Financial reports of Azergold CJSC outline on 2020. According to financial audits conducted by one of the world-famous PricewaterhouseCoopers audit companies (PWC), in comparison with 2019 in 2020, gold mining increased by 8.7%, silver mining – by 17.6%.
In the reporting year, $ 110.2 million were brought from the sale of gold and silver on international exchanges in the economy of Azerkiv, which is 27.9% ($ 24.04 million) more compared to 2019.
Along with this, a total profit, a margin of total profit, net profit, as well as EBITDA (profit before the deduction of interest, income tax and amortization of assets).
In comparison with 2019, the total profit of CJSC increased by 43,043,565 US dollars (141.3%), reaching 73,504,817 US dollars in 2020.
If in 2019 the margin of total profit, calculated by the ratio of total profit (the difference between sales revenues and the cost of sale) to sales revenues was 35%, then in 2020, this figure was 66.7%. Net profit of CJSC in comparison with 2019 grew by 35,763,615 US dollars (287.3%), reaching 48,209,778 US dollars in 2020.
If the CJSC completed 2019 with EBITDA in 43,876,416 US dollars, then in 2020 this figure increased by 57.6%, reaching 69,499,496 US dollars.
According to the results of financial reports, thanks to the effective assets management, the company received profits from existing resources at an optimal level. So, the indicator of the profitability of assets (ROA – RETURN ON ASSETS) has grown last year, reaching 34.5%. For comparison, we note that in 2019 the indicator for this index was 11%.
In 2019, the total capital of CJSC was $ 27,571,988, in 2020 this figure increased by 70,562,720 US dollars (255.9%), reaching $ 98,134,707.
Note that the growth of total capital has occurred at the expense of the net profit of the current year, and relies on an increase in the state of the authorized capital at $ 22,352,941 (in the amount of 38 million manat). At the end of 2020, the share capital of the Company amounted to $ 29,531,894.
In the reporting year, net income in the amount of 29.6 million manat was used in investment activities. CJSC, at its own expense, ensuring investment to implement gold projects, completely eliminated dependence on the state budget in this area.
Financing at the expense of the state budget is ensured only for the implementation of projects on iron ore, which are a new activity.