Jefferies, a respected investment firm, forecasts favorable future earnings from Evolution, an Australian gold miner, commencing in FY24 based on an expected rise in output, lucrative gold prices and a decrease in obligations.

Jefferies anticipates that Evolution’s debt-to-equity ratio, which stood at 34% at the end of FY23, will diminish to 24% by FY25.

They project a statutory net profit after tax (NPAT) for FY24 at A$528 million, and an increase to A$621 million in FY25.

On the other hand, Citi, maintaining a neutral stance with an estimation of A$3.60, has adjusted its FY24 earnings outlook due to a projected depreciation and amortisation estimate of A$730 per ounce.

Citi’s revised view of FY24 core net profit is reduced by 7.6% to A$463.3 million.

Evolution reported a nearly 50% decrease in its FY23 statutory NPAT to A$163.5 million.

Evolution’s ratings amongst 17 analysts show four rating as ‘buy’ or higher, seven designating a ‘hold’ and six marking a ‘sell’ or lower.

The median price target was cited as A$3.50 as per Refinitiv data.

So far this year, Evolution has seen an increase of 18.5% compared to an 8.5% rise in the ASX All Ordinaries Gold index.

Evolution (ASX:EVN) is an Australian gold mining enterprise.