Edison Investment Research Limited: Kopy Goldfields (KOPY): Q3 production up 16% y-o-y, full year on track

London, UK, 6 December 2021

Kopy Goldfields (KOPY): Q3 production up 16% y-o-y, full year on track

Kopy Goldfields reported a strong set of Q3 figures with production up 16% year-on-year to 21.0koz and EBITDA up 14% year-on-year to US$15.4m. The company looks on track to meet full year (unchanged) production guidance of 56-59koz (our forecast remains at the lower end of that range), and growth projects, which aim to lift production to more than 100koz by 2025, are progressing well.

As previously, we value Kopy Goldflelds using a discounted free cash flow to equity (DCFE) methodology and a 10% discount rate. Minor modifications to our cash flow forecasts (a US$1.5m increase in 2021e EBITDA and the deferral of US$1.6m in capex from 2021 to 2022) see our DCFE valuation of Kopy Goldfields move only marginally to US$284m (from US$283m previously), but applying the weaker exchange rate of SEK9.05/US$ (from SEK8.65/US$ previously) means that our per-share valuation increases to SEK2.89 from SEK2.75 previously. 

Click here to view the full report or here to sign up to receive research as it is published.

All reports published by Edison are available to download free of charge from its website

www.edisongroup.com

About Edison: Edison is a leading research and investor relations consultancy, connecting listed companies to the widest pool of global investors. By focusing on the volume and quality of investors reached - across institutions, family offices, wealth managers and retail investors - Edison can create and gauge intent to purchase, even in the darkest pools of capital, and then make introductions via non-deal roadshows, events or virtual meetings.

Having been the first in-market 17 years ago, Edison now has more than 100 analysts covering every economic sector. Headquartered in London, Edison also has offices in New York, Frankfurt, Amsterdam and Tel Aviv and a presence in Athens, Johannesburg and Sydney.

Edison is authorised and regulated by the Financial Conduct Authority.

Edison is not an adviser or broker-dealer and does not provide investment advice. Edison's reports are not solicitations to buy or sell any securities.

For more information, please contact Edison:

Alison Turner +44 (0)20 3077 5700 mining@edisongroup.com

Lord Ashbourne (formerly Charles Gibson) +44 (0)20 3077 5724 mining@edisongroup.com

Learn more at www.edisongroup.com and connect with Edison on: 

LinkedIn        www.linkedin.com/company/edison-group-/

Twitter           www.twitter.com/Edison_Inv_Res

YouTube       www.youtube.com/edisonitv