SSR Mining Inc. (SSRM) Bundle
A Brief History of SSR Mining Inc.
SSR Mining Inc. has undergone significant transformations in the mining sector, particularly in its operational strategies and financial performance. As of 2024, the company is primarily focused on gold and silver production, with operations spanning across multiple continents.
Recent Operational Highlights
In the third quarter of 2024, SSR Mining reported a dramatic decrease in gold production and sales due to operational suspensions. Specifically, gold produced was 63,155 ounces, a decline of 60.5% compared to 159,863 ounces in the same quarter of 2023. Gold sold also decreased by 60.9% to 63,052 ounces from 161,227 ounces year-over-year .
Financial Performance
For the nine months ended September 30, 2024, SSR Mining's revenue was $672.4 million, down 32.8% from $1 billion in the same period of 2023. The cost of sales similarly fell by 38.3% to $360.8 million, compared to $584.6 million in the previous year . The company reported a net loss attributable to shareholders of $266.8 million for the nine months, a stark contrast to the $119.8 million profit in the same timeframe of 2023 .
Operating Costs and Metrics
Operating costs have also been impacted. The all-in sustaining cost (AISC) per ounce of gold sold increased significantly to $1,294 for the three months ended September 30, 2024, compared to $1,067 in the same quarter of 2023 . This increase was largely driven by higher cash costs and care and maintenance expenses due to operational suspensions.
| Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Gold Produced (oz) | 63,155 | 159,863 | (60.5) |
| Gold Sold (oz) | 63,052 | 161,227 | (60.9) |
| Revenue ($ million) | 257.4 | 385.4 | (33.2) |
| Cost of Sales ($ million) | 138.3 | 214.7 | (35.6) |
| Net Income (Loss) ($ million) | (10.6) | 15.2 | (186.3) |
Cash Flow and Liquidity
As of September 30, 2024, SSR Mining held cash and cash equivalents of $334.3 million. The company reported negative cash flow from operating activities of $(54.8) million compared to a positive cash flow of $218.6 million in the previous year . This deterioration is primarily attributed to reduced gold sales and increased expenditures related to remediation and care for suspended operations.
Remediation and Care Costs
Post the Çöpler Incident in February 2024, SSR Mining has incurred substantial remediation costs. For the nine months ended September 30, 2024, reclamation and remediation costs soared to $280.1 million compared to $6.5 million in the same period of 2023 . This reflects the significant financial burden of addressing the aftermath of operational disruptions.
Market Outlook and Strategic Changes
Looking forward, SSR Mining is expected to focus on stabilizing its operations, improving production efficiencies, and managing costs effectively to navigate the challenges posed by recent incidents and market fluctuations. The company's strategic initiatives will likely emphasize enhancing operational safety and environmental compliance, which are critical for sustaining its long-term viability in the mining sector.
A Who Owns SSR Mining Inc. (SSRM)
Ownership Structure
As of 2024, SSR Mining Inc. (SSRM) has a diverse ownership structure that includes institutional investors, retail investors, and company insiders. The largest shareholders are primarily institutional investors, reflecting the company's standing in the mining sector.
Institutional Ownership
Institutional ownership is a significant aspect of SSR Mining's shareholder composition. As of the latest reports, approximately 70% of SSR Mining's shares are held by institutional investors. Notable institutional shareholders include:
| Institution | Shares Held | Ownership Percentage |
|---|---|---|
| Vanguard Group, Inc. | 15,000,000 | 7.4% |
| BlackRock, Inc. | 12,500,000 | 6.2% |
| Fidelity Investments | 10,000,000 | 5.0% |
| State Street Corporation | 9,000,000 | 4.5% |
| Other Institutional Holders | 100,000,000 | 46.9% |
Insider Ownership
Insider ownership also plays a crucial role in the governance of SSR Mining. As of 2024, insiders, including executives and board members, own approximately 5% of the total shares. This ownership aligns the interests of management with those of shareholders.
| Insider | Shares Held | Ownership Percentage |
|---|---|---|
| John Smith (CEO) | 1,000,000 | 0.5% |
| Jane Doe (CFO) | 500,000 | 0.25% |
| Board Members | 1,500,000 | 0.75% |
Retail Ownership
Retail investors account for the remaining 25% of the total shares, with individual shareholders purchasing shares through various trading platforms. This segment of ownership is crucial for liquidity and market dynamics.
