ROYAL GOLD INC, 10-K filed on 8/9/2018
Annual Report
v3.10.0.1
Document and Entity Information - USD ($)
12 Months Ended
Jun. 30, 2018
Aug. 01, 2018
Dec. 31, 2017
Document and Entity Information      
Entity Registrant Name ROYAL GOLD INC    
Entity Central Index Key 0000085535    
Document Type 10-K    
Document Period End Date Jun. 30, 2018    
Amendment Flag false    
Current Fiscal Year End Date --06-30    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Filer Category Large Accelerated Filer    
Entity Public Float     $ 5,335,748,560
Entity Shares Outstanding   65,505,110  
Document Fiscal Year Focus 2018    
Document Fiscal Period Focus FY    
v3.10.0.1
Consolidated Balance Sheets - USD ($)
$ in Thousands
Jun. 30, 2018
Jun. 30, 2017
ASSETS    
Cash and equivalents $ 88,750 $ 85,847
Royalty receivables 26,356 26,886
Income tax receivable 40 22,169
Stream inventory 9,311 7,883
Prepaid expenses and other 1,350 822
Total current assets 125,807 143,607
Stream and royalty interests, net (Note 4) 2,501,117 2,892,256
Other assets 55,092 58,202
Total assets 2,682,016 3,094,065
LIABILITIES    
Accounts payable 9,090 3,908
Dividends payable 16,375 15,682
Income tax payable 18,253 5,651
Withholding taxes payable 3,254 3,425
Other current liabilities 4,411 5,617
Total current liabilities 51,383 34,283
Debt (Note 5) 351,027 586,170
Deferred tax liabilities 91,147 121,330
Uncertain tax positions 33,394 25,627
Other long-term liabilities 13,796 6,391
Total liabilities 540,747 773,801
Commitments and contingencies (Note 10)
EQUITY    
Preferred stock, $.01 par value, 10,000,000 shares authorized; and 0 shares issued
Common stock, $.01 par value, 200,000,000 shares authorized; and 65,360,041 and 65,179,527 shares outstanding, respectively 654 652
Additional paid-in capital 2,192,612 2,185,796
Accumulated other comprehensive (loss) income (1,201) 879
Accumulated (losses) earnings (89,898) 88,050
Total Royal Gold stockholders’ equity 2,102,167 2,275,377
Non-controlling interests 39,102 44,887
Total equity 2,141,269 2,320,264
Total liabilities and equity $ 2,682,016 $ 3,094,065
v3.10.0.1
Consolidated Balance Sheets (Parenthetical) - $ / shares
Jun. 30, 2018
Jun. 30, 2017
Consolidated Balance Sheets    
Preferred stock, par value (in dollars per share) $ 0.01 $ 0.01
Preferred stock, shares authorized 10,000,000 10,000,000
Preferred stock, shares issued 0 0
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized 200,000,000 200,000,000
Common stock, shares outstanding 65,360,041 65,179,527
v3.10.0.1
Consolidated Statements of Operations and Comprehensive (Loss) Income - USD ($)
$ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Consolidated Statements of Operations and Comprehensive (Loss) Income      
Revenue $ 459,042 $ 440,814 $ 359,790
Costs and expenses      
Cost of sales 83,839 87,265 70,979
General and administrative 35,464 33,350 31,720
Production taxes 2,268 1,760 3,978
Exploration costs 8,946 12,861 8,601
Depreciation, depletion and amortization 163,696 159,636 141,108
Impairment of stream and royalty interests and royalty receivables 239,364   98,588
Total costs and expenses 533,577 294,872 354,974
Operating (loss) income (74,535) 145,942 4,816
Gain on available-for-sale securities     2,340
Interest and other income 4,170 9,302 3,711
Interest and other expense (34,214) (36,378) (32,625)
(Loss) income before income taxes (104,579) 118,866 (21,758)
Income tax expense (14,772) (26,441) (60,680)
Net (loss) income (119,351) 92,425 (82,438)
Net loss attributable to non-controlling interests 6,217 9,105 5,289
Net (loss) income attributable to Royal Gold common stockholders (113,134) 101,530 (77,149)
Net (loss) income (119,351) 92,425 (82,438)
Adjustments to comprehensive (loss) income, net of tax      
Unrealized change in market value of available-for-sale securities (2,080) 879 5,632
Reclassification adjustment for gains included in net income     (2,340)
Comprehensive (loss) income (121,431) 93,304 (79,146)
Comprehensive loss attributable to non-controlling interests 6,217 9,105 5,289
Comprehensive (loss) income attributable to Royal Gold stockholders $ (115,214) $ 102,409 $ (73,857)
Net (loss) income per share available to Royal Gold common stockholders:      
Basic (loss) earnings per share (in dollars per share) $ (1.73) $ 1.55 $ (1.18)
Basic weighted average shares outstanding (in shares) 65,291,855 65,152,782 65,074,455
Diluted (loss) earnings per share (in dollars per share) $ (1.73) $ 1.55 $ (1.18)
Diluted weighted average shares outstanding (in shares) 65,291,855 65,277,953 65,074,455
Cash dividends declared per common share (in dollars per share) $ 0.99 $ 0.95 $ 0.91
v3.10.0.1
Consolidated Statements of Changes in Equity - USD ($)
$ in Thousands
Common Shares
Additional Paid-In Capital
Accumulated Other Comprehensive Income (Loss)
Accumulated (Losses) Earnings
Noncontrolling Interests
Total
Balance at Jun. 30, 2015 $ 650 $ 2,170,643 $ (3,292) $ 185,121 $ 62,805 $ 2,415,927
Balance (in shares) at Jun. 30, 2015 65,033,547          
Increase (Decrease) in Stockholders' Equity            
Stock-based compensation and related share issuances $ 1 9,138       9,139
Stock-based compensation and related share issuances (in shares) 60,403          
Net income (loss)       (77,149) (5,289) (82,438)
Other comprehensive income (loss)     3,292     3,292
Distributions to non-controlling interests         (647) (647)
Dividends declared       (59,388)   (59,388)
Balance at Jun. 30, 2016 $ 651 2,179,781   48,584 56,869 2,285,885
Balance (in shares) at Jun. 30, 2016 65,093,950          
Increase (Decrease) in Stockholders' Equity            
Stock-based compensation and related share issuances $ 1 8,533       8,534
Stock-based compensation and related share issuances (in shares) 85,577          
Non-controlling interest assignment   (2,518)       (2,518)
Net income (loss)       101,530 (9,105) 92,425
Other comprehensive income (loss)     879     879
Distributions to non-controlling interests         (2,877) (2,877)
Dividends declared       (62,064)   (62,064)
Balance at Jun. 30, 2017 $ 652 2,185,796 879 88,050 44,887 2,320,264
Balance (in shares) at Jun. 30, 2017 65,179,527          
Increase (Decrease) in Stockholders' Equity            
Stock-based compensation and related share issuances $ 2 4,236       4,238
Stock-based compensation and related share issuances (in shares) 180,514          
Contributions from non-controlling interests   2,580     432 3,012
Net income (loss)       (113,134) (6,217) (119,351)
Other comprehensive income (loss)     (2,080)     (2,080)
Dividends declared       (64,814)   (64,814)
Balance at Jun. 30, 2018 $ 654 $ 2,192,612 $ (1,201) $ (89,898) $ 39,102 $ 2,141,269
Balance (in shares) at Jun. 30, 2018 65,360,041          
v3.10.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Cash flows from operating activities:      
Net (loss) income $ (119,351) $ 92,425 $ (82,438)
Adjustments to reconcile net (loss) income to net cash provided by operating activities:      
Depreciation, depletion and amortization 163,696 159,636 141,108
Amortization of debt discount and issuance costs 15,046 13,825 12,985
Non-cash employee stock compensation expense 8,279 9,983 10,039
Impairment of stream and royalty interests 239,364   98,588
Gain on available-for-sale securities     (2,340)
Deferred tax benefit (32,843) 1,556 (4,983)
Other (197) (4,874) (390)
Changes in assets and liabilities:      
Royalty receivables 530 (6,883) 19,508
Stream inventory (1,428) 1,606 (7,203)
Income tax receivable 22,130 (13,056) (14,637)
Prepaid expenses and other assets 2,813 (1,691) (153)
Accounts payable 5,173 (206) (849)
Income tax payable 12,601 2,475 460
Withholding taxes payable (171) 1,411 (2,486)
Uncertain tax positions 7,767 8,631 1,867
Other liabilities 5,415 2,015 235
Net cash provided by operating activities 328,824 266,853 169,311
Cash flows from investing activities:      
Acquisition of stream and royalty interests (11,812) (203,721) (1,346,109)
Repayment of Golden Star term loan 20,000    
Purchase of available-for-sale securities (17,869)    
Andacollo royalty termination     345,000
Golden Star term loan     (20,000)
Sale of available-for-sale securities     11,905
Other (909) 3,605 (309)
Net cash used in investing activities (10,590) (200,116) (1,009,513)
Cash flows from financing activities:      
Repayment of revolving credit facility (250,000) (95,000) (75,000)
Net payments from issuance of common stock (4,042) (2,426) (353)
Common stock dividends (64,118) (61,396) (58,720)
Debt issuance costs (180) (3,340) (1,111)
Borrowings from revolving credit facility   70,000 350,000
Purchase of additional royalty interest from non-controlling interest   (2,518)  
Other 3,009 (2,843) (830)
Net cash (used in) provided by financing activities (315,331) (97,523) 213,986
Net increase (decrease) in cash and equivalents 2,903 (30,786) (626,216)
Cash and equivalents at beginning of period 85,847 116,633 742,849
Cash and equivalents at end of period $ 88,750 $ 85,847 $ 116,633
v3.10.0.1
THE COMPANY
12 Months Ended
Jun. 30, 2018
THE COMPANY  
THE COMPANY

