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Research: Metals & Mining
Ahead of Wheaton Precious Metals’ (WPM’s) Q223 results, scheduled for 10 August, we have honed our forecasts to reflect, principally (1) Newmont’s suspension of mining at Penasquito since 8 June, (2) updated metals prices, (3) estimated production from Salobo in the light of Vale’s Q223 production and sales report (released on 18 July) and (4) the closure of the Minto mine on 13 May. As a result, we have reduced our Q223 basic EPS forecast by 5 US cents per share to 28 cents per share and our FY23 adjusted basic EPS by 8 cents per share (or 6.1%) to 124 cents per share.
Wheaton Precious Metals |
Honing Q223 forecasts |
Q223 results preview |
Metals and mining |
21 July 2023 |
Share price performance
Business description
Next events
Analyst
Wheaton Precious Metals is a research client of Edison Investment Research Limited |
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Ahead of Wheaton Precious Metals’ (WPM’s) Q223 results, scheduled for 10 August, we have honed our forecasts to reflect, principally (1) Newmont’s suspension of mining at Penasquito since 8 June, (2) updated metals prices, (3) estimated production from Salobo in the light of Vale’s Q223 production and sales report (released on 18 July) and (4) the closure of the Minto mine on 13 May. As a result, we have reduced our Q223 basic EPS forecast by 5 US cents per share to 28 cents per share and our FY23 adjusted basic EPS by 8 cents per share (or 6.1%) to 124 cents per share.
Year end |
Revenue |
PBT* |
EPS* |
DPS |
P/E |
Yield |
12/21 |
1,201.7 |
592.1 |
132 |
57 |
33.9 |
1.3 |
12/22 |
1,065.1 |
497.7 |
112 |
60 |
39.9 |
1.3 |
12/23e |
1,061.5 |
531.5 |
124 |
60 |
36.1 |
1.3 |
12/24e |
1,423.8 |
669.8 |
148 |
65 |
30.3 |
1.4 |
Note: *PBT and EPS are normalised, excluding amortisation of acquired intangibles and exceptional items.
Forecast FY23 production still well within guidance
As a result of the changes to our assumptions, we forecast that WPM will produce 613koz of gold equivalent ounces (GEOs) in FY23. This is almost unchanged since our forecast at the time of our previous note as a result of increasing our assumption of gold production from Constancia in H223 to reflect the resumption of full mining activities in the Pampacancha pit in February (as per Hudbay’s Q123 earnings release). It remains well within WPM’s guidance for the full year of 600–660koz GEOs.
Penasquito assumed offline until the end of August
The largest single effect on our estimates for FY23 adjusted EPS arose as a consequence of changes to our forecasts regarding Penasquito (8 cents/share), followed by metals prices (4 cents/share), partially offset by changes to our assumptions regarding output at Constancia in H223 (3 cents/share). Salobo and other incidental changes accounted for the remaining 1c of EPS changes.
Valuation: Heading over C$70/share by 2026
Using a capital asset pricing model (CAPM)-type method, whereby we discount cash flows at a nominal 9% per year, our ‘terminal’ valuation of WPM in FY26 is little changed at US$54.92 (C$72.61) per share, assuming zero subsequent longterm growth in real cash flows. Alternatively, assuming no purchases of additional streams (which we think unlikely), we calculate a value per share for WPM of US$56.77 or C$75.05 or £43.35 in FY26, based on a 30.4x historical multiple of contemporary earnings. In the meantime, WPM’s shares are trading on near-term financial ratios that are lower than those of its peers on at least 69% of common valuation measures if Edison forecasts are used or 52% if consensus forecasts are used. Stated alternatively, if WPM were to trade at the average multiples of its peers, we calculate that its share price should be US$53.58, or C$70.83 currently.
