Resolute Mining’s H1 2025 results: profit jumps on gold price tailwind and new Côte d’Ivoire projects
Resolute Mining has posted a punchy set of half-year numbers to 30 June 2025. Despite producing fewer ounces and higher costs at Syama, the company delivered much stronger earnings thanks to a markedly higher gold price and solid cash generation. There’s also a big strategic swing into Côte d’Ivoire with the Doropo and ABC projects now on the books.
Headline numbers investors should know
| Metric | H1 2025 | H1 2024 | Change |
|---|---|---|---|
| Revenue | $447.5 million | $341.5 million | +31% |
| EBITDA | $211.1 million | $116.4 million | +81% |
| Net profit after tax | $71.0 million | $33.4 million | +113% |
| Attributable profit | $58.8 million | $20.9 million | +181% |
| Basic EPS | 2.89 cents | 0.98 cents | n/m |
| Gold sales | 145,120 oz | 157,321 oz | -7.8% |
| Average realised price | $3,076/oz | $2,170/oz | +42% |
| All-in sustaining cost (AISC) | $1,688/oz | $1,442/oz | +17% |
| Operating cash flow | $113.4 million | $100.4 million | +13% |
| Net cash and bullion | $109.9 million | $96.6 million | +13.8% |
| Interim dividend | nil | nil | – |
AISC is the industry’s broad measure of the all-in cost of sustaining production, covering mining, processing, sustaining capex and corporate overheads.
Operations: fewer ounces, but fatter margins
Group production slipped to 151,460 oz (H1 2024: 167,140 oz). Syama was hit by explosives supply challenges, which pushed AISC up to $1,688/oz from $1,442/oz. That would usually squeeze margins, but the average realised gold price surged to $3,076/oz, comfortably offsetting the cost pressure and lower sales volumes.
The mix mattered too. Mako in Senegal delivered a strong contribution at the profit line, while Syama remained profitable despite the supply disruption.
Segment performance: Mako carries more tax, Syama steadies
- Syama (Mali): profit before tax of $43.6 million, income tax expense of $5.0 million.
- Mako (Senegal): profit before tax of $84.1 million, income tax expense of $48.1 million following the expiration of its tax exoneration.
- Corporate/other: a loss before tax of $3.6 million.
Royalties climbed to $48.9 million (H1 2024: $19.6 million), reflecting higher revenues. Indirect tax expense reduced to $7.0 million (H1 2024: $16.2 million). On a net basis, the Group’s income tax charge rose to $53.1 million, mainly due to Mako’s change in tax status and the prior utilisation of Syama tax losses in 2024.
Cash, balance sheet and shares on issue
Resolute ended June with cash of $96.2 million and reported net cash and bullion of $109.9 million. Borrowings were $47.8 million, all from in-country overdraft facilities in Mali and Senegal. There were 2,129,050,013 ordinary shares on issue at period end, and net tangible assets per share improved to $0.28 (H1 2024: $0.26).
Operating cash flow came in at $113.4 million, up 13%. Investing cash outflows of $85.7 million reflected mine development, plant upgrades and the first Doropo payment. Financing outflows were modest at $3.1 million, with no interim dividend declared.
Doropo and ABC acquisition: structure and why it matters
Resolute completed the acquisition of the Doropo Gold Project and the ABC exploration project in Côte d’Ivoire on 1 May 2025. The headline consideration is $150.0 million comprising:
- $25.0 million upfront at closing.
- $50.0 million payable 18 months after closing.
- $75.0 million payable 30 months after closing.
- Transfer of Resolute’s exploration permits in Guinea to the seller within 18 months, or a $25.0 million cash payment in lieu.
- A 2% royalty over the ABC Project plus a $10.0 million contingent payment if a Feasibility Study confirms a Mineral Reserve exceeding 1 Moz (JORC 2012).
The deal immediately lifted exploration assets to $180.4 million (31 December 2024: $14.0 million) and introduced sizeable non-current financial liabilities of $132.2 million related to deferred and contingent consideration. In short: near-term cash outlay is contained, but sizeable payments are due over the next 18–30 months.
What’s going right
- Pricing power: the gold price uplift did the heavy lifting, sending EBITDA up 81% to $211.1 million even with fewer ounces.
- Cash generation: $113.4 million of operating cash flow and net cash and bullion at $109.9 million gives room to keep investing.
- Portfolio shaping: Doropo and ABC provide a growth pipeline in Côte d’Ivoire, diversifying beyond Mali and Senegal.
- Both mines profitable: Syama and Mako together delivered $127.7 million of profit before tax, a big step-up from 2024.
And the pressure points
- Higher costs: AISC rose 17% to $1,688/oz, mainly from Syama’s explosive supply issues. If gold prices soften, margins could tighten quickly.
- Tax and royalties: total royalties jumped to $48.9 million and the Group tax bill to $53.1 million. With Mako’s tax exoneration expired, the H1 charge may be a better guide to run-rate tax in 2025.
- Deferred obligations: non-current financial liabilities of $132.2 million are largely acquisition-related – investors should track the timing of the $50.0 million and $75.0 million payments.
- Working capital friction: indirect tax receivables of $71.8 million are owed by Mali and Senegal, which can be slow to settle.
Operational context: Syama and Mako
Syama’s profitability despite supply chain disruption is encouraging, but fixing explosives logistics is essential for volumes and costs in H2. Mako’s strong profit contribution is welcome, though its tax shield has gone, lifting the effective tax rate. Production guidance for the second half is not disclosed in the RNS, so investors will be watching for operational updates.
My take: a good half, with clear to-do list
This is a strong financial result driven by the gold price and disciplined cash generation. The Côte d’Ivoire move looks strategically sound, adding growth options just as the balance sheet strengthens. The flip side is higher unit costs and a bigger future payments schedule, which raises the importance of stable operations and a supportive gold price.
Overall, I view H1 2025 as a positive inflection for Resolute. If Syama’s supply issues are resolved and Doropo progresses cleanly, there’s scope to carry this momentum into 2026. Key watch items for the second half: Syama’s AISC trend, progress on Doropo studies, the pace of indirect tax recoveries, and any updates on group production and cost guidance.
