Red 5 revenue up 77pc

Revenue at goldminer Red 5 increased by 77 per cent in the first six months to December 31 2023 - from $159.8 million to $283.5 million - as the listed company moves closer towards its proposed merger with Silver Lake Resources, in June. 

Aside from this solid rise, the West Perth-based company also posted a net profit after tax of $29 million, after losing $28.5 million during the prior corresponding period. Red 5 said the transformation of fortunes was based around solid operational performances from both a gold production and sales standpoint.

This announcement comes a day after Silver Lake's positive start to the first half of 2024.

The company increased its revenue by 28 per cent, from $292.6 million to $374.4 million. It also recorded a net profit after tax of $49.7 million, after losing $14.8 million during the first half of the 2023 financial year. 

Earlier this month, Silver Lake and Red 5 announced that they were planning to merge, with the combined entity possessing a market cap of approximately $2.2 billion. The new company would also benefit from a unified portfolio of 445,000 ounces of gold per annum.

Both Silver Lake and Red 5 have also said they are likely to fulfil their respective annual production guidances for the 2024 financial year. 

Red 5 closed trade at 30 cents per share, up 2 per cent.