Updated Q223 and FY23 guidance and forecasts
Since our last note on WPM (see Q123 in line; looking to H2, published on 9 May 2023), we have honed our Q223 and FY23 forecasts to reflect a number of developments, including the following:
■
Metals prices, as per the table below:
Exhibit 1: Metals price assumption changes
Metal |
Q223 |
Q223 |
Change |
Remainder of year (previous) |
Remainder of year (current) |
Change |
|
Silver (US$/oz) |
25.62 |
24.19 |
-5.6 |
25.90 |
24.79 |
-4.3 |
|
Gold (US$/oz) |
2,002 |
1,976 |
-1.3 |
2,000 |
1,955 |
-2.3 |
|
Palladium (US$/oz) |
1,470 |
1,445 |
-1.7 |
1,452 |
1,265 |
-12.9 |
|
Cobalt (US$/lb) |
15.84 |
14.79 |
-6.6 |
15.84 |
15.16 |
-4.3 |
|
Simple average |
-3.8 |
-6.0 |
Source: Edison Investment Research, Bloomberg
■
Production and sales from Penasquito in order to reflect Newmont’s announcement of a suspension of operations at the mine on 8 June and its Q223 results announcement of 20 July. In the latter, it disclosed silver production and sales from Penasquito in Q223 of 6,323koz and 5,999koz, respectively, which (pro rata to its 25% silver stream interest) implies production and sales attributable to Wheaton in Q223 of 1,580koz and 1,499koz, respectively. In the absence of any immediate, official progress in resolving the dispute between Newmont and the unions at Penasquito, we have also assumed that production and sales will continue to be affected by the suspension for two of the three months of Q3 until the end of August.
■
Production from Salobo, in Q2, to reflect Vale’s quarterly production report, released on Tuesday 18 July, showing copper production increasing quarter-on-quarter by 30.2% to 42.7kt (cf 32.8kt). Historically, copper production at Salobo has correlated closely with gold attributable to WPM in any particular quarter. In this case, however, 13.2kt of the mine’s production was derived from Salobo III (ie production from Salobo I and II was actually down 1% q-o-q). As this project is in the process of ramping up, we believe that there will be a natural lag in associated gold production, with the result that we anticipate only around one quarter of the increase in copper production to be reflected in gold production (ie implying an increase of 7.5% to 46,973oz rather than a 30.2% increase to 56,860oz). Note that Salobo III’s contribution of 30.9% of total copper production (cf an expected 33.3% pro-rata to throughput) suggests a very solid ramp up since Q422, notwithstanding the fact that production at Salobo I and II was adversely affected by planned maintenance activities and additional work on the crushers (which will continue into H223).
■
Production and sales attributable to WPM from the Minto mine to reflect the latter’s announcement of the cessation of operations on 13 May after failing to raise funds and the subsequent resignation of its directors on 16 May. For these purposes, we have assumed no further production from the mine attributable to WPM from either 13 May or at any time in the future. Hence, we have reduced Q223 production by 1,000oz gold and future production by 2,000oz per quarter until end-FY25. As a consequence, we have also included a small c US$15m (Edison estimate) impairment in WPM’s assets taken through its income statement in Q223, partially offset by a c US$5m profit from the disposal of a 33% interest in WPM’s Goose stream back to B2Gold during the quarter (see WPM’s Q123 results announcement, released on 4 May 2023).
■
Production and sales of cobalt attributable to WPM from Voisey’s Bay to reflect the continued mining of lower-grade material at the bottom of the Ovoid pit prior to the transition and ramp-up to full production of the Voisey’s Bay underground project as well as maintenance activities scheduled for Q223.
■
We have left our gold production and sales figures for Constancia unchanged for Q323, reflecting the resumption of full mining activities in the Pampacancha pit in February (as per Hudbay’s Q1 earnings release). However, after a period of higher stripping in Q2, we have increased our expectations for Q323 and Q423 back to full capacity (cf Q124 previously), which has increased our gold production forecasts in those quarters by 4,433oz apiece.