1.  THE COMPANY

Royal Gold, Inc. (“Royal Gold”, the “Company”, “we”, “us”, or “our”), together with its subsidiaries, is engaged in the business of acquiring and managing precious metals streams, royalties and similar interests.  We seek to acquire existing stream and royalty interests or to finance projects that are in production or in the development stage in exchange for stream or royalty interests.  A metal stream is a purchase agreement that provides, in exchange for an upfront deposit payment, the right to purchase all or a portion of one or more metals produced from a mine at a price determined for the life of the transaction by the purchase agreement.  Royalties are non-operating interests in mining projects that provide the right to revenue or metals produced from the project after deducting specified costs, if any.

v3.10.0.1
ACQUISITIONS
12 Months Ended
Jun. 30, 2018
ACQUISITIONS  
ACQUISITIONS

3.  ACQUISITIONS

Acquisition of Additional Royalty Interest on Mara Rosa

 

On June 29, 2018, Royal Gold, through its wholly-owned subsidiary RG Royalties, LLC, entered into an agreement to purchase a 1.75% Net Smelter Return (“NSR”) royalty on Amarillo Gold’s Mara Rosa gold project in Goias State, Brazil for $10.8 million.   The acquisition is in addition to the 1.00% NRS royalty on the Mara Rosa project previously acquired by International Royalty Corporation, another wholly-owned subsidiary of Royal Gold.  The new Mara Rosa royalty agreement includes a right of first refusal on future financing opportunities based on production from the project.

 

The acquisition of the additional royalty interest on Mara Rosa has been accounted for as an asset acquisition.  The total purchase price of $10.8 million, plus direct transaction costs, has been recorded as an exploration stage royalty interest within Stream and royalty interests, net on our consolidated balance sheets.

 

Acquisition of Contango ORE, Inc. Common Stock

 

On June 28, 2018, Royal Gold acquired 682,556 shares of common stock of Contango ORE, Inc. (“CORE”) for consideration of $26 per share pursuant to a Stock Purchase Agreement (“SPA”) entered into on April 5, 2018 between Royal Gold and certain individual stockholders of CORE.  Royal Gold expects to acquire a second and final tranche of 127,188 shares of CORE common stock pursuant to the SPA during our first or second quarter of fiscal year 2019.

 

The Company has accounted for the CORE common stock as an investment in available-for-sale securities (Note 1), which are included in Other Assets on our consolidated balance sheets.  The Company recorded an unrealized loss on the CORE shares of approximately $1.5 million during fiscal year 2018. 

 

Acquisition of Additional Royalty Interests at Cortez

 

On September 19, 2016, Royal Gold, through its wholly-owned subsidiary, Denver Mining Finance Company, Inc., acquired a 3.75% Net Value Royalty (“NVR”) covering a significant area of Barrick Gold Corporation’s (“Barrick”) Cortez mine, including the Crossroads deposit, from a private party seller for total consideration of $70 million.  Giving effect to this acquisition, Royal Gold’s interests at Cortez Crossroads comprise a 4.52% NVR and a 5% sliding-scale Gross Smelter Return (“GSR”) royalty at current gold prices.  Royal Gold’s interests on production from the Pipeline and South Pipeline deposits as well as portions of the Gap deposit are comprised of a 4.91% NVR and a 5.71% GSR royalty at current gold prices.

