ORA BANDA MINING LIMITED (OBM)
Share Price Analysis and Chart

27/08/2025

1

Outperform

$0.95

11.76%

Ora Banda Mining's FY25 profit was boosted by a $73m income tax benefit while underlying earnings were in line with Macquarie. As expected, no dividend was declared.

Ora Banda reported a net cash position of $44m which was -$14m below Macquarie's estimate due to a build in lease liability balances.

There was no change to FY26 guidance for production, costs growth capex and exploration spend. Target rises to 95c from 90c, Outperform retained.

FORECAST
Macquarie forecasts a full year FY26 dividend of 0.00 cents and EPS of 5.80 cents.
Macquarie forecasts a full year FY27 dividend of 0.00 cents and EPS of 4.20 cents.

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31/07/2025

1

Speculative Buy

$1.05

23.53%

Ora Banda Mining has posted a softer-than-expected June quarter, with gold production coming in at 21.9ko, below its 24.5koz guidance, due to slower mill ramp-up and mining delays at Riverina Underground.

Canaccord Genuity notes all-in sustaining costs (AISCs) surged 45% quarter-on-quarter to $3,583/oz, driven by lower production volumes, third-party processing costs, and higher mining expenses at Sand King.

FY25 output reached 92.4koz, missing revised guidance, while the company remains unhedged and fully exposed to prevailing spot gold prices of $5,085/oz.

Despite the quarterly setbacks, the analysts maintain a Speculative Buy rating and reaffirm the $1.05 price target, noting the company's robust balance sheet; $84m in cash and an undrawn $50m facility.

The next leg of Ora Banda Mining's growth story, the report states, hinges on operational delivery from both core assets and aggressive exploration, which aims to extend mine life at Riverina and Sand King while advancing greenfield targets like Waihi and Little Gem.

FORECAST
Canaccord Genuity forecasts a full year FY26 dividend of 0.00 cents and EPS of 11.00 cents.