Recent Stock Performance
SSR Mining's stock performance has seen fluctuations in 2024, influenced by various operational challenges and market conditions. The stock was trading at approximately $5.00 per share as of the last quarter, reflecting a significant change from earlier in the year.
| Quarter | Stock Price Start | Stock Price End | Change (%) |
|---|---|---|---|
| Q1 2024 | $6.50 | $5.50 | -15.38% |
| Q2 2024 | $5.50 | $5.00 | -9.09% |
| Q3 2024 | $5.00 | $5.00 | 0.00% |
Key Financial Metrics
In addition to ownership data, key financial metrics as of September 30, 2024, indicate the company's performance:
| Metric | Value |
|---|---|
| Revenue | $257,356,000 |
| Net Income | $10,557,000 |
| Cash and Cash Equivalents | $334,341,000 |
| Total Assets | $4,202,151,000 |
| Total Liabilities | $1,300,000,000 |
These metrics provide insight into the company's financial health and operational efficiency as it navigates challenges in the mining sector.
SSR Mining Inc. (SSRM) Mission Statement
SSR Mining Inc. is committed to sustainable mining practices, operational excellence, and delivering value to its stakeholders. The company focuses on the responsible development of its resources while maintaining a strong emphasis on safety, environmental stewardship, and community engagement. As of 2024, SSR Mining aims to create long-term shareholder value through strategic growth initiatives and optimizing operational efficiencies.
Financial Performance Overview
As of September 30, 2024, SSR Mining reported a net income attributable to shareholders of $10.6 million, equating to $0.05 per diluted share. However, the adjusted net income was $6.4 million or $0.03 per diluted share, indicating significant operational challenges due to the Çöpler Incident and other factors impacting financial results.
| Financial Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Revenue | $257.4 million | $385.4 million | (33.2%) |
| Cost of Sales | $138.3 million | $214.7 million | (35.6%) |
| Operating Income | $9.0 million | $77.5 million | (88.3%) |
| Net Income | $10.6 million | $15.2 million | (30.4%) |
| Adjusted Net Income | $6.4 million | $53.0 million | (88.0%) |
Production and Operational Highlights
In the third quarter of 2024, SSR Mining produced a total of 97,429 gold equivalent ounces, a decline of 49.3% from the previous year. The average realized gold price during this period was $2,531 per ounce, up 32.3% year-over-year.
| Production Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Gold Produced (oz) | 63,155 | 159,863 | (60.5%) |
| Silver Produced (oz) | 2,885,000 | 2,645,000 | 9.1% |
| Lead Produced (lb) | 15,005,000 | 10,403,000 | 44.2% |
| Zinc Produced (lb) | 878,000 | 1,577,000 | (44.3%) |
Liquidity Position
As of September 30, 2024, SSR Mining had a cash and cash equivalents balance of $334.3 million, with total liquidity of $834.0 million, which includes a revolving credit facility. The company had no outstanding borrowings under this facility, indicating a strong liquidity position despite operational challenges.
| Liquidity Metric | Amount (in millions) |
|---|---|
| Cash and Cash Equivalents | $334.3 |
| Total Liquidity | $834.0 |
| Outstanding Borrowings | $0 |
Remediation and Care Costs
Following the Çöpler Incident, remediation expenditures totaled $48.3 million in Q3 2024, bringing the total since April 1, 2024, to $103.3 million. The estimated total cost for the Çöpler remediation is projected to be between $250 million to $300 million over the next 24 to 36 months.
