Almonty Logs First Profit, but Free Cash Flow Is Negative
Almonty Industries posted trailing EPS of $0.22 for the first time as Sangdong Mine in South Korea began production, pushing trailing revenue to roughly $90 million, up 497.7% year-over-year. Free cas
Sangdong Mine Goes Live as Almonty Logs First Profit
NEW YORK, August 15 —
Almonty Industries Inc. (ALM) logged its first positive trailing EPS as Sangdong Mine in South Korea started production. That milestone, already priced into two consecutive sessions of 8%-plus share gains, arrived with free cash flow still at negative $50 million on a trailing-twelve-month basis, the gap the mine's ramp must close before the 7.4x forward multiple earns its keep.
- Trailing revenue reached ~$90 million, up 497.7% year-over-year, as mines began contributing at scale.
- Operating cash flow turned positive at $27 million TTM; free cash flow remains negative $50 million.
- Trailing EPS turned positive at $0.22.
The Revenue Surge Has a Caveat
Almonty Industries mines, processes, and ships tungsten concentrates from projects across South Korea, Portugal, Spain, Canada, and the United States, making tungsten its only business. Sangdong, the South Korean mine, drove trailing-twelve-month revenue to roughly $90 million, a 497.7% jump year-over-year, and flipped trailing EPS to positive $0.22 for the first time in the company's recent history. The gross margin on that revenue is 49.8%.
Why Positive Operating Cash Isn't Enough
Operating cash flow turned positive at $27 million TTM. But capital expenditures consumed enough to push free cash flow to negative $50 million over the same period, meaning the mine's operational output is not yet self-funding its own completion and ramp. A 49.8% gross margin provides leverage if throughput scales, but the gap between operating and free cash flow is the variable a DCF calculator shows when projecting when the mine reaches free cash flow breakeven. The company holds $1.23 billion in cash against $0.81 billion in debt, a net cash position of roughly $420 million that provides runway for continued ramp spending.
| Ticker | Mkt cap | Fwd P/E | 52-wk |
|---|---|---|---|
| ALM | $4.3B | 13.6x | +222.4% |
| UAMY | $825M | n/a | +22.7% |
| NB | $744M | n/a | +16.9% |
| PPTA | $3.2B | n/a | +43.7% |
| CRML | $978M | n/a | +8.5% |
Free Cash Flow Is the Verdict
The forward P/E of 7.4x at $15.09 against a $25.26 consensus target prices in considerable progress on the cash conversion gap. Insider ownership at 22.7% and institutional holders at 45.6% suggest alignment on a longer timeline. But three of the last four quarters missed analyst consensus, a track record that gives more weight to the prior-period front-loading than to the production ramp's immediate contribution. Whether free cash flow moves toward breakeven in the next two to three quarters is the number that validates the ramp or reopens the funding question. Run the free Almonty Industries Inc. deep-dive for the current numbers.
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Frequently Asked Questions
Is Almonty Industries profitable?
Almonty Industries logged its first positive trailing EPS of $0.22 as Sangdong Mine began production. The most recent quarter contributed only $0.0048 to that figure, meaning earlier periods, not the period closest to Sangdong's production start, carried most of the annual profitability. Free cash flow remains negative $50 million on a trailing-twelve-month basis.
What is Sangdong Mine?
Sangdong is a tungsten mine in South Korea operated by Almonty Industries. Its production start drove trailing-twelve-month revenue to roughly $90 million, a 497.7% jump year-over-year, and flipped the company's trailing EPS to positive for the first time in its recent history.
Why is Almonty's free cash flow negative?
Capital expenditures consumed enough of operating cash flow to push free cash flow to negative $50 million over the trailing twelve months, even as operating cash flow turned positive at $27 million. The mine's operational output is not yet self-funding its own completion and ramp.
What is Almonty Industries' forward P/E ratio?
The forward P/E stands at 7.4x at a share price of $15.09, against a consensus analyst target of $25.26. Three of the last four quarters missed analyst consensus, a track record that gives more weight to the prior-period earnings front-loading than to the production ramp's immediate contribution.
What does Almonty Industries produce?
Almonty Industries mines, processes, and ships tungsten concentrates from projects across South Korea, Portugal, Spain, Canada, and the United States. Tungsten is the entirety of its commercial identity.
Almonty Industries' Sangdong tungsten mine in South Korea has started production, according to StocksToTrade coverage, providing the operational milestone investors have been pricing in across two consecutive sessions of sharp gains. The stock now trades at $15.09 against an analyst consensus target of $25.26, yet free cash flow remains negative $50 million on a trailing-twelve-month basis — the gap the mine's ramp must close.