Ramelius Resources Q4 FY25 slides: record gold production drives exceptional cash flow

Introduction & Market Context

Ramelius Resources Ltd (ASX:RMS) released its June quarter (Q4 FY25) presentation on July 29, 2025, showcasing record gold production and exceptional financial performance. The Australian gold producer exceeded its production guidance for both the quarter and full year, while maintaining sector-leading margins amid strong gold prices. The company’s shares closed at A$2.60 on July 28, 2025, representing a 21.95% year-to-date return despite a 4.41% pullback in the most recent session.

Quarterly Performance Highlights

Ramelius delivered gold production of 73,454 ounces in Q4 FY25, exceeding the upper end of its upgraded guidance range of 62,000-72,000 ounces. The company achieved this while reducing its All-in Sustaining Cost (AISC) to A$1,339 per ounce, a 10% improvement from the previous quarter.

As shown in the following quarterly gold production chart, the company maintained strong output throughout FY25, with Q4 contributing to a record annual total:

The impressive production results translated into a sector-leading AISC margin of A$3,103 per ounce (70%) for the quarter, driven by operational efficiency and a favorable gold price environment. The company realized an average gold price of A$4,442 per ounce in Q4, contributing to quarterly gold sales of 76,000 ounces.

The following chart illustrates the company’s key financial metrics for Q4 FY25:

Detailed Financial Analysis

Ramelius generated operating cash flow of A$228.9 million and underlying free cash flow of A$207.8 million in Q4 FY25. This exceptional cash generation was driven by strong production, cost discipline, and high gold prices.

The quarterly free cash flow breakdown is illustrated in the following waterfall chart:

For the full fiscal year 2025, Ramelius achieved record gold production of 301,664 ounces at an AISC of A$1,551 per ounce, exceeding the upper end of its upgraded guidance range of 290,000-300,000 ounces. This translated into annual operating cash flow of A$770.5 million and underlying free cash flow of A$694.9 million.

The company’s annual financial performance is summarized in the following chart:

Ramelius ended FY25 with a robust cash and gold position of A$809.7 million, providing substantial financial flexibility for future growth initiatives. The company’s liquidity position is further strengthened by an undrawn debt facility of A$175 million, bringing total available liquidity to A$985 million.

The following chart illustrates the company’s historical cash flow performance and current liquidity position:

Strategic Initiatives

A key strategic development is the Spartan acquisition, which has received all necessary approvals with an implementation date set for July 31, 2025. This transaction creates significant integration opportunities between Ramelius’s Mt Magnet operations and Spartan’s Dalgaranga assets.

As shown in the following integration opportunity overview, the combination leverages Spartan’s excess processing capacity and Ramelius’s large mineral resource base:

The company continues to advance its Rebecca-Roe project, with a Definitive Feasibility Study underway and a Final Investment Decision targeted for the September 2025 quarter. The Pre-Feasibility Study highlighted an after-tax NPV5% of A$332 million at a gold price of A$3,500 per ounce, with gold production averaging 130,000 ounces annually over the mine life at an AISC of A$2,346 per ounce.

Exploration success was reported across multiple sites, with promising results at Penny North Extension (0.60m at 33.1g/t and 1.24m at 7.80g/t), Perseverance South (13.2m at 6.95g/t, 8.9m at 13.45g/t), and Hesperus (18m at 5.35g/t).

The company’s key operating assets delivered strong financial returns in Q4 FY25:

• Penny mine: A$92.5 million free cash flow
• Cue project: A$124.8 million free cash flow
• Mt Magnet: A$224.8 million operating cash flow

Forward-Looking Statements

Ramelius is focusing on several key areas for the remainder of calendar year 2025:

1. Completing the Spartan transaction by July 31, 2025

2. Finalizing the Rebecca-Roe Definitive Feasibility Study leading to a Final Investment Decision in the September 2025 quarter

3. Significantly increasing exploration activities, leveraging Spartan’s exploration expertise

4. Continuing to improve safety performance across all operations

The company paid a maiden fully-franked interim dividend of A$0.03 per share during Q4, with total dividends for FY25 reaching A$0.08 per share. This represents a significant increase in shareholder returns, supported by the company’s strong free cash flow generation.

With a 17-year mine plan at Mt Magnet containing 2.1 million ounces at approximately 140,000 ounces per annum, and the development potential of the Rebecca-Roe project, Ramelius has established a solid foundation for sustainable long-term production growth and continued financial performance.

Full presentation:

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