Monument Mining: A Shining Quarter for the Gold Producer

Monument Mining Limited (TSX-V: MMY and FSE: D7Q1), a Vancouver-based gold producer, has just released its financial results for the three months ended December 31, 2024 ("Q2 FY 2025"). The company's CEO, Cathy Zhai, commented on the results, highlighting the focus on sustaining stable gold production at the Selinsing Gold Mine, delivering healthy cash flow, and building a solid cash balance to fund business development. Let's dive into the key highlights and what they mean for investors.

Cash Flow and Working Capital:

* Cash on hand increased by $5.2 million to $23.08 million, up from $17.88 million during Q2 FY 2025.
* Working capital increased by $7.2 million to $31.92 million, a 55% increase from $20.55 million at the end of June 30, 2024.

These improvements in cash flow and working capital reflect Monument's strong financial performance and ability to generate healthy cash flow from operations.

Production Performance:

* Gold production: 8,613 ounces (Q2 FY 2024: 6,809 ounces)
* Gold sold: 8,987 ounces at a record average realized price of $2,678/oz (Q2 FY 2024: 6,967 ounces at $1,946/oz)
* Cash cost per ounce sold: $918 (Q2 FY 2024: $894/oz)
* All-in sustaining cost per ounce sold: $1,201 (Q2 FY 2024: $1,175/oz)

Monument's increased gold production and higher realized prices contributed to a significant increase in revenue and gross margin. The company's ability to control cash costs and maintain a relatively low all-in sustaining cost per ounce sold demonstrates its operational efficiency and cost management.

Financial Performance:

* Net profit: $8.84 million, or $0.03 per share (Q2 FY 2024: net loss of ($0.60 million), or ($0.00)/share)
* Gross margin: $11.54 million (Q2 FY 2024: $4.77 million)

Monument's improved financial performance, with a net profit and higher gross margin, reflects the company's ability to capitalize on higher gold prices and maintain operational efficiency.

Looking Ahead:

* Monument is planning mineral resource in-fill and step-out drilling programs to increase the Selinsing mine life, expected to commence in Q3 FY 2025.
* The company is also reviewing the Murchison Project, including an economic assessment of a potential production restart for a second source of cash flow as gold prices approach $3,000 per ounce.

Monument Mining's strong Q2 FY 2025 results demonstrate the company's ability to generate healthy cash flow, maintain operational efficiency, and capitalize on higher gold prices. As the company looks to the future, investors can expect Monument to continue focusing on sustainable gold production, strategic development, and creating value for shareholders. Keep an eye on Monument Mining as it continues to shine in the gold mining sector.