Dragon Mining (01712.HK) announced on July 25th that it expects to record a net profit growth of approximately 1.5 million to 2.7 million Australian dollars for the period ending on June 30, 2024, while the after-tax net profit for the corresponding period ending on June 30, 2023 was 0.03 million Australian dollars. The relevant accounts have not been audited or reviewed by the company's auditors and/or the Audit and Risk Management Committee.
According to the announcement, the increase in after-tax net profit is mainly due to the higher average gold price during the reporting period compared to the corresponding period, and the following factors: (a) the decrease in production depreciation and amortization expenses during the reporting period due to: (i) the revision of the Vammala permit limit to a maximum of 0.3 million tons per year; and (ii) the dismantling of the ball mill at the Vammala plant in the first quarter of 2024. (b) Confirmation of interest income and the reversal of the provision for costs related to useless crushing machines in Finland after a successful arbitration process; and (c) the recognition of fair value gains on the 2.45291 million shares held by the group in Aurion Resources Limited (TSXV stock code: AU) during the reporting period.