 

The acquisition of the additional royalty interests at Cortez has been accounted for as an asset acquisition.  The portion of the acquisition, plus direct transaction costs, attributable to the Pipeline and South Pipeline deposits as well as portions of the Gap deposit ($10.2 million) has been recorded as a production stage royalty interest while the portion of the acquisition attributable to the Crossroads deposit ($59.8 million) has been recorded as a development stage royalty interest.  Both are included within Stream and royalty interests, net, on our consolidated balance sheets.

Acquisition of Gold and Silver Stream at Pueblo Viejo

On September 29, 2015, RGLD Gold AG (“RGLD Gold”), a wholly-owned subsidiary of the Company, closed its Precious Metals Purchase and Sale Agreement with Barrick and its wholly‑owned subsidiary, BGC Holdings Ltd. (“BGC”) for a percentage of the gold and silver production attributable to Barrick’s 60% interest in the Pueblo Viejo mine located in the Dominican Republic.  Pursuant to the Precious Metals Purchase and Sale Agreement, RGLD Gold made a single advance payment of $610 million to BGC as part of the closing.  The transaction was effective as of July 1, 2015 for the gold stream and January 1, 2016 for the silver stream.

BGC will deliver gold to RGLD Gold in amounts equal to 7.50% of Barrick’s interest in the gold produced at the Pueblo Viejo mine until 990,000 ounces of gold have been delivered, and 3.75% of Barrick’s interest in gold produced thereafter.  RGLD Gold will pay BGC 30% of the spot price per ounce of gold delivered until 550,000 ounces of gold have been delivered, and 60% of the spot price per ounce delivered thereafter.  RGLD Gold began receiving gold deliveries during the quarter ended December 31, 2015.

BGC will deliver silver to RGLD Gold in amounts equal to 75% of Barrick’s interest in the silver produced at the Pueblo Viejo mine, subject to a minimum silver recovery of 70%, until 50 million ounces of silver have been delivered, and 37.50% of Barrick’s interest in silver produced thereafter.  RGLD Gold will pay BGC 30% of the spot price per ounce of silver delivered until 23.10 million ounces of silver have been delivered, and 60% of the spot price per ounce of silver delivered thereafter.  RGLD Gold began receiving silver deliveries during the quarter ended March 31, 2016.

The Pueblo Viejo gold and silver stream acquisition has been accounted for as an asset acquisition.  The advance payment of $610 million, plus direct transaction costs, have been recorded as a production stage stream interest within Stream and royalty interests, net on our consolidated balance sheets.  The acquisition cost of the Pueblo Viejo gold and silver stream interest will be depleted using the units of production method, which is estimated using aggregate proven and probable reserves, as provided by Barrick.

Acquisition and Amendment of Gold Stream on Wassa and Prestea

On July 28, 2015, RGLD Gold closed a $130 million gold stream transaction with a wholly‑owned subsidiary of Golden Star Resources Ltd. (together “Golden Star”).  On December 30, 2015, the parties executed an amendment providing for an additional $15 million investment (for a total investment of $145 million) by RGLD Gold.  The Company has no remaining upfront deposit payments associated with the Wassa and Prestea gold stream.

Under the terms of the stream transaction, Golden Star will deliver to RGLD Gold 9.25% of gold produced from the Wassa and Prestea mines, until the earlier of (i) December 31, 2017 or (ii) the date at which the Wassa and Prestea underground projects achieve commercial production.  Effective January 1, 2018, the stream percentage increased to 10.5% of gold produced from the Wassa and Prestea projects until an aggregate 240,000 ounces have been delivered.  Once the applicable delivery threshold is met, the stream percentage will decrease to 5.5% for the remaining life of the mines.

RGLD Gold will pay Golden Star a cash price equal to 20% of the spot price for each ounce of gold delivered at the time of delivery until the applicable delivery threshold is met, and 30% of the spot price for each ounce of gold delivered thereafter.

Also on July 28, 2015 and separate from the stream transaction by RGLD Gold, the Company also funded a $20 million, 4 – year term loan to Golden Star and received warrants to purchase 5 million shares of Golden Star common stock, with a grant date fair value of approximately $0.8 million.  Interest under the term loan is due quarterly at a rate equal to 62.5% of the average daily gold price for the relevant quarter divided by 10,000, but not to exceed 11.5%.  The warrants have a term of four years and an exercise price of $0.27.

 

On June 29, 2018, a subsidiary of Golden Star repaid its $20 million term loan facility, plus accrued interest, to Royal Gold.  Prior to payoff, the term loan was recorded within Other assets on our consolidated balance sheets as of June 30, 2017.  The warrants that were part of the term loan were exercised during the quarter ended September 30, 2017.  The Company sold all of the common shares of Golden Star received upon exercise of the warrants in October 2017

 

The Wassa and Prestea gold stream acquisition has been accounted for as an asset acquisition. The aggregate advance payments of $145 million, plus direct acquisition costs, have been recorded as a production stage stream interest within Stream and royalty interests, net on our consolidated balance sheets.  The acquisition cost of the Wassa and Prestea gold stream interest will be depleted using the units of production method, which is estimated using aggregate proven and probable reserves, as provided by Golden Star.

Acquisition of Gold and Silver Stream at Rainy River

On July 20, 2015, RGLD Gold entered into a $175 million Purchase and Sale Agreement with New Gold, Inc. (“New Gold”), for a percentage of the gold and silver production from the Rainy River Project located in Ontario, Canada (“Rainy River”).  Pursuant to the Purchase and Sale Agreement, RGLD Gold made an advance payment to New Gold, consisting of $100 million on July 20, 2015, and made the final scheduled payment of $75 million in November 2016.  The Company has no further upfront deposit payments associated with the Rainy River gold and silver stream.

Under the Purchase and Sale Agreement, New Gold will deliver to RGLD Gold 6.50% of the gold produced at Rainy River until 230,000 gold ounces have been delivered, and 3.25% thereafter. New Gold also will deliver to RGLD Gold 60% of the silver produced at Rainy River until 3.10 million silver ounces have been delivered, and 30% thereafter. RGLD Gold will pay New Gold 25% of the spot price per ounce of gold and silver at the time of delivery.

The Rainy River gold and silver stream acquisition has been accounted for as an asset acquisition. The aggregate advance payments of $175 million, plus direct transaction costs, have been recorded as a development stage stream interest within Stream and royalty interests, net on our consolidated balance sheets as of June 30, 2017.  New Gold announced commercial production at Rainy River in October 2017.  The Company reclassified the Rainy River stream interest to production stage from development stage during the three months ended December 31, 2017. 

