Education
About Us
Working with TipRanks
Follow Us
Galiano Gold Inc (TSE:GAU)
TSX:GAU
Top Page
Galiano Gold
(TSX:GAU)
Select Model
Select Model
Rating:61Neutral
Price Target:―
Galiano Gold's overall score reflects a mix of financial stability and valuation concerns. The company's strong balance sheet and recent revenue improvement are offset by pressures on profitability and cash flow. Technical indicators suggest a stable market position, but the high P/E ratio raises valuation concerns without significant earnings growth to justify it. Continued focus on improving profitability and cash flow is key to enhancing the stock's attractiveness.
Positive Factors
Negative Factors
Galiano Gold (GAU) vs. iShares MSCI Canada ETF (EWC)
Market Cap
$785.76M
Dividend YieldN/A
Average Volume (3M)984.74K
Price to Earnings (P/E)64.7
Beta (1Y)1.67
Revenue Growth196.74%
EPS Growth-165.78%
CountryCA
Employees386
SectorBasic Materials
Sector Strength58
IndustryGold
Share Statistics
EPS (TTM)0.11
Shares Outstanding258,474,760
10 Day Avg. Volume815,359
30 Day Avg. Volume984,736
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market Cap0.47
Enterprise Value/Revenue1.19
Enterprise Value/Gross Profit3.37
Enterprise Value/Ebitda7.87
Forecast
1Y Price Target
$3.49Price Target Upside15.43% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering3
Galiano Gold Business Overview & Revenue Model
Company DescriptionGaliano Gold Inc. engages in the exploration, development, and production of gold properties. The company's primary asset is the Asanko Gold Mine located in Ghana, West Africa. The company was formerly known as Asanko Gold Inc. and changed its name to Galiano Gold Inc. in May 2020. Galiano Gold Inc. was incorporated in 1999 and is headquartered in Vancouver, Canada.
How the Company Makes MoneyGaliano Gold generates revenue primarily through the sale of gold produced from its mining operations. The company's key revenue stream comes from its 50% interest in the Asanko Gold Mine, where gold is mined, processed, and sold in the global market. Additionally, Galiano benefits from its partnership with Gold Fields Limited, which provides operational efficiencies, shared resources, and technical expertise, contributing to the profitability and sustainability of the mining operations. The company also explores opportunities to expand its resource base and optimize production, thereby enhancing future earnings potential.
Galiano Gold Earnings Call Summary
Earnings Call Date:Aug 13, 2025
(Q2-2025)
| % Change Since: |
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Positive
The earnings call reflects a positive quarter for Galiano Gold, with significant improvements in gold production, safety, and financial performance. However, challenges remain with the impact of hedge book adjustments and higher AISC due to external factors. The company's efforts in exploration and infrastructure advancements signal strong prospects for future growth.Q2-2025 Updates
Positive Updates
Safety Improvements
The company reported a reduction in significant safety incidents with no lost time injuries and no total recordable incidents during the quarter. Lost time injury and total recordable injury frequency rates improved to 0.42 and 0.97, respectively, per million hours worked.
Increase in Gold Production
Gold production increased to over 30,000 ounces in Q2, a 46% increase from Q1, bringing year-to-date production to over 51,000 ounces.
Financial Performance and Cash Flow
The company generated $36 million in cash flow from operating activities, ending the period with $115 million in cash and no debt. Revenues were $97.3 million, and net income was $21.6 million.
Exploration Success at Abore
Positive results from deep step-out drilling at the Abore deposit with mineralization intercepted in all 4 holes, including a strong intercept of 36 meters at 2.5 grams per tonne.
Completion of Secondary Crusher
Commissioning of the secondary crusher commenced slightly ahead of schedule, expected to enhance throughput and processing capabilities.
Negative Updates
Impact of Fair Value Adjustments
Net earnings negatively affected by fair value adjustments to the hedge book following the run-up in gold prices.
Higher All-In Sustaining Costs (AISC)
AISC expected to trend towards the top end of production guidance, impacted by higher royalty costs and an appreciation of the local currency against the U.S. dollar.
Delays in Nkran Stripping
While Nkran stripping advanced ahead of schedule, there is a need to accelerate the process, requiring additional fleet mobilization.
