Geodrill finishes 2021 with strong quarter as net income...
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Geodrill hopes that a strong gold price and new contracts will see the good results continue through 2022.
The Q4 net income stood at US$2.8 million, or $0.06 per share, which saw 2021 net income rise 88% year-on-year to $14.1 million, or $0.31 per share.
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The West Africa-based company's revenue hit $26.7 million in Q4, having risen by 8% year-on-year.
For 2021, the company's revenue was $115.2 million, up 40% year-on-year. And EBITDA for the 12-months was $29.5 million, up 55% year-on-year, and 26% of revenue.
The drilling company ended the year with net cash of $2.4 million and delivered dividends of C$0.02 (US$0.02).
"We entered 2022 with the highest rig count in the company's history and expanded our geographical footprint, and in less than two months have announced over $130 million in new drilling contracts, all with top-tier gold producers, [such as] Perseus, Centamin, and Endeavour," Geodrill's CEO Dave Harper said.
He said the contracts signal Geodrill's expansion beyond West Africa. The company operates in other African jurisdictions, including Mali and Egypt, and is expanding its presence in South America.
"This accelerated growth is all against a backdrop of the global economy, [which is] increasing investor interest in gold and driving exploration budgets," Harper said.
Gold - which often acts as a safe-haven asset and is seeing increased interest during geopolitical crises - traded at $1,984.24/ounce overnight on a spot basis. That was up 4.5% week-on-week and 9% month-on-month.
Geodrill traded at $2.70/share on March 7, which was down 2% day-on-day. On March 5, the company closed trading at $2.76, which was the highest close since June last year.
The company had a market capitalisation of $122.35/share.