Doray Minerals announces record cash flow from Andy Well

THE BOURSE WHISPERER: Doray Minerals (ASX: DRM) banged the drum to let everybody know of its earnings and record cash flow for the 2016 financial year.

The company went further to point out this has been achieved whilst it is funding and building its second high‐grade gold mine at Deflector.

Dory said unaudited financial results for the full year ending 30 June 2016 showed Revenue of $131.1 million and net profit before tax of $17.5 million, after one‐off non‐cash exploration write‐offs totalling approximately $5.8 million.

Cash flow from the company’s operations increased by 8.7 per cent to $60.9 million, this was despite lower production when compared with the previous year.

“Andy Well has delivered within production and cost guidance for the third consecutive year and the company looks forward to reaping the benefits of having a second high‐grade gold operation for the first time with the ongoing ramp‐up of production from Deflector,” Doray Minerals managing director Allan Kelly said in the company’s announcement to the Australian Securities Exchange.

“Over the last 12 months, we achieved EBITDA of $62.7 million from revenue of $131.1 million, resulting in an outstanding EBITDA margin of 47.8 per cent, amongst the highest of any ASX gold producer.

“Our cash and debt position was also better than expected at the end of the financial year, as a combined result of higher gold prices being received for production at Andy Well and the new Deflector project coming on line on schedule and within budget.”