Mako Mining Reports Fourth Quarter and Full Year 2023 Financial Results, Including Q4 EPS of US$0.145 /share and Q4 Gold Sales of 13,481 Oz at $817/oz AISC
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595 Burrard Street, Suite 2833
Vancouver, BC V7X 1K8
Tel: (604) 646-1580
www.makominingcorp.com
TSX-V: MKO | OTCQX: MAKOF
Suite 700 - 838 West Hastings St.
Vancouver, BC - V6C 0A6
IR: (647) 203-8793
www.makominingcorp.com
TSX-V: MKO | OTCQX: MAKOF
April 11th, 2024
TSX-V: MKO; OTCQX: MAKOF
Mako Mining Reports Fourth Quarter and Full Year 2023 Financial Results, Including Q4
EPS of US$0.145 /share and Q4 Gold Sales of 13,481 Oz at $817/oz AISC
VANCOUVER, BC Mako Mining Corp. (TSX-V: MKO; OTCQX: MAKOF) (“Mako” or the “Company”) is
pleased to provide financial results for the three months ended December 31st, 2023 (“Q4 2023”) and the
3rd full year of financial results since declaring commercial production on July 1 st, 2021 at its San Albino
gold mine (“ San Albino”) in northern Nicaragua . All dollar amounts referred to herein are expressed in
United States dollars unless otherwise stated.
The Company’s financial results for Q4 2023 reflect record gold sales of US$26.5 million, which generated
US$16.8 million in Mine Operating Cash Flow (1) (3), and US$9.5 million in Net Income. Revenues, Adjusted
EBITDA (1) and Mine Operating Cash Flow (1) (3) were all at record levels. The Company reported US$0.145
in earnings per share (EPS) during the quarter, while selling 13,481 oz of gold at $817 All-In Sustaining
Cost (“AISC”) ($/oz sold (1) (2)).
Q4 2023 Highlights
Financial
• $26.5 million in Revenue
• $15.3 million in Adjusted EBITDA (1)
• $16.8 million in Mine Operating Cash Flow (“Mine OCF”) (1) (3)
• $9.5 million Net Income
• $695 Cash Costs ($/oz sold) (1) (2)
• $817 All-In Sustaining Costs (“AISC”) ($/oz sold) (1) (2)
• Debt Repayment of $6.9 million
(1) Refers to a Non -GAAP financial measure within the meaning of National Instrument 52 -112 – Non-GAAP and Other Financial Measures Disclosure (“ NI
52-112”). Refer to information under the heading “Non-GAAP Measures” as well as the reconciliations later in this press release.
(2) Refers to a Non-GAAP ratio within the meaning of NI-52-112. Refer to information under the heading “Non -GAAP Measures” later in this press release.
(3) Refer to “Chart 1 – Q4 2023 - Mine OCF Calculation and Cash Reconciliation (in $ millions)” for a reconciliation of the beginning and ending cash position
of the Company, including OCF.
Growth
• $1.0 million in exploration and evaluation expenses ($0.2 million in areas surrounding San Albino
and approximately $0.8 million at Las Conchitas).
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Akiba Leisman, Chief Executive Officer, states that “Q4 2023 was a record quarter on every significant
financial and operating metric, including a record for gold ounces recovered, gold ounces sold, Adjusted
EBITDA, Mine OCF and Net Income, with record low Cash Costs and AISC. The cash flow coming from
the mine is enabling us to invest in exploration while we strengthen our balance sheet in anticipation of the
announced acquisition of Goldsource Mines later this quarter.”
Table 1 – Revenue
(1) Realized price before deductions from Sailfish streaming agreement
Table 2 – Operating and Financial Data
(1) Refers to a Non -GAAP financial measure within the meaning of NI 52 -112). Refer to information under the heading “Non -GAAP Measures” as well as the
reconciliations later in this press release.
(2) Refers to a Non-GAAP ratio within the meaning of NI-52-112. Refer to information under the heading “Non -GAAP Measures” later in this press release.
(3) Realized price before deductions from Sailfish gold streaming agreement.
(in $000s) 3 months ended 12 months ended
Dec 31, 2023 Dec 31, 2022 Change Dec 31, 2023 Dec 31, 2022 Change
Revenue 26,471 16,087 10,384 65,948 63,375 2,573
Gold sold (oz) 13,481 9,956 3,525 34,696 36,890 (2,194)
Average realized gold price ($/oz) (1) 1,974 1,726 248 1,945 1,796 149
Tonnes mined 1,247,561
Tonnes milled 51,745
Availability 96%
Avg. tonnes per day 585
Gold sold (oz) 13,481
Avg. realized gold price ($/oz sold)(3) $1,974
Cash Costs ($/oz sold) (1)(2) $695
AISC ($/oz sold) (1)(2) $817
Revenues (in $000's) $26,471
EBITDA (in $000's) (1) $14,034
Adjusted EBITDA (in $000's) (1) $15,300
Q4 2023
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Table 3 – EBITDA Reconciliation
(1) Refers to a Non -GAAP financial measure within the meaning of NI 52-112. Refer to information under the heading “Non -GAAP Measures” later in this press
release.
