Mr. James Mackie reports

MAJESTIC GOLD CORP. REPORTS 2024 Q2 RESULTS

Majestic Gold Corp. has released its financial and operational results for the six months ended June 30, 2024. The financial results in this news release are expressed in U.S. dollars unless otherwise stated.

Operational highlights

Six months ended June 30, 2024, and postperiod:

• Revenue increased by 17.7 per cent to $33.6-million, compared with $28.6-million for the fiscal year (FY) 2023 comparative period. The increase in revenue for the current period was primarily due to the higher average realized gold price.
• Gross profit from mining operations increased by 32.9 per cent to $18.1-million, compared with $13.6-million for the FY 2023 comparative period.
• Net income increased by 52.1 per cent to $11.1-million, a $3.8-million increase over the FY 2023 comparative period.
• Gold production was 16,207 ounces, a decrease of 2.2 per cent from 16,575 ounces produced for the FY 2023 comparative period.
• Net earnings attributable to shareholders from continuing operations increased by 17.5 per cent to $5.5-million, compared with $4.7-million for the FY 2023 comparative period.
• Net cash generated from operating activities from continuing operations decreased by 23.5 per cent to $11.6-million, from $15.2-million for the FY 2023 comparative period. The decrease for the current period is primarily due to an increase of income tax payments and accounts payable over the FY 2023 comparative period.
• The company had a strong financial position at June 30, 2024. The company had a cash balance of $103.9-million (Dec. 31, 2023 -- $98-million) and working capital of $86.3-million (Dec. 31, 2023 -- $76.5-million).
• Total cash costs and all-in sustaining costs (AISC) for the six months ended June 30, 2024, were $787 per ounce and $957 per ounce, respectively, compared with $774 per ounce and $886 per ounce for the FY 2023 comparative periods. For AISC computation details, refer to pages 15 to 17 of the management's discussion and analysis (MD&A) for this non-IFRS (international financial reporting standards) financial measure.
• Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) for the six months ended June 30, 2024, was $18.9-million, compared with $14.2-million for FY 2023 comparative period. For EBITDA computation details, refer to pages 15 to 17 of the MD&A for this non-IFRS financial measure.
• In August, 2024, the company's board approved a special dividend of 0.7 Canadian cent per common share, payable on Oct. 11, 2024, to the shareholders of record at the close of business on Sept. 27, 2024. This special dividend represents an estimated yield of approximately 10.76 per cent.
• Production outlook for 2024 remains consistent with the company's 2024 annual production guidance of 34,000 ounces, with production weighted to the second half of FY 2024.
• In June, 2024, the company made an equity investment in Allied Critical Metals Corp. of $250,000 (Canadian).

About Majestic Gold Corp.

Currently focused in China, Majestic Gold is a British Columbia-based company engaged in commercial gold production at the Songjiagou gold mine in eastern Shandong province, China, with exploration properties located in Australia and Canada.

We seek Safe Harbor.