The Aeris Resources Ltd (ASX: AIS) share price is rocketing, up 22% in early afternoon trading. At the time of writing, the Aeris share price has retreated slightly to 12 cents, up 20%.
We take a look at the Aeris half year financial results (H1 FY21), released after market close yesterday, below.
How much did Aeris' profit increase for the half year?
The Aeris share price is surging after the ASX copper-gold producer and explorer reported a 99% lift in revenue. This equates to revenue of $214.5 million, up from $108 million in H1 FY20.
Aeris notes that the half year results include those of the Cracow Gold Operations. This was acquired from Evolution Mining Ltd (ASX: EVN) on 1 July.
The company's gross profit soared 1,205%, to $60.6 million. Additionally, Aeris' net profit after tax (NPAT) of $45.9 million was up 260% year-on-year.
Cashflow from operating activities also surged, up 1,053% to $72.4 million. Aeris net debt decreased 70%, down to $10.9 million.
Diluted earning per share (EPS) were at 2.3 cents. This is down compared to a loss of 6.3 cents per share (cps) in the prior corresponding half.
Aeris has not historically paid a dividend and did not pay one for the half year.
Comments from Management
Regarding the half-year results, executive chairman, Andre Labuschagne said:
Since the start of July 2020 we have completed the acquisition of Cracow, discovered the Constellation deposit and significantly improved our balance sheet. The fundamentals for copper are looking extremely attractive and as we have seen over the last 6 months, gold is a good complimentary commodity to also be producing…
We were fortunate that the Tritton Copper Operations was not directly impacted during the various COVID shutdowns and we continued to operate during the year…
Fast forward to 2021 and Tritton and Cracow are both producing positive operating cashflows, providing a platform on which we can now focus on life extension projects at both operations.
Aeris Resources share price snapshot
Patient Aeris Resources shareholders have been well-rewarded over the past 12 months, with shares up 200% since 24 February 2020. By comparison, the All Ordinaries Index (ASX: XAO) is up a slender 0.1%.
With today's intraday gains factored in, the Aeris share price is up 11% so far in 2021.
