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Osisko Gold Royalties reports record results in ‘exceptional' 2022 year

Kitco News

(Kitco News) - On Thursday, Osisko Gold Royalties (TSX:OR, NYSE: OR) announced that the company earned 89,367 gold equivalent ounces (GEOs), an annual record and an increase of 12% over 2021 (80,000 GEOs).

The company reported record revenues from royalties and streams of $217.8 million (2021 – $199.6 million; $224.9 million including offtakes; amounts presented are in Canadian dollars, except where otherwise noted), and record cash flows generated by operating activities from continuing operations of $175.1 million (2021 – $153.2 million).

Osisko also reported record cash margin from royalties and streams of $201.7 million or 93% (2021 – $186.3 million or 93%; $187.2 million including offtakes).

The company said that 2022 net earnings from continuing operations were $85.3 million, or $0.47 per share (2021 – $76.6 million or $0.46 per basic share), and adjusted earnings were a record at $111.3 million, or $0.62 per basic share (2021 – $94.4 million, $0.56 per basic share).

Osisko also declared a quarterly dividend of $0.055 per common share payable on April 14, 2023 to shareholders of record as of the close of business on March 31, 2023.

President and CEO Sandeep Singh commented, "As discussed in our Q4 2022 preliminary results release, Osisko had an exceptional year in 2022. We had successive quarters of record GEO deliveries, revenues and cash margins, we were active on several high-quality transactions, and returned capital to shareholders via dividends and share buy-backs.

"We continue to benefit from a sustained period of organic growth and we have simplified the business positioning Osisko to unlock significant value in 2023 for shareholders.”

The company expects GEOs earned to range between 95,000 to 105,000 GEOs in 2023 at an average cash margin of 93%. Osisko expects its portfolio to generate between 130,000 and 140,000 GEOs in 2027.

Osisko Gold Royalties is an intermediate precious metal royalty company which holds a North American focused portfolio of over 180 royalties, streams and precious metal offtakes. Osisko’s portfolio is anchored by its cornerstone asset, a 5% net smelter return royalty on the Canadian Malartic mine, which is the largest gold mine in Canada.

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