Company Guidance
During the Galiano Gold, Inc. Second Quarter 2025 Financial Results Conference Call, the company provided several key metrics. Galiano Gold reported a gold production increase to just over 30,000 ounces in Q2, marking a 46% rise from Q1, with year-to-date production reaching over 51,000 ounces. Financially, the company recorded revenues of $97.3 million at an average realized price of $3,317 per ounce, generating $36 million in cash flow from operating activities, and ending the period with $115 million in cash and no debt. The all-in sustaining cash costs (AISC) were reduced by 10% during the quarter. The company also reported significant exploration success at the Abore deposit, with a notable mineralization intercept of 36 meters at 2.5 grams per tonne. Additionally, the secondary crusher project was completed slightly ahead of schedule, contributing to anticipated increased production in the latter part of the year.Galiano Gold Financial Statement Overview
Summary
Galiano Gold's financial performance shows stability with some growth potential. The income statement reflects recent revenue generation and efficient cost management, but profitability is under pressure. The balance sheet is strong with low leverage and high equity, providing stability. However, cash flow challenges persist, with negative free cash flow indicating pressures from capital expenditures.Income Statement
Galiano Gold's income statement shows a challenging revenue history, with the recent year being the first with significant total revenue. The TTM data reflects a gross profit margin of 33.66%, indicating efficient cost management for the revenue generated. However, the net profit margin stands at 2.64%, highlighting pressure on profitability despite positive net income. The absence of EBIT suggests operational challenges, while a positive EBITDA margin of 16.14% implies some operational efficiency.68
Positive
Balance Sheet
The company's balance sheet is relatively strong with a low debt-to-equity ratio of 0.16, indicating prudent leverage management. The equity ratio is solid at 48.66%, reflecting a strong equity base. Return on equity is modest at 2.51%, suggesting moderate profit generation from equity. Galiano Gold's stability is supported by substantial cash reserves, mitigating financial risk.75
Positive
Cash Flow
Operating cash flow has improved significantly, showing a positive change from previous periods. However, free cash flow remains negative, signaling challenges in generating surplus cash after capital expenditures. The operating cash flow to net income ratio of 9.11 indicates that cash flow generation is strong relative to net income, but the free cash flow to net income ratio is negative, pointing to capital expenditure pressures.55
Neutral
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 309.57M | 231.34M | 0.00 | 0.00 | 0.00 | 0.00 |
| Gross Profit | 109.03M | 77.88M | 0.00 | 0.00 | 0.00 | 0.00 |
| EBITDA | 46.65M | 37.35M | -17.15M | 40.60M | -60.19M | 57.80M |
| Net Income | -5.43M | 6.12M | 26.09M | 40.81M | -22.46M | -6.74M |
Balance Sheet | ||||||
| Total Assets | 560.14M | 500.35M | 213.30M | 179.89M | 136.20M | 203.59M |
| Cash, Cash Equivalents and Short-Term Investments | 117.76M | 105.78M | 55.27M | 56.11M | 53.52M | 62.15M |
| Total Debt | 44.59M | 38.87M | 203.00K | 314.00K | 419.00K | 515.00K |
| Total Liabilities | 317.64M | 252.58M | 12.38M | 6.20M | 3.43M | 4.71M |
| Stockholders Equity | 238.54M | 243.46M | 200.92M | 173.69M | 132.76M | 198.88M |
Cash Flow | ||||||
| Free Cash Flow | 4.57M | -11.15M | -3.67M | 1.78M | -14.44M | -6.48M |
| Operating Cash Flow | 99.96M | 55.75M | -3.63M | 1.78M | -12.94M | -6.40M |
| Investing Cash Flow | -93.68M | 5.79M | 2.86M | 1.03M | 3.91M | 37.93M |
| Financing Cash Flow | -16.68M | -10.60M | -108.00K | -130.00K | 441.00K | -520.00K |
Galiano Gold Technical Analysis
Neutral
3.02
Price Trends
2.67
Positive
2.29
Positive
2.03
Positive
Market Momentum
0.15
Positive
47.77
Neutral
33.86
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:GAU, the sentiment is Neutral. The current price of 3.02 is below the 20-day moving average (MA) of 3.30, above the 50-day MA of 2.67, and above the 200-day MA of 2.03, indicating a neutral trend. The MACD of 0.15 indicates Positive momentum. The RSI at 47.77 is Neutral, neither overbought nor oversold. The STOCH value of 33.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:GAU.
Galiano Gold Peers Comparison
Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
82 Outperform | 511.18M | 6.39 | 20.83% | ― | 41.30% | 340.97% | |
61 Neutral | $785.76M | 64.72 | -2.27% | ― | 196.74% | -165.78% | |
55 Neutral | 1.21B | -8.00 | -424.52% | ― | 7.16% | -134.37% | |
50 Neutral | 738.56M | -1,323.08 | ― | ― | ― | 97.41% | |
48 Neutral | 505.82M | -10.40 | 86.01% | ― | ― | -97.12% | |
47 Neutral | 701.22M | -14.59 | -14.07% | ― | 25.54% | 53.84% | |
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% |
* Basic Materials Sector Average
Performance Comparison
TSE:GAU
Galiano Gold
3.02
1.03
51.76%
TSE:ASE
Asante Gold
2.41
0.93
62.84%
TSE:LUM
Lumina Gold
1.26
0.70
125.00%
TSE:MND
Mandalay Resources
5.40
2.08
62.65%
TSE:RBX
Robex Resources
3.54
0.79
28.73%
TSE:RIO
Rio2
1.72
1.09
173.02%
Galiano Gold Corporate Events
Financial Disclosures
Galiano Gold to Announce Q1 2025 Results
Neutral
Apr 15, 2025
Galiano Gold Inc. announced it will release its first quarter 2025 financial and operational results on May 14, 2025, after market close. The company will host a conference call and webcast to review the results on May 15, 2025, providing stakeholders with insights into its performance and strategic direction.
Spark’s Take on TSE:GAU Stock
According to Spark, TipRanks’ AI Analyst, TSE:GAU is a Neutral.
Galiano Gold’s overall stock score of 64 reflects a balanced view of its current financial stability and growth prospects. The company’s strong balance sheet and strategic growth plans are positive, but profitability and valuation issues present challenges. Technical indicators suggest a neutral outlook, while the earnings call and corporate events highlight potential for future growth.
To see Spark’s full report on TSE:GAU stock, click here.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.