Why did EGO's Q4 2024 earnings fall short of forecasts?

Eldorado Gold's Q4 2024 earnings fell short of forecasts due to higher production costs and income tax expense, despite higher revenues. Here's a detailed analysis:

1. **Higher Production Costs**: The company's all-in sustaining costs (AISC) per ounce sold increased to $1,226 in Q4 2024 and $1,285 for the full year 2024. This rise was primarily due to higher royalties and labor costs, which ate into the company's profit margins.
2. **Income Tax Expense**: The company reported higher income tax expense, which contributed to the shortfall in earnings. This increase could be a result of higher taxable income or changes in tax regulations affecting the company's tax liability.
3. **Other Factors**: Eldorado Gold faced operational challenges, such as lower grades, which also impacted its production costs and, consequently, its earnings. Additionally, the company had to deal with labor market challenges, which likely affected its mining operations and increased costs.

In summary, while Eldorado Gold saw higher revenues due to improved gold sales volumes and record-high average gold prices, these gains were partially offset by increased production costs and taxes, leading to a shortfall in earnings relative to forecasts.