Syrah Resources Limited (SYAAF) Q4 2024 Earnings Call Transcript

Syrah Resources Limited (OTCPK:SYAAF) Q4 2024 Earnings Conference Call January 29, 2025 7:00 PM ET

Company Participants

Shaun Verner – Managing Director and Chief Executive Officer
Stephen Wells – Chief Financial Officer

Conference Call Participants

Mark Fichera – Foster Stockbroking
Dim Ariyasinghe – UBS

Operator

Thank you for standing by and welcome to the Syrah Resources Q4 Quarterly Report Update. All participants are in a listen-only mode. [Operator Instructions].

I would now like to hand the conference over to Shaun Verner, Managing Director and CEO. Please go ahead.

Shaun Verner

Thank you for joining the call. With me this morning are Stephen Wells, our Chief Financial Officer; and Viren Hira, our GM of Business Development and Investor Relations. We will reference some of the slides released along with the report on today’s call.

The final quarter of 2024, saw both continuing EV industry growth, but significant uncertainties ahead of the global lithium-ion battery, anode material, and graphite markets. Chinese dominance of sales growth and EV penetration continued, but policy and commercial uncertainty in the major ex-China markets of the U.S. and Europe is evident, as measures being taken by both manufacturers and governments have major implications for the evolution of the industry.

The global markets for EVs and their input cell and processed material components, are being buffeted by a series of high-impact policy decisions, and commercial positioning across China, the U.S. and the EU. Syrah’s operating position was severely challenged in the final quarter with Balama impacted by ongoing protest disruption, and the Mozambique national election impacts, and Vidalia making progress towards qualification, but still incurring costs awaiting the completion of qualification processes and commercial sales.

Continued negative working capital was therefore evident. At the same time, however, major progress on funding support, was achieved with the disbursement under the DFC loan, and ongoing