Royal Gold Reports 19% Revenue Increase to $719.4 Million for Fiscal Year 2024

Royal Gold, Inc. reported a significant increase in its financial performance for the fiscal year ending December 31, 2024, with total revenue reaching $719.4 million, a 19% increase from $605.7 million in the previous year. The company generated a record net operating cash flow of $529.5 million, up 27% from $415.8 million in 2023. Net income attributable to Royal Gold stockholders also rose to $332 million, or $5.04 per share, compared to $239.4 million, or $3.64 per share, in the prior year. This growth was primarily driven by higher average prices for gold, silver, and copper, alongside increased production from key properties.

In terms of strategic developments, Royal Gold made notable acquisitions during the year, including a $106 million investment in royalty interests in the Back River Gold District in Nunavut, Canada, and the Cactus Project in Arizona. Additionally, the company entered into a Cost Support Agreement with Centerra Gold Inc. to enhance the value of the Mount Milligan mine, extending its life to 2035 and potentially beyond. The company also increased its annual dividend to $1.80 per share, reflecting a 13% increase from the previous year, marking 24 consecutive years of dividend growth.

Operationally, Royal Gold's portfolio consisted of nine stream interests and 166 royalty interests as of December 31, 2024. The company reported that stream interests accounted for 67% of total revenue, while royalty interests contributed 33%. The geographic distribution of long-lived assets showed a strong presence in Canada, the Dominican Republic, and Chile, with approximately 83% of revenue derived from properties outside the United States. The company managed to maintain a stable employee count of 30 across its offices in Denver, Lucerne, Vancouver, and Toronto.

The filing also highlighted the company's proactive approach to managing risks associated with fluctuating metal prices, which significantly impact revenue. Royal Gold derived approximately 88% of its revenue from precious metals, with gold alone accounting for 76%. The company acknowledged that significant declines in metal prices could adversely affect its financial condition. Looking ahead, Royal Gold expressed optimism about its growth prospects, driven by ongoing acquisition opportunities and the potential for increased production from its existing properties, particularly with the support agreements in place for Mount Milligan and other key assets.