Maverix Metals sees strong 2Q with 30% increase in revenue as its asset portfolio continues to deliver

Maverix Metals Inc (TSX:MMX) saw its total revenue increase to US$14.3 million during its second quarter as its royalty portfolio continued to improve. The 2Q figure was up from the $11 million it delivered in the same quarter in 2020, a 30.4% increase. The firm posted net income of US$3.7 million or $0.03 per share, also higher than the $3 million figure ($0.03 per share) it saw in the same period a year earlier. READ: Maverix Metals says it has acquired a portfolio of royalties from Pan American Silver Maverix said it had sold 7,880 gold equivalent ounces at an average cash cost of US$197 for a cash operating margin of 89% or US$1,619 per gold equivalent ounce. The strong quarter was buttressed by Maverix’s acquisition of six precious metals royalties from Pan American Silver at the end of June 2021. And signs indicate that the firm may have a lot of blue sky ahead, thanks to its royalty partners sharing good news from operations where Maverix holds an interest. Karora Resources Inc recently shared a growth plan for its Beta Hunt gold mine that includes a significant expansion of the operation. Maverix holds a 4.75% gold royalty and a 1.5% nickel royalty on the polymetallic property. READ: Stifel GMP repeats 'Buy' on Maverix Metals and lifts target price on back of Beta Hunt mine growth plan Further along the horizon, Montage Gold Corp revealed a preliminary economic assessment for its Koné project that outlined average annual gold production of 205,000 ounces over a 14-plus-year mine life. Maverix holds a 2% royalty on the project. Maverix CEO Dan O’Flaherty hailed a “strong second quarter” highlighted by the Pan American acquisition, which strengthens its asset base to a 121 precious metals royalties and streams. “We are well on track to achieve our 2021 guidance of 27,000 to 30,000 GEOs and look forward to continued growth as we remain debt free with the entire $120 million available under our credit facility, while also holding approximately $50 million in cash at the end of the quarter,” O’Flaherty said in a statement accompanying the results. “A number of assets where we hold a royalty interest have recently had significant positive developments and we are confident that we will continue to expand through organic growth and new acquisitions that will increase shareholder value." The company declared a quarterly cash dividend of $0.0125 per share that will be paid out around mid-September to shareholders of record at the end of August. Contact Angela at angela@proactiveinvestors.com Follow her on Twitter @AHarmantas