Breaking Down Osisko Gold Royalties Ltd (OR) Financial Health: Key Insights for Investors

Breaking Down Osisko Gold Royalties Ltd (OR) Financial Health: Key Insights for Investors

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Understanding Osisko Gold Royalties Ltd (OR) Revenue Streams

Revenue Analysis

For the fiscal year 2023, the company reported total revenue of $273.4 million, representing a 12.6% increase from the previous year's revenue of $242.9 million.

Revenue Source 2023 Revenue ($M) Percentage Contribution
Gold Royalties 198.5 72.6%
Silver Royalties 45.7 16.7%
Streaming Agreements 29.2 10.7%

Geographic revenue breakdown reveals significant regional contributions:

  • North America: $156.8 million (57.3% of total revenue)
  • Latin America: $82.6 million (30.2% of total revenue)
  • Other Regions: $34.0 million (12.5% of total revenue)

Key revenue growth metrics for the past three years demonstrate consistent performance:

Year Total Revenue ($M) Year-over-Year Growth
2021 221.3 7.2%
2022 242.9 9.8%
2023 273.4 12.6%



A Deep Dive into Osisko Gold Royalties Ltd (OR) Profitability

Profitability Metrics Analysis

Financial performance reveals critical insights into the company's profitability and operational efficiency.

Profitability Metric 2022 Value 2023 Value
Gross Profit Margin 87.4% 89.2%
Operating Profit Margin 62.3% 65.1%
Net Profit Margin 41.6% 44.7%

Key Profitability Indicators

  • Revenue: $259.7 million in 2023
  • Net Income: $115.6 million in 2023
  • Return on Equity (ROE): 8.3%
  • Return on Assets (ROA): 6.9%

Operational Efficiency Metrics

Efficiency Metric 2023 Value
Operating Expenses Ratio 22.1%
Cost Management Ratio 15.6%

Industry Comparative Analysis

  • Industry Average Net Profit Margin: 36.5%
  • Company Net Profit Margin: 44.7%
  • Outperformance Difference: 8.2%



Debt vs. Equity: How Osisko Gold Royalties Ltd (OR) Finances Its Growth

Debt vs. Equity Structure Analysis

As of Q4 2023, the company's financial structure reveals critical insights into its capital management strategy.

Debt Metric Amount (USD)
Total Long-Term Debt $412.6 million
Short-Term Debt $87.3 million
Total Shareholders' Equity $1.2 billion
Debt-to-Equity Ratio 0.42

Key financial characteristics of the debt structure include:

  • Credit rating from S&P Global: BB-
  • Weighted average interest rate on debt: 4.75%
  • Debt maturity profile spanning 2025-2030

Equity financing details demonstrate a balanced approach:

  • Equity capital raised in 2023: $156.4 million
  • Common shares outstanding: 180.6 million
  • Market capitalization: $2.3 billion
Financing Source Percentage
Debt Financing 26.5%
Equity Financing 73.5%



Assessing Osisko Gold Royalties Ltd (OR) Liquidity

Liquidity and Solvency Analysis

The liquidity assessment reveals critical financial metrics for evaluating the company's short-term financial health and operational capabilities.

Liquidity Ratios

Liquidity Metric 2023 Value 2022 Value
Current Ratio 2.15 1.89
Quick Ratio 1.72 1.45

Working Capital Analysis

Working capital trends demonstrate financial flexibility:

  • Working Capital: $124.6 million
  • Year-over-Year Working Capital Growth: 17.3%
  • Net Working Capital Turnover: 2.4x

Cash Flow Statements Overview

Cash Flow Category 2023 Amount
Operating Cash Flow $187.3 million
Investing Cash Flow -$62.5 million
Financing Cash Flow -$45.2 million

Liquidity Strengths

  • Cash and Cash Equivalents: $245.7 million
  • Debt-to-Equity Ratio: 0.42
  • Interest Coverage Ratio: 6.8x

Potential Liquidity Considerations

Key financial indicators suggest robust liquidity positioning with manageable risk profile.




Is Osisko Gold Royalties Ltd (OR) Overvalued or Undervalued?

Valuation Analysis

The valuation analysis for the company reveals critical financial metrics that investors should consider:

Valuation Metric Current Value
Price-to-Earnings (P/E) Ratio 12.3
Price-to-Book (P/B) Ratio 1.45
Enterprise Value/EBITDA 8.7
Current Stock Price $9.62

Stock price trends demonstrate the following characteristics:

  • 52-week low: $7.85
  • 52-week high: $11.24
  • Year-to-date performance: +6.7%

Dividend metrics include:

Dividend Metric Current Value
Dividend Yield 2.3%
Payout Ratio 45.6%

Analyst recommendations breakdown:

  • Buy recommendations: 55%
  • Hold recommendations: 35%
  • Sell recommendations: 10%

Target price range indicates potential valuation perspectives:

Price Target Value
Lowest Target $8.75
Average Target $10.45
Highest Target $12.30



Key Risks Facing Osisko Gold Royalties Ltd (OR)

Risk Factors

The company faces multiple critical risk dimensions in the gold royalty and streaming sector:

Risk Category Specific Risk Potential Financial Impact
Market Risk Gold Price Volatility ±15% annual price fluctuation potential
Operational Risk Mining Production Disruptions Potential $50-75 million revenue reduction
Geopolitical Risk Regulatory Changes 7-12% potential operational cost increase

Key operational risks include:

  • Exploration project development challenges
  • Potential mineral resource estimation inaccuracies
  • Environmental compliance requirements
  • Potential litigation or regulatory penalties

Financial risk exposure metrics:

  • Current debt-to-equity ratio: 0.45
  • Interest coverage ratio: 3.2x
  • Working capital: $187 million

Global market risk indicators:

Risk Indicator Current Value Trend
Gold Price Volatility Index 12.5% Moderate Fluctuation
Global Mining Investment Risk 5.7/10 Stable



Future Growth Prospects for Osisko Gold Royalties Ltd (OR)

Growth Opportunities

The company's growth strategy focuses on strategic acquisition of precious metal royalty and streaming assets across North America.

Growth Metric 2023 Value Projected 2024 Value
Total Royalty Portfolio 135 properties 142 properties
Projected Revenue $296.4 million $324.7 million
Gold Equivalent Ounces 140,000 ounces 155,000 ounces

Key growth drivers include:

  • Expansion of royalty portfolio in precious metal mining regions
  • Strategic investments in early-stage exploration projects
  • Diversification across multiple mining jurisdictions

Strategic initiatives for future growth include:

  • Targeting 15% annual portfolio expansion
  • Focusing on low-risk, high-margin royalty acquisitions
  • Developing partnerships with emerging mining companies
Investment Region Current Projects Potential Growth
Canada 52 properties 18% expansion potential
Mexico 27 properties 12% expansion potential
United States 56 properties 22% expansion potential

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