As a consequence of the above changes, our quarterly forecasts for WPM for Q223 (both including and excluding exceptional items) and for the remainder of the year are now as follows:
Exhibit 2: WPM FY23 forecast, by quarter*
US$000s |
Q123 |
Q223e |
Q223e |
Q223e (inc excepts) |
Q323e |
Q323e |
Q423e |
Q423e |
FY23e |
FY23e |
Silver production (koz) |
4,927 |
4,723 |
4,635 |
4,635 |
4,723 |
4,358 |
4,723 |
5,851 |
19,771 |
19,097 |
Gold production (oz) |
73,037 |
85,746 |
76,449 |
76,449 |
87,149 |
88,406 |
97,005 |
97,884 |
335,776 |
342,937 |
Palladium production (koz) |
3,705 |
3,514 |
3,514 |
3,514 |
3,871 |
3,871 |
3,871 |
3,871 |
14,961 |
14,961 |
Cobalt production (klb) |
124 |
201 |
124 |
124 |
204 |
204 |
204 |
204 |
655 |
732 |
Silver sales (koz) |
3,749 |
4,153 |
4,185 |
4,185 |
4,723 |
3,756 |
4,723 |
5,589 |
17,278 |
17,349 |
Gold sales (oz) |
62,605 |
79,977 |
71,306 |
71,306 |
87,128 |
82,439 |
96,984 |
97,863 |
314,213 |
326,694 |
Palladium sales (oz) |
2,946 |
3.161 |
3,161 |
3,161 |
3,856 |
3,483 |
3,856 |
3,856 |
13,445 |
13,818 |
Cobalt sales (klb) |
323 |
201 |
124 |
124 |
204 |
204 |
204 |
204 |
854 |
931 |
Avg realised Ag price (US$/oz) |
22.85 |
25.62 |
24.19 |
24.19 |
25.90 |
24.57 |
25.90 |
24.79 |
24.18 |
25.17 |
Avg realised Au price (US$/oz) |
1,904 |
2,002 |
1,976 |
1,976 |
2,000 |
1,951 |
2,000 |
1,955 |
1,949 |
1,982 |
Avg realised Pd price (US$/oz) |
1,607 |
1,470 |
1,445 |
1,445 |
1,452 |
1,264 |
1,452 |
1,265 |
1,382 |
1,489 |
Avg realised Co price (US$/lb) |
15.04 |
15.84 |
14.79 |
14.79 |
15.84 |
15.16 |
15.84 |
15.16 |
15.06 |
15.56 |
Avg Ag cash cost (US$/oz) |
5.07 |
5.11 |
5.21 |
5.21 |
5.13 |
5.53 |
5.14 |
5.30 |
5.28 |
5.11 |
Avg Au cash cost (US$/oz) |
496 |
462 |
456 |
456 |
461 |
441 |
4.57 |
439 |
455 |
467 |
Avg Pd cash cost (US$/oz) |
294 |
265 |
260 |
260 |
261 |
228 |
261 |
228 |
250 |
269 |
Avg Co cash cost (US$/lb) |
3.30 |
2.85 |
2.66 |
2.66 |
2.85 |
2.73 |
2.85 |
2.73 |
2.93 |
3.01 |
Sales |
214,465 |
274,359 |
248,534 |
248,534 |
305,417 |
260,622 |
325,128 |
337,829 |
1,061,450 |
1,119,368 |
Cost of sales |
||||||||||
Cost of sales, excluding depletion |
51,964 |
59,623 |
55,487 |
55,487 |
65,976 |
58,481 |
70,137 |
74,032 |
239,964 |
247,701 |
Depletion |
45,000 |
53,874 |
49,026 |
49,026 |
60,184 |
52,909 |
64,948 |
67,699 |
214,634 |
224,006 |
Total cost of sales |
96,964 |
113,497 |
104,512 |
104,512 |
126,160 |
111,390 |
135,085 |
141,731 |
454,598 |
471,707 |
Earnings from operations |
117,501 |
160,862 |
144,022 |
144,022 |
179,256 |
149,232 |
190,043 |
196,098 |
606,852 |
647,661 |
Expenses and other income |
||||||||||
– General and administrative** |
18,874 |
18,837 |
15,280 |
15,280 |
17,396 |
18,042 |
17,396 |
17,396 |
69,592 |
72,503 |
– Foreign exchange (gain)/loss |
0 |
0 |
||||||||
– Net interest paid/(received) |
1,378 |
1,454 |
1,454 |
1,454 |
1,454 |
1,454 |
1,454 |
1,454 |
5,741 |
5,741 |
– Other (income)/expense |
(7,387) |
(7,968) |
(7,968) |
2,062 |
(7,567) |
(7,192) |
(8,101) |
(7,150) |
(29,697) |
(31,023) |
Total expenses and other income |
12,865 |
12,324 |
8,766 |
18,796 |
11,283 |
12,304 |
10,749 |
11,700 |
45,635 |
47,221 |
Earnings before income taxes |
104,636 |
148,538 |
135,256 |
125,226 |
167,973 |
136,928 |
179,294 |
184,398 |
561,217 |
600,440 |
Income tax expense/(recovery) |
205 |
250 |
250 |
250 |
250 |
250 |
250 |
250 |
955 |
955 |
Marginal tax rate (%) |
0.2 |
0.2 |
0.2 |
0.2 |
0.1 |
0.2 |
0.1 |
0.1 |
0.2 |
0.2 |
Net earnings |
104,431 |