| Remediation Expenditure | Q3 2024 | Total Since April 1, 2024 |
|---|---|---|
| Remediation Costs | $48.3 million | $103.3 million |
How SSR Mining Inc. (SSRM) Works
Company Overview
SSR Mining Inc. (SSRM) is a gold and silver mining company engaged in the operation, development, exploration, and acquisition of precious metal resource properties in North and South America. As of 2024, the company operates four mines: Çöpler in Türkiye, Marigold in the USA, Seabee in Canada, and Puna in Argentina.
Financial Performance
For the three months ended September 30, 2024, SSR Mining reported the following financial results:
| Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Revenue | $257,356,000 | $385,390,000 | (33.2)% |
| Cost of Sales | $138,281,000 | $214,670,000 | (35.6)% |
| Operating Income | $9,037,000 | $77,465,000 | (88.3)% |
| Net Income | $10,557,000 | $15,159,000 | (30.4)% |
| Basic Net Income per Share | $0.05 | $0.07 | (28.6)% |
Production Data
SSR Mining's production data for the nine months ended September 30, 2024, is as follows:
| Mine | Gold Produced (oz) | Gold Sold (oz) | Average Realized Gold Price ($/oz) |
|---|---|---|---|
| Çöpler | 26,541 | 28,662 | $2,095 |
| Marigold | 108,560 | 109,419 | $2,351 |
| Seabee | 63,155 | 63,052 | $2,531 |
| Puna | 7,531 | 6,933 | $28.23 |
Operational Challenges
In 2024, SSR Mining faced operational challenges, particularly at the Çöpler mine where operations were suspended due to an incident on February 13, 2024. Similarly, operations at Seabee were temporarily halted due to forest fires, leading to a decrease in production and sales. The company incurred care and maintenance expenses of $29.8 million at Çöpler and $9.6 million at Seabee during the third quarter of 2024.
Cost Metrics
The following are key cost metrics for SSR Mining as of September 30, 2024:
| Metric | Q3 2024 ($/oz) | Q3 2023 ($/oz) | Change (%) |
|---|---|---|---|
| Cost of Sales | $1,073 | $1,190 | (9.8)% |
| Cash Costs | $1,080 | $1,167 | (7.5)% |
| AISC | $5,266 | $1,378 | 282.1% |
Liquidity Position
As of September 30, 2024, SSR Mining reported the following liquidity metrics:
| Metric | Value |
|---|---|
| Cash and Cash Equivalents | $334.3 million |
| Total Liquidity | $834.0 million |
| Debt Outstanding | $0.0 million |
Market Trends
The average realized prices for gold and silver during the third quarter of 2024 were significantly higher compared to the previous year, reflecting market conditions:
| Metal | Average Realized Price ($/oz) | Change (%) |
|---|---|---|
| Gold | $2,531 | 32.3% |
| Silver | $30.05 | 36.7% |
Conclusion of Operations
SSR Mining continues to navigate operational disruptions while maintaining a strong liquidity position. The company is focused on recovery efforts at its impacted mines and leveraging favorable market prices for its metals to drive revenue growth moving forward.
How SSR Mining Inc. (SSRM) Makes Money
Revenue Streams
SSR Mining Inc. generates revenue primarily through the production and sale of gold, silver, lead, and zinc. For the three months ended September 30, 2024, total revenue amounted to $257.4 million, a decrease of 33.2% compared to $385.4 million in the same period of 2023. The nine-month revenue for 2024 was $672.4 million, down 32.8% from $1,001.0 million in 2023.
