Hoping to see some green tomorrow! Largo Q1 2023 Results: Guidance Adjusted, Key Catalysts Intact https://capital10x.com/largo-q1-2023-results/
Excerpt
The Rest of 2023 Will See Dramatic Operational Improvements
Largo has been warning for months that the first quarter would see lower production than the first half of 2022 due to record flooding and a mining contractor switch.
However even with these transitory challenges, the company was still able to produce close to the top of its guidance range and handily beat expectations on vanadium sales volumes.
With today’s market selloff we think the market is clearly ignoring the operational improvements the company will see from here on out.
Important operational turnarounds we noticed in the quarter:
Largo mined 13% more ore year over year and 5% more than the prior quarter showing operations are already rebounding from record rainfall and contractor issues in 2022.
High purity production sold into higher margin markets like aerospace were 49% of total production in the quarter. Higher margin products made up 70% of revenue in the quarter vs 52% last year and will contribute to better margins in the future, especially as production rebounds.