Lithium producer Sigma Lithium (TSX-V:SGML) has released its Q4 2024 financial results which show revenues of US$151.4 million ($242.4 million) for FY24.
The company says revenues for FY24 include non-cash provisional price adjustments for the shipments realised in 2023 in the amount of US$29.2 million, “reflecting downward price settlements for these shipments”.
Therefore, underlying revenues, excluding these non-cash provisional 2023 price adjustments, totalled US$180.6 million for the full year 2024.
Sigma Lithium also reports total revenues of US$47.3 million for the Q4, an increase of 127% over the revenues reported in Q3 2024.
The company reports an underlying cash gross margin of 41% for FY24 and 42% for the fourth quarter (gross margin excluding D&A expenses). For the FY24 adjusted EBITDA totalled US$16.8 million.
Similarly to revenues, underlying adjusted EBITDA for FY24 was US$46 million, representing underlying adjusted EBITDA margin of 25% (excluding non-cash provisional price adjustments for the shipments completed in 2023).
Adjusted EBITDA for the fourth quarter totalled US$12.3 million, representing an adjusted EBITDA margin of 26% (excluding non-cash stock-based compensation), reflecting strong profitability and operational efficiency.
Meanwhile, as a result of the improved efficiencies at the Greentech Plant, following the completion of the new ultrafines circuit, the company says it achieved a 28% increase in production volumes in the Q4 2024, reaching 77,034 tonnes. Annual production totaled 240,828 tonnes in 2024, according to the report.
As of 31 December 2024, the company’s cash and cash equivalents were US$45.9 million.
Sigma is simultaneously constructing its second Greentech Industrial Plant to double production capacity in 2025, while entering the planning stages for a third Greentech production line.
CEO Ana Cabral says in 2024 the continued focus on innovation and the introduction of advanced Greentech technologies, such as the new ultrafines reprocessing circuit, increased the overall efficiency of the industrial process.
As a result, the company significantly increased industrial lithium oxide concentrate production volumes, without a concomitant increase in mining footprint, thereby simultaneously creating value for both the environment and our shareholders.
“We are undergoing a transformational period as we accelerate our growth to become one of the world’s leading integrated industrial-mineral lithium oxide producers,” Cabral says.
“As we increase production volume, we see tremendous opportunities to further monetise economies of scale. We demonstrated exceptional operational resilience during the current lithium cycle, surpassing production targets, while maintaining one of the lowest cash cost positions in the industry.
“Our execution track record further reinforces our ability to deliver on our targets.”
Write to Adam Orlando at Mining.com.au
Images: Sigma Lithium
