Triple Flag shares rise following another quarter of record results, dividend hike

Credit: Northparkes

Triple Flag Precious Metals (TSX: TFPM, NYSE: TFPM) saw a bump in its share price Wednesday on the back of record quarterly results and another dividend hike.

The stock closed the session 5.3% higher at $17.94, giving it a market capitalization of $3.6 billion.

In the June quarter, the gold streaming and royalty company achieved records in several operating metrics: gold-equivalent ounces (26,616 oz.), revenue (US$52.6 million), adjusted EBITDA (US$41.6 million) and operating cash flow (US$40.9 million).

In addition, it posted net earnings of US$16.0 million, a 47% improvement on the US$10.9 million recorded in the year-ago quarter. Adjusted net earnings amounted to US$17.7 million, still higher than the US$14.9 million from Q2 2022.

As a result of its quarterly performance, Triple Flag has decided to raise its dividend and declared an increased quarterly payout of US$0.0525 per common share.

“The solid performance of our portfolio has provided the basis for us to increase our annualized dividend by 5%, the second consecutive increase since we listed in 2021,” commented Shaun Usmar, Triple Flag’s CEO.

“Looking forward, our deal pipeline remains consistently active with actionable opportunities, and we are especially encouraged by an increasing cadence of new discoveries, reserve replacement and expansion at multiple assets across the portfolio,” said Usmar.

These include the Northparkes and Beta Hunt mines in Australia. The company holds a 54% gold stream and 80% silver stream on the former, which recently commenced open pit mining from higher-grade ore reserves. On the latter, Triple Flag holds 3.25% gross revenue gold royalty. The mine is held by Karora Resources (TSX: KRR; US-OTC: KRRGF) which just announced a record quarter of consolidated output.

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