Yellow Cake PLC Reports Impressive Annual Financial Results for March 2024

On 19 July 2024, Yellow Cake PLC released its annual results for the fiscal year ending 31 March 2024. The company highlighted a notable increase in uranium prices, with spot U3O8 prices peaking at a 16-year high of USD 107/lb in February before closing at USD 87.00/lb by the fiscal year-end. This marks a 72% rise from the previous year's close of USD 50.65/lb.

The value of Yellow Cake's uranium holdings surged by 84% to USD 1.753 billion, reflecting a net increase in uranium volumes and appreciation of the commodity's price. The company also successfully raised approximately USD 125 million through a share placement in October 2023, allowing the acquisition of additional U3O8.

Yellow Cake ended the financial year with holdings of 20.16 million lb of U3O8 and further boosted its inventory to 21.68 million lb by mid-July. The net asset value stood at USD 1.883 billion, with a profit after tax of USD 727 million, compared to a loss of USD 102.9 million the previous year.

CEO Andre Liebenberg expressed confidence in the company's strategy and outlook. The sustained rise in uranium prices is attributed to increased demand driven by the global expansion of nuclear reactors and years of underinvestment in uranium supply. The company remains optimistic about continuing to deliver value for its shareholders.

The Board of Directors emphasized the company's commitment to responsible business practices and good governance, aligning with the principles of the UK Corporate Governance Code 2018. The outlook for uranium continues to appear strong amid ongoing market fundamentals and macroeconomic factors.