148,288 |
135,006 |
124,976 |
167,723 |
136,678 |
179,044 |
184,148 |
560,262 |
599,485 |
Average no. shares in issue (000s) |
452,370 |
452,838 |
452,838 |
452,838 |
452,838 |
452,838 |
452,838 |
452,838 |
452,721 |
452,721 |
Basic EPS (US$) |
0.231 |
0.327 |
0.298 |
0.276 |
0.370 |
0.302 |
0.395 |
0.407 |
1.24 |
1.32 |
Diluted EPS (US$) |
0.230 |
0.326 |
0.297 |
0.275 |
0.369 |
0.301 |
0.394 |
0.405 |
1.23 |
1.32 |
DPS (US$) |
0.15 |
0.15 |
0.15 |
0.15 |
0.15 |
0.15 |
0.15 |
0.15 |
0.60 |
0.60 |
Source: WPM accounts, Edison Investment Research. Note: *Excluding impairments, impairment reversals and exceptional items (except where indicated). **Forecasts now include stock-based compensation costs. Totals may not add up owing to rounding.
Our updated adjusted basic EPS forecast of US$1.24 per share for FY23 is 6.9% above the current consensus forecast of US$1.16 per share (source: Refinitiv, 20 July 2023), notwithstanding the fact that we suspect that the largely unchanged earnings forecasts for WPM since the time of our last note suggest that the market may not yet have fully discounted the potential effects of the Penasquito stoppage much beyond the end of June.
Exhibit 3: WPM FY23 consensus EPS forecasts (US$/share), by quarter
Q123 |
Q223e |
Q323e |
Q423e |
Sum Q1–Q423e |
FY23e |
|
Edison forecasts |
0.231 |
0.298 |
0.302 |
0.407 |
1.238 |
1.24 |
Mean consensus |
0.231 |
0.27 |
0.32 |
0.33 |
1.151 |
1.16 |
High consensus |
0.231 |
0.33 |
0.39 |
0.40 |
1.351 |
1.32 |
Low consensus |
0.231 |
0.21 |
0.27 |
0.27 |
0.981 |
1.05 |
Source: Refinitiv, Edison Investment Research. Note: As at 20 July 2023.
In the longer term:
■
In November 2022, Aris Mining released the results of the Marmato Lower Mine expansion pre-feasibility study, including the development of a new underground mine and a 4,000tpd ore processing facility to add to the existing Marmato Upper Mine. On 12 July 2023, Aris Mining announced that it had received approval from Colombia’s Corporación Autónoma Regional de Caldas for its Environmental Management Plan, which permits the development of the Marmato Lower Mine. Tender bids for key long lead procurement items such as mills, crushers, feeders, thickeners, the oxygen plant, gold room and filters are currently in the market. Orders are expected to be placed in Q323, with the new 4,000tpd mill scheduled for mechanical completion in Q325. As a consequence, we have synchronised our Marmato Lower Mine forecasts to fit this schedule, while leaving our Upper Mine forecasts unchanged.
■
We have included a contribution to WPM’s production and sales from Lumina’s Cangrejos project, as per the former’s announcement of a precious metals purchase agreement on 16 May. Under the terms of the stream, WPM will pay Lumina a total upfront cash consideration of US$300m in tranches, in return for 6.6% of the payable gold from the project until 700,000oz gold have been delivered, whereupon the stream will be reduced to 4.4% of the payable gold production for the life of the mine. Attributable production from the mine is forecast to average over 24,000oz gold pa for the first 10 years of production and over 24,500oz gold pa for the life of mine. WPM will make ongoing payments for the gold ounces delivered equal to 18% of the spot price of gold until the uncredited deposit is reduced to nil and 22% of the spot price of gold thereafter. For the purposes of our modelling, we have assumed that first production from the Cangrejos mine will occur in FY29.