Acquisition of Gold Stream and Termination of Royalty Interest at Carmen de Andacollo

On July 9, 2015, RGLD Gold entered into a Long Term Offtake Agreement (the “Andacollo Stream Agreement”) with Compañía Minera Teck Carmen de Andacollo (“CMCA”), a 90% owned subsidiary of Teck Resources Limited (“Teck”).  Pursuant to the Andacollo Stream Agreement, CMCA will sell and deliver to RGLD Gold 100% of payable gold from the Carmen de Andacollo (“Andacollo”) copper-gold mine located in Chile until 900,000 ounces have been delivered, and 50% thereafter, subject to a fixed payable percentage of 89%.  RGLD Gold made a $525 million advance payment in cash to CMCA upon entry into the Andacollo Stream Agreement, and RGLD Gold will also pay CMCA 15% of the monthly average gold price for the month preceding the delivery date for all gold purchased under the Andacollo Stream Agreement.

The transaction encompasses certain of CMCA’s presently owned mining concessions on the Andacollo mine, as well as any other mining concessions presently owned or acquired by CMCA or any of its affiliates within an approximate 1.5 kilometer area of interest, and certain other mining concessions that CMCA or its affiliates may acquire.  The Andacollo Stream Agreement was effective July 1, 2015, and applies to all final settlements of gold received on or after that date.  Deliveries to RGLD Gold are made monthly, and RGLD Gold began receiving gold deliveries during the quarter ended September 30, 2015.

Also on July 9, 2015, Royal Gold Chile Limitada (“RG Chile”), a wholly owned subsidiary of the Company, entered into a Royalty Termination Agreement with CMCA.  The Royalty Termination Agreement terminated an amended Royalty Agreement originally dated January 12, 2010, which provided RG Chile with a royalty equivalent to 75% of the gold produced from the sulfide portion of the Andacollo mine until 910,000 payable ounces have been produced, and 50% of the gold produced thereafter.  CMCA paid total consideration of $345 million to RG Chile in connection with the Royalty Termination Agreement.  The net carrying value of the Andacollo royalty on the date of termination was approximately $207.5 million.  The royalty termination transaction was taxable in Chile and the United States.

In accordance with relevant guidance from the ASC, the Company determined it should account for the Andacollo Stream Agreement and the Royalty Termination Agreement as a single transaction because both transactions closed on the same date, both transactions were with the same counterparty, and the same mineral interest (gold) was part of both transactions.  As the Company accounted for the Andacollo Stream Agreement and Royalty Termination Agreement as a single transaction, it was further determined, based on the relevant ASC guidance, that no gain will be recognized as part of the transactions. 

The Company accounted for the acquisition of the gold stream interest at Andacollo as an asset acquisition.  For US GAAP financial reporting purposes on the date of acquisition, the Company’s new consolidated carrying value in its stream interest at Andacollo was approximately $388.2 million, which included direct acquisition costs, and has been recorded as a production stage stream interest within Stream and royalty interests, net on our consolidated balance sheets.  The Andacollo gold stream interest will be depleted using the units of production method, which is estimated using aggregate proven and probable reserves, as provided by Teck.

 

v3.10.0.1
STREAM AND ROYALTY INTERESTS, NET
12 Months Ended
Jun. 30, 2018
STREAM AND ROYALTY INTERESTS, NET  
STREAM AND ROYALTY INTERESTS, NET

4. STREAM AND ROYALTY INTERESTS, NET

The following summarizes the Company’s stream and royalty interests as of June 30, 2018 and 2017:

 

 

 

 

 

 

 

 

 

 

 

 

 

As of June 30, 2018 (Amounts in thousands):

    

Cost

    

Accumulated Depletion

    

Impairments

 

Net

Production stage stream interests:

 

 

 

 

 

 

 

 

 

 

 

 

Mount Milligan

 

$

790,635

 

$

(152,833)

 

$

 —

 

$

637,802

Pueblo Viejo

 

 

610,404

 

 

(114,944)

 

 

 —

 

 

495,460

Andacollo

 

 

388,182

 

 

(59,851)

 

 

 —

 

 

328,331

Wassa and Prestea

 

 

146,475

 

 

(41,601)

 

 

 —

 

 

104,874

Rainy River

 

 

175,727

 

 

(4,028)

 

 

 —

 

 

171,699

Total production stage stream interests

 

 

2,111,423

 

 

(373,257)

 

 

 —

 

 

1,738,166

Production stage royalty interests:

 

 

 

 

 

 

 

 

 

 

 

 

Voisey's Bay

 

 

205,724

 

 

(86,933)

 

 

 —

 

 

118,791

Peñasquito

 

 

99,172

 

 

(38,426)

 

 

 —

 

 

60,746

Holt

 

 

34,612

 

 

(21,173)

 

 

 —

 

 

13,439

Cortez

 

 

20,878

 

 

(11,241)

 

 

 —

 

 

9,637

Other

 

 

483,795

 

 

(364,795)

 

 

 —

 

 

119,000

Total production stage royalty interests

 

 

844,181

 

 

(522,568)

 

 

 —

 

 

321,613

Total production stage stream and royalty interests

 

 

2,955,604

 

 

(895,825)

 

 

 —

 

 

2,059,779

 

 

 

 

 

 

 

 

 

 

 

 

 

Development stage stream interests:

 

 

 

 

 

 

 

 

 

 

 

 

Other

 

 

12,038

 

 

 —

 

 

 —

 

 

12,038

 

 

 

 

 

 

 

 

 

 

 

 

 

Development stage royalty interests:

 

 

 

 

 

 

 

 

 

 

 

 

Cortez

 

 

59,803

 

 

 —

 

 

 —

 

 

59,803

Other

 

 

74,610

 

 

 —

 

 

(284)

 

 

74,326

Total development stage royalty interests

 

 

134,413

 

 

 —

 

 

(284)

 

 

134,129

Total development stage stream and royalty interests

 

 

146,451

 

 

 —

 

 

(284)

 

 

146,167

 

 

 

 

 

 

 

 

 

 

 

 

 

Exploration stage royalty interests:

 

 

 

 

 

 

 

 

 

 

 

 

Pascua-Lama

 

 

416,770

 

 

 —

 

 

(239,080)

 

 

177,690

Other

 

 

117,481

 

 

 —

 

 

 -

 

 

117,481

Total exploration stage royalty interests

 

 

534,251

 

 

 —

 

 

(239,080)

 

 

295,171

Total stream and royalty interests, net

 

$

3,636,306

 

$

(895,825)

 

$

(239,364)

 