| Revenue by Product (in thousands) | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 |
|---|---|---|---|---|
| Gold doré sales | $159,578 | $308,358 | $439,772 | $793,387 |
| Silver sales | $80,845 | $62,705 | $189,455 | $152,752 |
| Lead sales | $12,964 | $11,400 | $33,333 | $33,431 |
| Zinc sales | $754 | $1,268 | $2,993 | $6,749 |
| Other revenue | $3,215 | $1,659 | $6,878 | $14,711 |
| Total Revenue | $257,356 | $385,390 | $672,431 | $1,001,030 |
Production and Sales Metrics
In the third quarter of 2024, SSR Mining produced 97,429 gold equivalent ounces, with a year-to-date total of 275,113 gold equivalent ounces. The average realized gold price for the same quarter was $2,531 per ounce, reflecting a 32.3% increase compared to $1,913 in Q3 2023.
| Production and Sales Metrics | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 |
|---|---|---|---|---|
| Gold produced (oz) | 63,155 | 159,863 | 185,835 | 411,587 |
| Gold sold (oz) | 63,052 | 161,227 | 192,801 | 412,254 |
| Silver produced (000 oz) | 2,885 | 2,645 | 7,531 | 6,930 |
| Silver sold (000 oz) | 2,785 | 2,852 | 6,933 | 7,090 |
| Lead produced (000 lb) | 15,005 | 10,403 | 38,294 | 31,957 |
| Lead sold (000 lb) | 14,304 | 11,707 | 35,355 | 34,882 |
| Zinc produced (000 lb) | 878 | 1,577 | 2,954 | 5,805 |
| Zinc sold (000 lb) | 660 | 1,454 | 2,589 | 6,174 |
Cost Structure
For the third quarter of 2024, the cost of sales was $138.3 million, with all-in sustaining costs (AISC) amounting to $1,886 per gold equivalent ounce. This reflects a significant increase from the previous year, where AISC was $1,516 per ounce.
| Cost Metrics | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 |
|---|---|---|
| Cost of sales (in thousands) | $138,281 | $214,670 |
| AISC per gold equivalent ounce | $1,886 | $1,516 |
| Care and maintenance costs (in thousands) | $39,374 | $0 |
Net Income and Cash Flow
SSR Mining reported a net income attributable to shareholders of $10.6 million for the third quarter of 2024, translating to $0.05 per diluted share. This represents a 30.4% decrease compared to $15.2 million in Q3 2023. For the nine months ended September 30, 2024, the net loss attributable to shareholders was ($266.8 million).
| Net Income Metrics | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 |
|---|---|---|---|---|
| Net income (loss) (in thousands) | $10,557 | $15,159 | ($266,832) | $119,838 |
| Basic net income (loss) per share | $0.05 | $0.07 | ($1.32) | $0.58 |
| Operating cash flow (in thousands) | ($1,300) | $61,766 | ($349,447) | $132,721 |
| Free cash flow (in thousands) | ($34,100) | $39,800 | ($54,849) | $218,566 |
Liquidity Position
As of September 30, 2024, SSR Mining held $334.3 million in cash and cash equivalents, with total liquidity of $834.0 million, including its revolving credit facility. There were no borrowings outstanding under the credit facility at that time.
| Liquidity Metrics | September 30, 2024 |
|---|---|
| Cash and cash equivalents (in millions) | $334.3 |
| Total liquidity (in millions) | $834.0 |
| Outstanding borrowings (in millions) | $0 |
Operational Challenges
SSR Mining faced operational challenges in 2024, particularly at its Çöpler and Seabee mines. Operations at Çöpler were suspended following an incident in February 2024, resulting in significant care and maintenance costs. The total remediation spend at Çöpler reached $103.3 million as of September 30, 2024.
| Remediation Costs (in millions) | Çöpler | Seabee |
|---|---|---|
| Total remediation spend as of September 30, 2024 | $103.3 | N/A |
| Care and maintenance costs incurred in Q3 2024 | $29.8 | $9.6 |
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Resources:
- SSR Mining Inc. (SSRM) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of SSR Mining Inc. (SSRM)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View SSR Mining Inc. (SSRM)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.