■
We have adjusted our longer-term production profiles for Neves-Corvo and Zinkgruvan to align with Lundin’s 2023–25 guidance and FY22 reserve estimates. For these purposes, we have assumed that by-product silver production attributable to WPM from Zinkgruvan is proportional to its zinc production, while for Neves-Corvo that it is proportional to its copper production guidance.
Valuation
Absolute
WPM is a multi-asset company that has shown a willingness and desire to buy streams in the past to maintain production and maximise shareholder returns (most recently over Lumina’s Cangrejos mine in south-west Ecuador). As a result, rather than our customary method of discounting maximum potential dividends over the life of operations back to FY23, in the case of WPM (as with Newmont and Endeavour), we discount forecast cash flows back over four years from the start of FY23 and then apply an ex-growth terminal multiple to forecast cash flows in that year (ie FY26) based on an appropriate discount rate.
Our estimate of WPM’s ‘terminal’ pre-financing cash flow in FY26 is up by a relatively small 3.5% owing, principally, to changes to our assumptions regarding production at Neves-Corvo and Zinkgruvan, at US$2.65 per share (cf US$2.56/share previously), as shown below:
|
Exhibit 4: WPM cash flow per share and related valuation (US$/share), FY23–26 |
|
|
Source: Edison Investment Research. Note: Valuation line assumes cash flow per share growth rate of 4% pa post-FY26 in nominal terms, which equals the average US rate of CPI inflation since 1972 (ie 0% pa growth in real terms). |
Assuming 4% growth in nominal cash flows beyond FY26 (ie 0% growth in real cash flows) and applying a discount rate of 9% (being the expected long-term required nominal equity return), our ‘terminal’ valuation of the company at end-FY26 is US$54.92 per share (cf US$52.99/share previously), or C$72.61 per share. However, it should be noted that this valuation is inherently conservative in that it assumes zero growth in (real) cash flows beyond FY26. This is inconsistent with the gold price, which has risen at a compound average annual growth rate of 7.4% per year from 1967 to 2022 and at a simple average annual growth rate of 9.6% per year (cf a compound average inflation rate over the same period of 4%).
|
Exhibit 5: Gold price annual performance, 1968–2022 |
|
|
Source: Edison Investment Research (underlying data: US Bureau of Labor Statistics, Bloomberg, kitco.com, South African Chamber of Mines) |
It is also inconsistent with WPM’s longer-term historical performance, wherein operational cash flows have increased at a compound average annual growth rate of 21% pa for the 17 years between FY05 and FY22, while its operational cash flows per share have increased at compound average annual growth rate of 14.1% pa.
Historical
Excluding FY04 (part-year), WPM’s shares have historically traded on an average P/E multiple of 30.4x current year basic underlying EPS, excluding impairments (cf 36.1x Edison or 38.7x Refinitiv consensus FY23e – see Exhibit 7).
|
Exhibit 6: WPM’s average historical current year P/E multiples, 2005–22 |
|
|
Source: average share price data Bloomberg, Edison Investment Research calculations |
Applying this 30.4x multiple to our (ostensibly unchanged) EPS forecast of US$1.87 in FY26 (cf US$1.78 previously) implies a potential value per share for WPM of US$56.77 or C$75.05 in that year.
Relative
From a relative perspective, it is notable that WPM is cheaper than its peers on at least 69% (25 out of 36) of the valuation measures observed in Exhibit 7 if Edison estimates are used or 52% (19 out of 36) of the same valuation measures if consensus forecasts are used.
