26th Jun 2025 14:48
(Alliance News) - Harvest Minerals Ltd on Thursday posted a wider pretax loss in 2024, but insisted this was largely "the result of macroeconomic issues and outside the control of the company".
The Perth-based producer of fertiliser operates primarily in Brazil's Minas Gerais region. Its pretax loss widened to AUD3.7 million, from a loss of AUD3.1 million in 2023.
Revenue from fertiliser sales declined to AUD2.6 million from AUD 3.1 million on-year. The company's sole source of revenue is the Arapua fertiliser production site.
"2024 continued in the same vein as 2023 and proved to be a challenging year for the company and its key project, Arapua," Harvest Minerals said.
"Following the record high global fertiliser prices seen in 2022, the company has now experienced 2 full years of substantially below expectation performance."
Harvest Minerals noted an estimated 55% increase in the cost of goods sold, which climbed to AUD2.6 million from AUD1.6 million over the course of the year.
The company also suffered an AUD956,317 negative impact from foreign currency translation, versus a positive impact of AUD799,427 in 2023.
Harvest Minerals said that its board had agreed to pause drawing remuneration in the third-quarter of 2024, until the financial situation improved, in an effort "to reduce the company's cash burn rate".
As of Thursday, performance has not yet improved enough, and the pause remains in place.
Back in March, the company renegotiated a GBP675,000 loan, securing a 12-month grace period and extended 36-month repayment schedule, and it noted on Thursday that similar arrangements with other lenders may be necessary.
Harvest Minerals maintained it will have the funds required to manage working capital "in the near and longer term".
Shares in Harvest Minerals remained flat at 0.35p on Thursday afternoon in London.
By Holly Munks, Alliance News reporter
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