ADRIATIC METALS PLC (ADT)
Share Price Analysis and Chart

15/05/2025

1

Add

$4.50

-9.27%

Morgans notes Adriatic Metals generated US$2m in free cash flow in 1Q25 despite lower production due to weather issues and milling at only 33% of nameplate. Liquidity management is the company's key strength as it enjoys support from clients, lenders, and the share market.

The broker expects internal cash flow to be sufficient to cover debt amortisaion and expects cash to fall below US$60m in 2Q25 before increasing from the September quarter.

Target price cut to $4.50 from $5.30 on equity dilution and slower than expected ramp up trajectory. Add maintained.

FORECAST
Morgans forecasts a full year FY25 dividend of 0.00 cents and EPS of 40.04 cents.
Morgans forecasts a full year FY26 dividend of 0.00 cents and EPS of 61.59 cents.

06/05/2025

1

Speculative Buy

$4.55

-8.27%

Canaccord Genuity notes the ramp-up at Adriatic Metals' Vares silver mine in Bosnia was impacted by weather conditions and tailings challenges, but q/q progress was made in mill production.

Further improvement was seen in April with 35kt milled, and the broker believes the company is on track to meet the 50kt/month target in the June quarter for commercial production.

Revenue of US$34m was better than the broker's forecast, resulting in a 1% lift to FY25-26 EBITDA forecasts.

Target price rises to $4.55 from $4.50. Speculative Buy retained.

FORECAST
Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 26.18 cents.
Canaccord Genuity forecasts a full year FY26 dividend of 0.00 cents and EPS of 52.36 cents.