Exhibit 7: WPM comparative valuation versus a sample of operating and royalty/streaming companies
P/E (x) |
Yield (%) |
P/CF (x) |
|||||||
Year 1 |
Year 2 |
Year 3 |
Year 1 |
Year 2 |
Year 3 |
Year 1 |
Year 2 |
Year 3 |
|
Royalty companies |
|||||||||
Franco-Nevada |
40.5 |
37.3 |
38.8 |
0.9 |
0.9 |
0.9 |
28.3 |
26.8 |
27.7 |
Royal Gold |
32.3 |
28.4 |
27.3 |
1.1 |
1.1 |
1.1 |
18.3 |
16.4 |
15.9 |
Sandstorm Gold |
56.2 |
51.6 |
42.2 |
1.1 |
1.1 |
1.1 |
14.4 |
14.1 |
12.4 |
Osisko |
31.9 |
31.8 |
27.7 |
1.1 |
1.1 |
1.1 |
18.9 |
18.3 |
17.6 |
Average |
40.2 |
37.3 |
34.0 |
1.1 |
1.1 |
1.1 |
20.0 |
18.9 |
18.4 |
WPM (Edison forecasts) |
36.1 |
30.3 |
24.9 |
1.3 |
1.4 |
1.7 |
25.6 |
19.6 |
17.0 |
WPM (consensus) |
38.7 |
33.6 |
32.8 |
1.3 |
1.1 |
1.3 |
27.6 |
23.0 |
22.4 |
Implied WPM share price (US$)* |
49.79 |
55.05 |
61.06 |
57.14 |
60.86 |
71.95 |
34.85 |
43.20 |
48.28 |
Source: Refinitiv, Edison Investment Research. Note: Peers priced on 20 July 2023. *Derived using Edison forecasts and average consensus multiples.
Stated alternatively, were WPM to trade at the average multiples of its peers, we calculate that its share price should be US$53.58, or C$70.83 currently.
Exhibit 8: Financial summary
US$000s |
2020 |
2021 |
2022 |
2023e |
2024e |
2025e |
||
Year end 31 December |
IFRS |
IFRS |
IFRS |
IFRS |
IFRS |
IFRS |
||
PROFIT & LOSS |
||||||||
Revenue |
|
|
1,096,224 |
1,201,665 |
1,065,053 |
1,061,450 |
1,423,817 |
1,615,991 |
Cost of Sales |
(266,763) |
(287,947) |
(267,621) |
(239,964) |
(320,265) |
(356,701) |
||
Gross Profit |
829,461 |
913,718 |
797,432 |
821,486 |
1,103,552 |
1,259,290 |
||
EBITDA |
|
|
763,763 |
852,733 |
735,245 |
751,894 |
1,033,960 |
1,189,699 |
Operating profit (before amort. and excepts.) |
|
|
519,874 |
597,940 |
503,293 |
537,260 |
668,478 |
813,409 |
Exceptionals |
4,469 |
162,806 |
164,214 |
(16,989) |
0 |
0 |
||
Other |
387 |
190 |
7,680 |
29,697 |
0 |
0 |
||
Operating Profit |
524,730 |
760,936 |
675,187 |
549,968 |
668,478 |
813,409 |
||
Net Interest |
(16,715) |
(5,817) |
(5,586) |
(5,741) |
1,275 |
836 |
||
Profit Before Tax (norm) |
|
|
503,159 |
592,123 |
497,707 |
531,520 |
669,753 |
814,245 |
Profit Before Tax (FRS 3) |
|
|
508,015 |
755,119 |
669,601 |
544,227 |
669,753 |
814,245 |
Tax |
(211) |
(234) |
(475) |
(955) |
(1,000) |
(1,000) |
||
Profit After Tax (norm) |
503,335 |
592,079 |
504,912 |
560,262 |
668,753 |
813,245 |
||
Profit After Tax (FRS 3) |
507,804 |
754,885 |
669,126 |
543,272 |
668,753 |
813,245 |
||
Average Number of Shares Outstanding (m) |
448.7 |
450.1 |
451.6 |
452.7 |
452.8 |
452.8 |
||
EPS - normalised (c) |
|
|
112 |
132 |
112 |
124 |
148 |
180 |
EPS - normalised and fully diluted (c) |
|
|
112 |
131 |
112 |
123 |
147 |
179 |
EPS - (IFRS) (c) |
|
|
113 |
168 |
148 |
120 |
148 |
180 |
Dividend per share (c) |
42 |
57 |
60 |
60 |
65 |
76 |
||
Gross Margin (%) |
75.7 |
76.0 |
74.9 |
77.4 |
77.5 |
77.9 |
||
EBITDA Margin (%) |
69.7 |
71.0 |
69.0 |
70.8 |
72.6 |
73.6 |
||
Operating Margin (before GW and except.) (%) |
47.4 |
49.8 |
47.3 |
