The chart below shows how URG performed 10 days before and after its earnings report, based on data from the past quarters. Typically, URG sees a +0.35% change in stock price 10 days leading up to the earnings, and a +0.57% change 10 days following the report. On the earnings day itself, the stock moves by -0.33%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Production Surge: Production increased by 64% in Q2 2024, with 64,170 pounds drummed compared to 39,229 pounds in Q1 2024.
2024 Sales Projections: Sales for 2024 are projected at 570,000 pounds, with expected revenues of $33.1 million at an average price of $58 per pound sold.
Cash Position Improvement: Cash position improved to $61.3 million, up $1.6 million from December 2023, bolstered by $37.2 million from the exercise of warrants and stock options.
Cash Cost Reduction: The average cash cost per pound drummed decreased from $69 in Q1 to $48 in Q2, bringing the year-to-date average down to $56 per pound.
Equity Raise for Development: An equity raise in July 2024 grossed approximately $69 million, which will fund ramp-up at Lost Creek and support development at Shirley Basin.
Negative
Production Target Adjustment: Production guidance lowered, with only 109,000 pounds produced in the first half of 2024, necessitating a steep ramp-up to meet the low end of the full-year target of 550,000 pounds.
Rising Operational Costs: Cost per pound at the conversion facility increased significantly from $28 at the end of 2023 to $48 at the end of Q2 2024, indicating rising operational costs.
High Development Expenditure: Operating costs totaled $26 million in Q2 2024, with $21 million attributed to development costs, suggesting high expenditure without immediate returns.
Sales Target Concerns: Sales projections for 2024 are set at 570,000 pounds, but the company has only delivered 175,000 pounds so far, raising concerns about meeting targets.
Funding Needs and Instability: Despite a recent equity raise of $69 million, the company may still require additional funding for potential acquisitions, indicating financial instability.