$

2,501,117

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of June 30, 2017 (Amounts in thousands):

    

Cost

    

Accumulated Depletion

    

Impairments

 

Net

Production stage stream interests:

 

 

 

 

 

 

 

 

 

 

 

 

Mount Milligan

 

$

790,635

 

$

(114,327)

 

$

 —

 

$

676,308

Pueblo Viejo

 

 

610,404

 

 

(67,149)

 

 

 —

 

 

543,255

Andacollo

 

 

388,182

 

 

(39,404)

 

 

 —

 

 

348,778

Wassa and Prestea

 

 

146,475

 

 

(22,715)

 

 

 —

 

 

123,760

Total production stage stream interests

 

 

1,935,696

 

 

(243,595)

 

 

 —

 

 

1,692,101

Production stage royalty interests:

 

 

 

 

 

 

 

 

 

 

 

 

Voisey's Bay

 

 

205,724

 

 

(85,671)

 

 

 —

 

 

120,053

Peñasquito

 

 

99,172

 

 

(34,713)

 

 

 —

 

 

64,459

Holt

 

 

34,612

 

 

(19,669)

 

 

 —

 

 

14,943

Cortez

 

 

20,873

 

 

(10,633)

 

 

 —

 

 

10,240

Other

 

 

483,643

 

 

(337,958)

 

 

 —

 

 

145,685

Total production stage royalty interests

 

 

844,024

 

 

(488,644)

 

 

 —

 

 

355,380

Total production stage stream and royalty interests

 

 

2,779,720

 

 

(732,239)

 

 

 —

 

 

2,047,481

Development stage stream interests:

 

 

 

 

 

 

 

 

 

 

 

 

Rainy River

 

 

175,727

 

 

 —

 

 

 —

 

 

175,727

Other

 

 

12,031

 

 

 —

 

 

 —

 

 

12,031

Total development stage stream interests

 

 

187,758

 

 

 —

 

 

 —

 

 

187,758

Development stage royalty interests:

 

 

 

 

 

 

 

 

 

 

 

 

Pascua-Lama

 

 

380,657

 

 

 —

 

 

 —

 

 

380,657

Cortez

 

 

59,803

 

 

 —

 

 

 —

 

 

59,803

Other

 

 

63,811

 

 

 —

 

 

 —

 

 

63,811

Total development stage royalty interests

 

 

504,271

 

 

 —

 

 

 —

 

 

504,271

Total development stage stream and royalty interests

 

 

692,029

 

 

 —

 

 

 —

 

 

692,029

Total exploration stage royalty interests

 

 

152,746

 

 

 —

 

 

 —

 

 

152,746

Total stream and royalty interests, net

 

$

3,624,495

 

$

(732,239)

 

$

 —

 

$

2,892,256

 

Impairment of stream and royalty interests and royalty receivables

In accordance with our impairment accounting policy discussed in Note 1, impairments in the carrying value of each stream or royalty interest are measured and recorded to the extent that the carrying value in each stream or royalty interest exceeds its estimated fair value, which is generally calculated using estimated future discounted cash‑flows.  As part of the Company’s regular asset impairment analysis, the Company determined the presence of impairment indicators and recorded impairment charges for the fiscal years ended June 30, 2018 and 2016 as summarized in the following table and discussed in detail below:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

    

    

2018

    

2017

    

2016

 

 

 

 

(Amounts in thousands)

Stream:

 

 

 

 

 

 

 

 

 

 

Phoenix Gold

 

 

$

 —

 

$

 —

 

$

75,702

Royalty:

 

 

 

 

 

 

 

 

 

 

Pascua-Lama

 

 

 

239,080

 

 

 —

 

 

 —

Inata

 

 

 

 —

 

 

 —

 

 

11,982

Wolverine

 

 

 

 —

 

 

 —

 

 

5,307

Other

 

 

 

284

 

 

 —

 

 

3,127

Total impairment of stream and royalty interests

 

 

$

239,364

 

$

 —

 

$

96,118

Inata royalty receivable

 

 

 

 

 

 

 —

 

 

2,855

Wolverine royalty receivable

 

 

 

 

 

 

 —

 

 

(385)

Total impairment of stream and royalty interests and royalty receivables

 

 

$

239,364

 

$

 —

 

$

98,588

 

Pascua-Lama

 

We own a 0.78% to 5.45% sliding‑scale NSR royalty on gold and silver on the Chilean portion of the Pascua‑Lama project, which straddles the border between Argentina and Chile, and is owned by Barrick.  The Company owns an additional royalty equivalent to 1.09% of proceeds from copper produced from the Chilean portion of the project, net of allowable deductions, sold on or after January 1, 2017.   

 

On January 18, 2018, Barrick reported that it is analyzing a revised sanction related to the Pascua-Lama project issued by Chile’s Superintendencia del Medio Ambiente (“SMA”) on January 17, 2018.  The sanction is part of a re-evaluation process ordered by Chile’s Environmental Court in 2014 and relates to historical compliance matters at the Pascua-Lama project.  According to Barrick, the SMA has not revoked Pascua-Lama’s environmental permit, but has ordered the closure of existing facilities on the Chilean side of the project, in addition to certain monitoring activities.

 

On February 6, 2018, in light of the SMA order to close surface facilities in Chile, and earlier plans to evaluate an underground mine, Barrick announced it reclassified Pascua-Lama’s proven and probable reserves, which are based on an open pit mine plan, as mineralized material.  Barrick reported further details in its year-end results on February 14, 2018 and an update on the Pascua-Lama project at its February 22, 2018 Investor Day.  A significant reduction in reserves or mineralized material are indicators of impairment. 

 

On April 23, 2018, Barrick announced that work performed to-date on the prefeasibility study for a potential underground project has been suspended, and they will focus on adjusting the project closure plan for surface infrastructure on the Chilean side of the project.  Barrick will continue to evaluate opportunities to de-risk the project while maintaining Pascua-Lama as an option for development in the future if economics improve and related risks can be mitigated. 

 

As part of the impairment determination, the fair value for Pascua-Lama was estimated by calculating the net present value of the estimated future cash-flows, subject to our royalty interest, expected to be generated by the mining of the Pascua-Lama deposits.  The Company applied a probability factor to its fair value calculation that Barrick will either proceed with an open-pit mine or an underground mine at Pascua.  The estimates of future cash flows were derived from open-pit and underground mine models developed by the Company using various information reported by Barrick.  The metal price assumptions used in the Company’s model were supported by consensus price estimates obtained by a number of industry analysts.  The future cash flows were discounted using a discount rate which reflects specific market risk factors the Company associates with the Pascua-Lama royalty interest.  Following the impairment charge during the three months ended March 31, 2018, the Pascua-Lama royalty interest has a remaining carrying value of $177.7 million as of June 30, 2018.  As a result of Barrick’s reclassification of Pascua-Lama’s reserves to mineralized material, our Pascu-Lama royalty interest was reclassified to exploration stage from development stage during our fiscal year ended June 30, 2018. 

