Sandstorm Gold Royalties: 2024 Sales and Revenue Preview

Sandstorm Gold Royalties (NYSE: SAND, TSX: SSL) has announced its preliminary sales and revenue figures for the fourth quarter and year ended December 31, 2024, setting the stage for the release of its full financial results on February 18, 2025. The company sold approximately 17,700 attributable gold equivalent ounces and realized preliminary revenue of $47.4 million in the fourth quarter, with cash operating margins of approximately $2,397 per ounce. For the full year, Sandstorm sold around 72,800 attributable gold equivalent ounces and realized preliminary revenue of $176.3 million, with cash operating margins of approximately $2,097 per ounce.



Sandstorm's strong performance in 2024 can be attributed to several strategic acquisitions, such as the Greenstone gold stream, which contributed to the company's production and revenue growth. In the third quarter of 2024, Sandstorm received its first gold deliveries from Greenstone following the mine's first gold pour in May 2024. Equinox Gold reported that Greenstone produced 42,400 ounces of gold in the third quarter, with commercial production announced on November 6, 2024. These deliveries are expected to ramp up through the second half of 2024, driving growth in Sandstorm's attributable gold equivalent ounces and revenue.



Sandstorm's balance sheet deleveraging strategy has also played a significant role in its financial flexibility and ability to pursue growth opportunities. The company made net repayments of $56 million on its revolving credit facility in the nine months ended September 30, 2024, reducing its outstanding balance to $369 million with an undrawn and available balance of $256 million. This reduction in debt has allowed Sandstorm to maintain a strong liquidity position, providing it with the financial flexibility to pursue new growth opportunities.

In addition to its debt reduction efforts, Sandstorm has demonstrated a commitment to returning capital to shareholders. The company purchased approximately 1.1 million common shares for total consideration of $6.1 million during the nine months ended September 30, 2024, and declared a dividend of C$0.02 per share, paid on October 25, 2024. This balance between debt reduction and shareholder returns is evident in the company's commitment to returning capital to shareholders while maintaining a strong financial position.

As Sandstorm Gold Royalties prepares to release its full financial results on February 18, 2025, investors will be closely watching the company's performance and growth prospects. With a strong track record of strategic acquisitions and a commitment to financial discipline, Sandstorm is well-positioned to continue its growth trajectory in the gold royalty and streaming sector.