Westgold announces record half year revenue

Westgold on track to achieve guidance following record H1 revenue. ??
Westgold on track to achieve guidance following record H1 revenue.

Westgold Resources Limited (ASX: WGX) says its revenue increased by 15% on the previous corresponding period to $363m, a record half year result for the West Australian gold miner. 

Westgold also announced its net profit for H1 FY24 came in at $44m, representing a 500% increase on H1 FY23, as gold prices increased 22% on the previous corresponding period. 

Although Westgold produced 122,342oz of gold H1 FY24, 5% less than the previous corresponding period, the gold miner says it is on track to achieve its FY24 guidance of 245,000-265,000oz.     

Westgold Resources managing director and CEO Wayne Bramwell says “our mines and our people have now delivered four consecutive quarters of positive cashflow, and this lays the foundations to consistently and safely deliver value to our shareholders”. 

Westgold also says it finished the half with a strong balance sheet of $238m in cash and bullion. 

Westgold Resources, with a workforce of more than 1000 people, is the dominant explorer, developer, operator and gold mining company in WA’s Murchison region.  

The company operates four underground mines – Starlight, Bluebird, Big Bell and Fender – and the development site Great Fingall, in addition to three processing plants with an installed processing capacity of approximately 4mtpa across 1,300km2 of tenure in the Murchison and Bryah Basin. 

Westgold says it expects a stronger H2 on top of further possible upside from Great Fingall. 

The miner also says that operating a portfolio of gold mines underpins its inherent operating flexibility” and the Paddy’s Flat mining pause, announced earlier this year, will be offset by commencement of stoping at Fender and sustained improvement at Starlight.  

Westgold?owns and operates all of its underground and open pit mines, and this vertical integration provides greater cost control and operating flexibility across the company’s assets.  

The company operates on a hub and spoke model with its Murchison mines being able to feed ore to its Meekatharra and Tuckabianna processing hubs, with the Bryah Basin mines sending ore to the Fortnum hub.