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Highlights

  • WGX reported a 72% YoY increase in revenue and a 30% rise in gold sales in 1HFY25, driven by high gold prices and the Karora acquisition.
  • Despite higher sales, EBITDA declined by 6% YoY and the company posted a net loss of AUD 28 million, mainly due to one-time acquisition costs.
  • WGX has maintained its FY25 production guidance.

Westgold Resources Limited (ASX:WGX) is a gold explorer, developer, and miner operating primarily in Western Australia’s Murchison and Southern Goldfields regions. In its recent half-year results for the period ended 31 December 2024 (1HFY25), WGX reported a significant 72% YoY jump in revenue to AUD 624 million, supported by higher gold prices and the acquisition of Karora. Gold sales during the reported period climbed 30% YoY to 159,081 ounces. However, EBITDA dipped slightly by 6% YoY to AUD 140 million, and the company recorded a net loss of AUD 28 million, compared to a profit of AUD 44 million in 1HFY24. This loss was attributed mainly to one-off acquisition costs.

Recent business developments

WGX announced on 7 April 2025 that all conditions precedent for the Crown Prince Ore Purchase Agreement (OPA)—entered between its subsidiary Big Bell Gold Operations Pty Ltd (BBGO) and Zeus Mining Pty Ltd, a subsidiary of New Murchison Gold Limited (ASX:NMG)—have been fulfilled or waived, making the agreement fully effective.

On 2 April 2025, Mitsubishi UFJ Financial Group, Inc. emerged as a substantial shareholder with a 5.52% voting power as of 28 March 2025.

Outlook

Looking ahead, WGX has maintained its FY25 gold production guidance of 330,000 to 350,000 ounces, with 2HFY25 expectations ranging from 172,000 to 192,000 ounces at an AISC of AUD 2,400–2,600 per ounce. The company is actively pursuing operational efficiencies aimed at reducing costs and improving profitability through strategic improvements and cost management.

Additionally, WGX remains focused on production growth through acquisitions and expanded operations. Its commitment to long-term growth is evident through continued investment in exploration and key projects.

Share performance of WGX

WGX shares closed 3.38% higher at AUD 2.75 per share on 8 April 2025. Over the past year, WGX’s share price has risen by approximately 21.15%, with a 6-month gain of 10.88%. The stock’s 52-week high stands at AUD 3.36, recorded on 22 October 2024, while its 52-week low of AUD 2.03 was recorded on 11 April 2024.

Support and Resistance Summary

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

Note 2: The reference date for all price data, and currency, is 08 April 2025. The reference data in this report has been partly sourced from EODHD/Others.

 

Technical Indicators Defined:

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.