Two high-performing S&P/ASX 200 Index (ASX: XJO) gold stocks are taking a beating today.
The Aussie miners in question are Red 5 Ltd (ASX: RED) and Genesis Minerals Ltd (ASX: GMD).
Both companies released their full year financial results (FY 2024) this morning.
Judging by the share price reaction today, investors were clearly hoping for more in a financial year that saw the gold price soar from US$1,919 per ounce at the end of June 2023 to US$2,327 at the end of June 2024.
Bullion is currently trading near its recent all-time high of US$2,513 an ounce.
Here's what the ASX 200 gold stocks reported.
Red 5 share price slides despite revenue surge
The Red 5 share price is down a painful 11.0% in early afternoon trade, currently at 32.5 cents a share. Thought that still leaves shares in the ASX 200 mining stock up 50% over 12 months.
This comes despite the company reporting a 47% year on year increase in revenue to $620 million. The revenue boost was primarily driven by higher realised gold prices and a 29% increase in gold sales from the miner's King of the Hills project.
Underlying profit increased to $48.5 million.
As at 30 June, the company had cash and deposits of $442.5 million and bullion of $11.2 million.
The final weeks of FY 2024 also saw Red 5 complete its merger with Silver Lake on 19 June.
Management said this has created "a diversified mid-tier gold miner with scale, longevity and sector leading financial strength".
The merger came with a cost, however, with the ASX 200 gold stock reporting a net loss for the year of $5.4 million.
Red 5 shares could also be under pressure with operating costs expected to rise in FY 2025. The miner forecasts an all-in sustaining cost (AISC) of $2,250 to $2,450 per ounce.
Which brings us to…
ASX 200 gold stock sinks on high expectations for results
The Genesis Minerals share price is down 4.8% at the time of writing at $2.09 a share after the company reported its FY 2024 results this morning. The Genesis share price remains up 35% over 12 months.
Like Red 5, Genesis reported some strong growth metrics for FY 2024 and its FY 2025 outlook, though the market seems to have been expecting more.
The ASX 200 gold stock saw revenue increase by 470% year on year to $438.6 million. This was driven by the miner's acquisition of St Barbara's Leonora assets, which were brought to book on 30 June 2023.
This also saw Genesis produce 134,000 ounces of gold over the 12 months, up from 22,000 ounces the previous year.
Underlying net profit after tax (NPAT) came in at $27.8 million, up from a loss of $115.7 million the prior year. And operating cash flow was $136.2 million, following cash outflows of $37.6 million in FY 2023.
One of the few metrics going backwards was the ASX 200 gold stock's cash and bullion holdings, which slipped 5% year on year to $173 million as at 30 June.
