Strong Earnings, Weak Stock: Unpacking EMX Royalty's Q3

Gold Mining Bull
2023-11-19

Summary

  • EMX Royalty Corporation had a strong Q3 with revenue, cash flow, and earnings exceeding expectations.
  • The company received a significant inflow of $6.67 million from the Timok royalty property, improving its balance sheet.
  • Despite the positive results, EMX Royalty's stock has been underperforming, potentially due to high spending rates and concerns about a recession impacting copper prices.

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EMX Royalty Update

EMX Royalty Corporation (NYSE:EMX) just had one of its best quarterly earnings in recent memory. Revenue, cash flow, and earnings all exceeded my expectations, and, as a result, EMX's balance sheet

EMX's Q3 Earnings Snapshot

  • Approximately $1.95 million from the Gediktepe Mine's oxide gold deposit.

  • About $1.74 million from the Caserones royalty.

  • Revenue of roughly $773,000 from Leeville.

  • EMX also recognized $568,000 from the Balya property.

  • Gold Bar South contributed $134,000.

  • This led to revenue of nearly $13 million, operating cash flow of $7.5 million, and positive net income of $2.44 million.

Updated Balance Sheet

EMX: Other Big Developments in Q3

EMX: Why Did the Stock Price fall?

YCharts

EMX Royalty: The Final Verdict

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