Caledonia Mining Corporation PLC has released its financial and operating results for the year ended December 31, 2023. The company's gross revenue for the year was $146.3 million, a 3% increase from 2022, attributed to a 7.8% rise in the average realized price of gold sold. However, gross profit decreased to $41.5 million due to higher production costs at Blanket Mine and operating costs at the Bilboes oxide mine, which was returned to care and maintenance in October 2023. Administrative expenses were 46% higher than in 2022, primarily due to increased salaries and wages and payment for advisory services on conclusion of the Bilboes acquisition in January 2023.
The company's EBITDA was lower than in 2022, primarily due to the Bilboes oxide mining cost and several one-off costs, including higher than expected labor and power costs, and foreign exchange losses. On-mine cost per ounce was $1,047, excluding the costs of the Bilboes oxide mine, which would have amounted to $912 per ounce. All-in sustaining cost per ounce increased by 64.6% year-on-year, predominantly due to the higher on-mine cost per ounce and an increase in sustaining capital expenditure.
Caledonia Mining Corporation PLC maintained its dividend for 2023 at the same level as in 2022 and declared a quarterly dividend of 14 cents per share, payable on April 26, 2024. The company's annual gold production at Blanket was 75,416 ounces in 2023, in line with guidance, and the 2024 gold production guidance at Blanket is set at 74,000 oz to 78,000 oz. The company is evaluating the initial results of the ongoing work on revised feasibility studies for Bilboes with a specific focus on reducing the initial capital expenditure profile, thereby enhancing the project economics.
The company's immediate strategic focus is to produce between 74,000 oz to 78,000 oz in 2024 at Blanket, complete a revised resource statement to extend the life of mine at Blanket, complete the updated feasibility study on the Bilboes sulphide project, and continue with exploration activities at the Motapa exploration project. Mark Learmonth, Chief Executive Officer, expressed confidence in Blanket's operations and its cash generation, reflecting the company's strategic focus and outlook for the future.