Alkane Delivers Profit After Tax of A$55.7 Million for FY2021 - Alkane Resources Ltd
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Alkane Delivers Profit After Tax of A$55.7 Million for FY2021

Alkane Resources Ltd results for the year ended 30 June 2021 are now available.

The table below is a summary of the financial results:

June 2021
(A$’000)
June 2020
(A$’000)
Change
(A$’000)
Change
%
Gold revenue127,83372,54955,28476%
Gold production (ounces)56,95833,50723,45170%
Gold sales (ounces)55,92932,99522,93470%
Sale price ($/oz)2,2862,199874%
TGO profit before tax57,79130,36227,42990%
Company profit after tax155,70112,76242,939336%
Company profit after tax – continuing
operations1
33,56713,34520,222152%
Company profit after tax –discontinuing
operations1
22,134(583)22,7173897%
1. Profit for the business excluding the ASM business which was demerged in July 2020.

The profit was driven by Tomingley performance and the highly successful demerger of Australian Strategic Materials.

Excellent production and cost performance at the Tomingley Gold Operation resulted in 56,958 ounces of gold produced at an all in sustaining cost (AISC) of A$1,320 per ounce.

The demerger and listing of Australian Strategic Materials (ASX: ASM) resulted in a profit after tax for Alkane of $22.1 million. ASM’s market capitalisation went on to rise through $1 billion at the end of the financial year and is now in excess of $1.5 billion.

As at 30 June 2021 the company’s cash, bullion and listed investments totalled A$73.9 million, with A$19.0 million in cash, bullion on hand at fair value of A$7.7 million and A$47.2 million of listed investments at market value.