40m higher than we had anticipated. We have made some modest adjustments to our earnings forecasts, largely increased finance costs due to the higher leases, which drives 2-4% cuts to our earnings forecasts. We lower our price target 7% to A$1.30 due to the weaker earnings outlook and higher lease liability balance and reiterate our HOLD rating on BGL. Delivering on its production targets and demonstrating reduced AISC presents key near-term catalysts for BGL, with the company able to provide positive news flow from near-mine exploration success over the course of FY25.
To access the full report please log in under the Client Area at the bottom of this page.
Argonaut’s Client Area allows you to view delayed share prices, access Argonaut’s wealth of Research as well as create custom portfolios and set up company watch lists.
If you would like to access our research please contact us to create an account.