Chart 1
Q4 2023 - Mine OCF Calculation and Cash Reconciliation (in $ millions)
(in $000's)
Dec 31, 2023 Dec 31, 2022 Dec 31, 2023 Dec 31, 2022
EBITDA (1) $14,034 $3,381 $23,756 $12,847
Share-based compensation (recovery) expense 256 154 651 544
Exploration activities 987 3,051 4,356 11,517
Write-down of Inventories 0 1,431 1,169 2,200
Change in provision for reclamation and rehabilitation 23 (203) 31 (185)
Adjusted EBITDA (1) $15,300 $7,814 $29,963 $26,923
3 months ended 12 months ended
Mine OCF Calculation Q4 2023
Net cash from Operating Activities 9.6
Add back
Change in Non-cash WC -4.7
Cash from Operating Activities 14.3
Add back
Exploration Expense -1.0
Nicaraguan Taxes & Royalties -1.5
Mine Operating Cash Flow (Mine OCF) 16.8
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Chart 2
2023 - Mine OCF Calculation and Cash Reconciliation (in $ millions)
(1) Refers to Non-GAAP financial measure within the meaning of NI 52-112. Refer to information under the heading “Non-GAAP Measures” later in this press release.
(2) Includes all expenses incurred to sustain operations. Excludes Nicaraguan Taxes and Royalties, changes in Non -cash Working Capital, and Exploration
expenses.
For complete details, please refer to the financial statements and the associated management discussion
and analysis for the twelve months ended December 31st, 2023, available on SEDAR (www.sedar.com) or
on the Company’s website (www.makominingcorp.com).
Non-GAAP Measures
The Company has included certain non-GAAP financial measures and non-GAAP ratios in this press
release such as EBITDA, Adjusted EBITDA, Mine Operating Cash Flow cash cost per ounce sold, total
cash cost per ounce sold, AISC per ounce sold. These non-GAAP measures are intended to provide
additional information and should not be considered in isolation or as a substitute for measures of
performance prepared in accordance with IFRS. In the gold mining industry, th ese are commonly used
performance measures and ratios, but do not have any standardized meaning prescribed under IFRS and
therefore may not be comparable to other issuers. The Company believes that, in addition to conventional
Mine OCF Calculation 2023
Net cash from Operating Activities 12.5
Add back
Change in Non-cash WC -12.4
Cash from Operating Activities 24.9
Add back
Exploration Expense -4.4
Nicaraguan Taxes & Royalties -4.8
Mine Operating Cash Flow (Mine OCF) 34.0
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measures prepared in accordance with IFRS, certain investors use this information to evaluate the
Company’s underlying performance of its core operations and its ability to generate cash flow.
"EBITDA” represents earnings before interest (including non -cash accretion of financial obligation and
lease obligations), income taxes and depreciation, depletion and amortization.
“Adjusted EBITDA ” represents EBITDA, adjusted to exclude exploration activities, share -based
compensation and change in provision for reclamation and rehabilitation.
“Cash costs per ounce sold” is calculated by deducting revenues from silver sales and dividing the sum
of mining, milling and mine site administration cost.
“Total cash costs per ounce sold” is calculated by deducting revenues from silver sales from production
cash costs and production taxes and royalties and dividing the sum by the number of gold ounces sold .
Production cash costs include mining, milling, mine site security and mine site administration costs.
“AISC per ounce sold” includes total cash costs (as defined above) and adds the sum of G&A, sustaining
capital and certain exploration and evaluation (“ E&E”) costs, sustaining lease payments, provision for
environmental fees, if applicable, and rehabilitation costs paid, all divided by the number of ounces sold.
As this measure seeks to reflect the full cost of gold production from current operations, capit al and E&E
costs related to expansion or growth projects are not included in the calculation of AISC per ounce .
Additionally, certain other cash expenditures, including income and other tax payments, financing costs
and debt repayments, are not included in AISC per ounce.
“Mine OCF” represents operating cash flow, excluding Nicaraguan taxes and royalties, changes in non -
cash working capital and exploration expenses.
On behalf of the Board,
Akiba Leisman
Chief Executive Officer
About Mako
Mako Mining Corp. is a publicly listed gold mining, development and exploration company. The Company
operates the high-grade San Albino gold mine in Nueva Segovia, Nicaragua, which ranks as one of the
highest-grade open pit gold mines globally . Mako’s primary objective is to operate San Albino profitably
and fund exploration of prospective targets on its district-scale land package.
For further information: Mako Mining Corp., Akiba Leisman, Chief Executive Officer, Telephone: 917-558-
5289, E -mail: [email protected] or visit our website at www.makominingcorp.com and
SEDAR www.sedar.com.
Forward-Looking Information: Some of the statements contained herein may be considered “forward -looking
information” within the meaning of applicable securities laws. Forward-looking information can be identified by words
such as, without limitation, “estimate", "project", "believe", "anticipate", "intend", "expect", "plan", "predict", "may" or
"should" or variations thereon or comparable terminology. The forward -looking information contained herein reflects
the Company’s current beliefs and expectations, based on management’s reasonable assumptions, and includes,
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without limitation, that the Company expects record gold ounces recovered, gold ounces sold, Adjusted EBITDA,
Mine OCF and Net Income, with record low Cash Costs, Total Cash Costs and AISC in Q4; rapidly repaying debt
while the Company aggressively repurchases shares through its newly instituted NCIB; Mako’s primary objective to
operate San Albino profitably and fund exploration of prospective targets on its district -scale land package , the
anticipated acquisition of Goldsource Mines by the end of Q1 2024. Such forward-looking information is subject to a
variety of risks and uncertainties which cou ld cause actual events or results to differ materially from those reflected
in the forward -looking information, including, without limitation, changes in the Company’s exploration and
development plans and growth parameters and its ability to fund its grow th to reach its expected new record
production numbers ; unanticipated costs; the October 24 measures having impacts on business operations not
current expected, or new sanctions being imposed by the U.S. Treasury Department or other government entity in
Nicaragua in the future; and other risks and uncertainties as disclosed in the Company’s public disclosure filings on
SEDAR at www.sedar.com. Such information contained herein represents management’s best judgment as of the
date hereof, based on information currently available and is included for the purposes of providing investors with
information regarding the Company’s Q4 2023 financial results and may not be appropriate for other purposes. Mako
does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.