50.6 |
46.9 |
50.3 |
||
BALANCE SHEET |
||||||||
Fixed Assets |
|
|
5,755,441 |
6,046,427 |
6,039,813 |
6,328,739 |
6,950,245 |
6,602,755 |
Intangible Assets |
5,521,632 |
5,940,538 |
5,753,111 |
6,042,037 |
6,663,543 |
6,316,053 |
||
Tangible Assets |
33,931 |
44,412 |
30,607 |
30,607 |
30,607 |
30,607 |
||
Investments |
199,878 |
61,477 |
256,095 |
256,095 |
256,095 |
256,095 |
||
Current Assets |
|
|
201,831 |
249,724 |
720,093 |
718,731 |
477,684 |
1,294,823 |
Stocks |
3,265 |
12,102 |
13,817 |
2,498 |
3,350 |
3,802 |
||
Debtors |
5,883 |
11,577 |
10,187 |
5,816 |
7,802 |
8,855 |
||
Cash |
192,683 |
226,045 |
696,089 |
710,418 |
466,532 |
1,282,165 |
||
Current Liabilities |
|
|
(31,169) |
(29,691) |
(30,717) |
(29,652) |
(33,502) |
(35,249) |
Creditors |
(30,396) |
(28,878) |
(29,899) |
(28,834) |
(32,684) |
(34,431) |
||
Short term borrowings |
(773) |
(813) |
(818) |
(818) |
(818) |
(818) |
||
Long Term Liabilities |
|
|
(211,532) |
(16,343) |
(11,514) |
(11,514) |
(11,514) |
(11,514) |
Long term borrowings |
(197,864) |
(2,060) |
(1,152) |
(1,152) |
(1,152) |
(1,152) |
||
Other long term liabilities |
(13,668) |
(14,283) |
(10,362) |
(10,362) |
(10,362) |
(10,362) |
||
Net Assets |
|
|
5,714,571 |
6,250,117 |
6,717,675 |
7,006,304 |
7,382,913 |
7,850,814 |
CASH FLOW |
||||||||
Operating Cash Flow |
|
|
784,843 |
851,686 |
749,429 |
796,217 |
1,034,972 |
1,189,940 |
Net Interest |
(16,715) |
(5,817) |
(5,586) |
(5,741) |
1,275 |
836 |
||
Tax |
(2,686) |
(503) |
34 |
(955) |
(1,000) |
(1,000) |
||
Capex |
149,648 |
(404,437) |
(44,750) |
(503,560) |
(986,988) |
(28,800) |
||
Acquisitions/disposals |
0 |
0 |
0 |
0 |
0 |
0 |
||
Financing |
22,396 |
7,992 |
10,171 |
0 |
0 |
0 |
||
Dividends |
(167,212) |
(218,052) |
(237,097) |
(271,633) |
(292,145) |
(345,343) |
||
Net Cash Flow |
770,274 |
230,869 |
472,201 |
14,329 |
(243,885) |
815,633 |
||
Opening net debt/(cash) |
|
|
774,766 |
5,954 |
(223,172) |
(694,119) |
(708,448) |
(464,562) |
Other |
(1,462) |
(1,743) |
(1,254) |
(0) |
0 |
(0) |
||
Closing net debt/(cash) |
|
|
5,954 |
(223,172) |
(694,119) |
(708,448) |
(464,562) |
(1,280,195) |
Source: Company sources, Edison Investment Research
|
|
Research: Healthcare
OpGen has announced that Curetis (its German subsidiary) has met its objectives agreed under its extended R&D collaboration with FIND (a global non-profit alliance for diagnostics), triggering a $0.2m milestone payment to OpGen. Under the expanded scope of the feasibility study for the Unyvero A30 RQ platform, OpGen was required to provide three more deliverables: an antimicrobial stewardship module, a ‘data everywhere’ concept and next-generation sequencing (NGS) strain analysis. While successful completion of the feasibility stage supports Unyvero A30’s applicability in low-to-middle income countries (LMICs), it also paves the way for a subsequent R&D agreement with FIND in developing LMIC-specific Unyvero A30 antimicrobial resistance (AMR) solutions. We await further details from management on the next potential steps of the collaboration.