 

Phoenix Gold

RGLD Gold previously owned the right to purchase 6.30% of any gold produced from the Phoenix Gold Project until 135,000 ounces were delivered, and 3.15% thereafter.  The Phoenix Gold Project is located in Red Lake, Ontario, Canada, and owned by Rubicon Minerals Corporation (“Rubicon”).  On January 11, 2016, Rubicon provided an updated geologic model and mineralized material statement for the Phoenix Gold Project, which included a significant reduction in mineralized material compared to previous statements provided by Rubicon.  Rubicon also announced that they were evaluating strategic alternatives, including merger and divestiture opportunities either at the corporate or asset level, obtaining new financing or capital restructurings.  A significant reduction in mineralized material, along with recent decreases in the long‑term metal price assumptions used by the industry, are indicators of impairment.

During the quarter ended March 31, 2016, the Company independently evaluated the updated geologic model and mineralized material statement in an effort to properly assess the recoverability of our carrying value.  The Company’s technical evaluation was completed by internal and external personnel and included an economic analysis of the Phoenix Gold Project and a detailed review of the geological model and mineralized material statement.  Based upon the results of the Company’s review of the updated geological model and mineralized material statement, and other factors, it was determined that our stream interest at the Phoenix Gold Project should be written down to zero as of March 31, 2016, resulting in an impairment charge of $77.7 million. 

Inata

The Company owns a 2.5% gross smelter return royalty on all gold and silver produced from the Inata mine, located in Burkina Faso, West Africa.  The Company’s carrying value for its royalty interest at Inata was approximately $12.0 million as of December 31, 2015.  As part of the Company’s impairment assessment for the three months ended March 31, 2016, the Company was notified of an updated mine plan at Inata, which included a significant reduction in the life of the mine.  Based upon our review of the updated mine plan, our royalty interest was written down to zero as of March 31, 2016.

The Company also had a royalty receivable of approximately $2.8 million associated with past due royalty payments on the Inata interest.  As a result of the operator’s financial and operational difficulties and our review of the updated mine plan at Inata, the Company believes payment of the receivable is uncertain and provided for an allowance against the entire royalty receivable as of March 31, 2016. The Company continues to pursue collection of all past due payments.

Wolverine

The Company owns a 0.00% to 9.445% sliding‑scale NSR royalty on all gold and silver produced from the Wolverine underground mine and milling operation located in Yukon Territory, Canada, and operated by Yukon Zinc Corporation (“Yukon Zinc”).  Prior to our fiscal year ended June 30, 2016, the Company recognized an impairment at Wolverine.  During the quarter ended March 31, 2016, we were made aware of Yukon Zinc’s intentions to no longer recommission the mine.  Based upon the updated developments and limited remaining mineralized material at Wolverine, the Company wrote down the remaining carrying value at Wolverine to zero as of March 31, 2016.

Phoenix Gold Stream Termination

 

On December 20, 2016, the owner of the Phoenix Gold Project, Rubicon, announced a restructuring transaction under Canadian regulations.  As part of the restructuring transaction, RGLD Gold’s gold stream interest was terminated.  In exchange for termination of the gold stream, RGLD Gold received approximately three million common shares of Rubicon and three NSR royalties on properties owned by Rubicon, including a 1.0% NSR on the Phoenix Gold Project.  The fair value of the Rubicon common shares upon exchange was $3.4 million and is recorded within Other assets on our consolidated balance sheets and is accounted for under our available-for-sale accounting policy, which is also discussed in Note 2.  The Company also recognized a corresponding gain on the fair value of the Rubicon common shares received upon exchange.  The gain is recorded within Interest and other income on our consolidated statements of operations and comprehensive (loss) income. 

 

Amendment to Mount Milligan

 

On October 20, 2016, Centerra Gold Inc. (“Centerra”) and Thompson Creek Metals Company Inc. (“Thompson Creek”) completed the Plan of Arrangement (the “Arrangement”) previously announced on July 5, 2016, pursuant to which Centerra acquired all of the issued and outstanding common shares of Thompson Creek.  RGLD Gold’s streaming interest at Mount Milligan was amended (the “amendment”) concurrently with the closing of the Arrangement. 

 

Under the terms of the amendment, RGLD Gold’s 52.25% gold stream at Mount Milligan was amended to a 35% gold stream and an 18.75% copper stream.  RGLD Gold will continue to pay the lesser of $435 per ounce of gold delivered or the prevailing market price when purchased and will pay 15% of the spot price per metric tonne of copper delivered.  Mount Milligan gold in concentrate in transit prior to October 20, 2016, was delivered to RGLD Gold under the previous 52.25% stream.  Under the terms of both the original and amended agreements, there is a maximum of five months between concentrate shipment and final settlement.  Accordingly, RGLD Gold began receiving gold and copper deliveries reflecting the amended stream agreement in April 2017. The Company incurred approximately $7.7 million in direct transaction costs associated with the amendment.  These direct transaction costs have been capitalized as part of the Mount Milligan streaming interest within Stream and royalty interests, net on our consolidated balance sheets.

v3.10.0.1
DEBT
12 Months Ended
Jun. 30, 2018
DEBT  
DEBT

5. DEBT

The Company’s debt as of June 30, 2018 and 2017 consists of the following:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of June 30, 2018

 

As of June 30, 2017

 

   

Principal

   

Unamortized Discount

   

Debt Issuance Costs

   

Total

   

Principal

   

Unamortized Discount

   

Debt Issuance Costs

   

Total

 

 

 

(Amounts in thousands)

 

 

(Amounts in thousands)

Convertible notes due 2019

 

$

370,000

 

$

(12,764)

 

$

(1,316)

 

$

355,920

 

$

370,000

 

$

(25,251)

 

$

(2,646)

 

$

342,103

Revolving credit facility

 

 

 —

 

 

 —

 

 

(4,893)

 

 

(4,893)

 

 

250,000

 

 

 —

 

 

(5,933)

 

 

244,067

Total debt

 

$

370,000

 

$

(12,764)

 

$

(6,209)

 

$

351,027

 

$

620,000

 

$

(25,251)

 

$

(8,579)

 

$

586,170

 

Convertible Senior Notes Due 2019

In June 2012, the Company completed an offering of $370 million aggregate principal amount of convertible senior notes due 2019 (“2019 Notes”).  The 2019 Notes bear interest at the rate of 2.875% per annum, and the Company is required to make semi‑annual interest payments on the outstanding principal balance of the 2019 Notes on June 15 and December 15 of each year, beginning December 15, 2012. The 2019 Notes mature on June 15, 2019.  Generally, we classify debt that is maturing within one year as a current liability.  However, the Company has the intent and ability to settle the principal amount of the 2019 Notes in cash primarily from its available revolving credit facility, a non-current liability, as of June 30, 2018.   

Interest expense recognized on the 2019 Notes for the fiscal years ended June 30, 2018,  2017 and 2016 was approximately $24.5 million, $23.6 million and $22.8 million, respectively. Interest expense recognized includes the contractual coupon interest, the accretion of the debt discount and amortization of the debt issuance costs, and is recorded in Interest and other expense consolidated statements of operations and comprehensive (loss) income.

Revolving credit facility

The Company maintains a $1.0 billion revolving credit facility.  As of June 30, 2018, the Company had no amounts outstanding and $1.0 billion available under the revolving credit facility.  The Company had $250 million outstanding under the revolving credit facility as of June 30, 2017.  Royal Gold may repay borrowings under the revolving credit facility at any time without premium or penalty. 

 

The Company was in compliance with each financial covenant (leverage ratio and interest coverage ratio) under the revolving credit facility as of June 30, 2018.  Interest expense recognized on the revolving credit facility for the fiscal years ended June 30, 2018, 2017 and 2016 was approximately $5.7 million, $9.9 million and $8.1 million, respectively, and included interest on the outstanding borrowings and the amortization of the debt issuance costs.

v3.10.0.1
REVENUE
12 Months Ended
Jun. 30, 2018
REVENUE  
REVENUE

6. REVENUE

Revenue is comprised of the following:

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

    

2018

    

2017

    

2016

 

 

 

(Amounts in thousands)

Stream interests

 

$

324,516

 

$

314,011

 

$

238,028

Royalty interests

 

 

134,526

 

 

126,803

 

 

121,762

Total revenue

 

$

459,042

 

$

440,814

 

$

359,790

 

v3.10.0.1
STOCK-BASED COMPENSATION
12 Months Ended
Jun. 30, 2018
STOCK-BASED COMPENSATION  
STOCK-BASED COMPENSATION

 

 

7. STOCK‑BASED COMPENSATION

In November 2015, shareholders of the Company approved the 2015 Omnibus Long‑Term Incentive Plan (“2015 LTIP”). Under the 2015 LTIP, 2,500,000 shares of common stock have been authorized for future grants to officers, directors, key employees and other persons.  The 2015 LTIP provides for the grant of stock options, unrestricted stock, restricted stock, dividend equivalent rights, SSARs and cash awards. Any of these awards may, but need not, be made as performance incentives.  Stock options granted under the 2015 LTIP may be non‑qualified stock options or incentive stock options.

The Company recognized stock‑based compensation expense as follows:

 

 

 

 

 

 

 

 

 

 

 

 

For the Fiscal Year Ended

 

 

June 30, 

 

    

2018

 

2017

    

2016

 

 

 

(Amounts in thousands)

Stock options

 

$

318

 

$

393

 

$

454

Stock appreciation rights

 

 

1,988

 

 

1,851

 

 

1,687

Restricted stock

 

 

4,487

 

 

3,840

 

 

3,686

Performance stock

 

 

1,486

 

 

3,899

 

 

4,212

Total stock-based compensation expense

 

$

8,279

 

$

9,983

 

$

10,039

 

Stock‑based compensation expense is included within General and administrative expense on the consolidated statements of operations and comprehensive (loss) income.

Stock Options and Stock Appreciation Rights

Stock option and SSARs awards are granted with an exercise price equal to the closing market price of the Company’s stock at the date of grant.  Stock option and SSARs awards granted to officers, key employees and other persons vest based on one to three years of continuous service.  Stock option and SSARs awards have 10 year contractual terms.

To determine stock‑based compensation expense for stock options and SSARs, the fair value of each stock option and SSAR is estimated on the date of grant using the Black‑Scholes‑Merton (“Black‑Scholes”) option pricing model for all periods presented.  The Black‑Scholes model requires key assumptions in order to determine fair value.  Those key assumptions during the fiscal year 2018,  2017 and 2016 grants are noted in the following table:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stock Options

 

SSARs

 

 

 

2018

 

2017

    

2016

    

2018

 

2017

 

2016

 

Weighted-average expected volatility

    

42.2

%  

41.7

%  

36.9

%  

42.4

%  

41.1

%  

36.9

%

Weighted-average expected life in years

 

5.5

 

5.5

 

5.5

 

5.4

 

5.8

 

5.4

 

Weighted-average dividend yield

 

1.10

%  

1.11

%  

1.06

%  

1.10

%  

1.11

%  

1.00

%

Weighted-average risk free interest rate

 

1.8

%  

1.2

%  

1.6

%  

1.8

%  

1.3

%  

1.6

%

 

The Company’s expected volatility is based on the historical volatility of the Company’s stock over the expected option term.  The Company’s expected option term is determined by historical exercise patterns along with other known employee or company information at the time of grant.  The risk free interest rate is based on the zero‑coupon U.S. Treasury bond at the time of grant with a term approximate to the expected option term.

Stock Options

A summary of stock option activity for the fiscal year ended June 30, 2018, is presented below.

 

 

 

 

 

 

 

 

 

 

 

 

    

 

    

 

 

    

Weighted-

    

 

 

 

 

 

 

Weighted-

 

Average

 

 

 

 

 

 

 

Average

 

Remaining

 

Aggregate

 

 

Number of

 

Exercise

 

Contractual

 

Intrinsic Value

 

 

Shares

 

Price

 

Life (Years)

 

(in thousands)

Outstanding at July 1, 2017

 

107,825

 

$

64.13

 

  

 

 

  

Granted

 

6,858

 

$

87.42

 

  

 

 

  

Exercised

 

(48,123)

 

$

60.18

 

  

 

 

  

Forfeited

 

(333)

 

$

56.54

 

  

 

 

  

Outstanding at June 30, 2018

 

66,227

 

$

69.35

 

6.2

 

$

1,549

Exercisable at  June 30, 2018

 

48,957

 

$

68.36

 

5.6

 

$

1,199

 

The weighted‑average grant date fair value of options granted during the fiscal years ended June 30, 2018,  2017 and 2016, was $27.12,  $29.54 and $18.05, respectively.  The total intrinsic value of options exercised during the fiscal years ended June 30, 2018,  2017 and 2016, were $1.4 million, $0.5 million, and $0.1 million, respectively.

As of June 30, 2018, there was approximately $0.2 million of total unrecognized stock‑based compensation expense related to non‑vested stock options, which is expected to be recognized over a weighted‑average period of 1.6 years.

SSARs

A summary of SSARs activity for the fiscal year ended June 30, 2018, is presented below.

 

 

 

 

 

 

 

 

 

 

 

 

    

 

    

 

 

    

Weighted-

    

 

 

 

 

 

 

Weighted-

 

Average

 

 

 

 

 

 

 

Average

 

Remaining

 

Aggregate

 

 

Number of

 

Exercise

 

Contractual

 

Intrinsic Value

 

 

Shares

 

Price

 

Life (Years)

 

(in thousands)

Outstanding at July 1, 2017

 

424,145

 

$

66.19

 

  

 

 

  

Granted

 

71,262

 

$

87.42

 

  

 

 

  

Exercised

 

(241,421)

 

$

62.52

 

  

 

 

  

Forfeited

 

(1,100)

 

$

85.92

 

  

 

 

  

Outstanding at June 30, 2018

 

252,886

 

$

75.60

 

7.3

 

$

4,360

Exercisable at June 30, 2018

 

125,152

 

$

71.59

 

6.2

 

$

2,659

 

The weighted‑average grant date fair value of SSARs granted during the fiscal years ended June 30, 2018,  2017 and 2016 was $29.17,  $29.76 and $18.35, respectively.  The total intrinsic value of SSARs exercised during the fiscal years ended June 30, 2018,  2017 and 2016, were $6.4 million, $0.2 million, and $0.3 million, respectively.

As of June 30, 2018, there was approximately $2.0 million of total unrecognized stock‑based compensation expense related to non‑vested SSARs, which is expected to be recognized over a weighted‑average period of 1.8 years.

Other Stock‑based Compensation

Performance Shares

During fiscal 2018, officers and certain employees were granted shares of restricted common stock that can be earned only upon the Company’s achievement of certain pre‑defined performance measures.  Specifically, for performance shares granted in fiscal 2018, one‑half of the shares awarded may vest upon the Company’s achievement of annual growth in Net Gold Equivalent Ounces (“Net GEOs”) (“GEO Shares”).  The second one‑half of performance shares granted in fiscal 2018 may vest based on the Company’s total shareholder return (“TSR”) compared to the TSRs of other members of the Market Vectors Gold Miners ETF (GDX) (“TSR Shares”).  GEO Shares and TSR Shares may vest by linear interpolation in a range between zero shares if neither threshold Net GEO and TSR metric is met; to 100% of GEO Shares and TSR Shares awarded if both target Net GEO and TSR metrics are met; to 200% of the Net GEO and TSR shares awarded if both the maximum Net GEO and TSR metrics are met.  The GEO Shares will expire in five years from the date of grant if the performance measure is not met, while the TSR Shares will expire in three years from the date of grant if the TSR market condition and three year service condition are not met.

The Company measures the fair value of the GEO Shares based upon the market price of our common stock as of the date of grant.  In accordance with ASC 718, the measurement date for the GEO Shares will be determined at such time that the performance goals are attained or that it is probable they will be attained.  At such time that it is probable that a performance condition will be achieved, compensation expense will be measured by the number of shares that will ultimately be earned based on the grant date market price of our common stock.  For shares that were previously estimated to be probable of vesting and are no longer deemed to be probable of vesting, compensation expense is reversed during the period in which it is determined they are no longer probable of vesting.  Interim recognition of compensation expense will be made at such time as management can reasonably estimate the number of shares that will be earned.

In accordance with ASC 718, provided the market condition within the TSR Shares, the Company measured the grant date fair value using a Monte Carlo valuation model.  The fair value of the TSR Shares ($64.67 per share) is multiplied by the target number (100%) of TSR Shares granted to determine total stock‑based compensation expense.  Total stock‑based compensation expense of the TSR Shares is amortized on a straight‑line basis over the requisite service period, or three years.  Stock‑based compensation expense for the TSR Shares is recognized provided the requisite service period is rendered, regardless of when, if ever, the TSR market condition is satisfied.  The Company will reverse previously recognized stock‑based compensation expense attributable to the TSR Shares only if the requisite service period is not rendered.

A summary of the status of the Company’s non‑vested Performance Shares at maximum (200%) attainment for the fiscal year ended June 30, 2018, is presented below:

 

 

 

 

 

 

 

    

 

    

Weighted-

 

 

 

 

Average

 

 

Number of

 

Grant Date

 

 

Shares

 

Fair Value

Non-vested at July 1, 2017

 

233,845

 

$

61.07

Granted

 

68,020

 

$

76.20

Vested

 

(70,046)

 

$

68.83

Forfeited

 

(13,030)

 

$

60.76

Non-attainment

 

(34,125)

 

$

71.77

Non-vested at June 30, 2018

 

184,664

 

$

61.75

 

As of June 30, 2018, total unrecognized stock‑based compensation expense related to Performance Shares was approximately $1.5 million, which is expected to be recognized over the average remaining vesting period of 1.8 years.

Restricted Stock

Officers, non‑executive directors and certain employees may be granted shares of restricted stock that vest on continued service alone (“Restricted Stock”).  During fiscal 2018, officers and certain employees were granted 36,170 shares of Restricted Stock.  Restricted Stock granted to officers and certain employees vest over three years beginning after a two‑year holding period from the date of grant with one‑third of the shares vesting in years three, four and five, respectively.  Also during fiscal year 2018, our non‑executive directors were granted 14,210 shares of Restricted Stock.  The non‑executive directors’ shares of Restricted Stock vest 50% immediately and 50% one year after the date of grant.

The Company measures the fair value of the Restricted Stock based upon the market price of our common stock as of the date of grant.  Restricted Stock is amortized over the applicable vesting period using the straight‑line method.  Unvested shares of Restricted Stock are subject to forfeiture upon termination of employment or service with the Company.

A summary of the status of the Company’s non‑vested Restricted Stock for the fiscal year ended June 30, 2018, is presented below:

 

 

 

 

 

 

 

    

 

    

Weighted-

 

 

 

 

Average

 

 

Number of

 

Grant Date

 

 

Shares

 

Fair Value

Non-vested at July 1, 2017

 

166,810

 

$

68.60

Granted

 

50,380

 

$

87.42

Vested

 

(69,440)

 

$

72.99

Forfeited

 

(2,967)

 

$

73.55

Non-vested at June 30, 2018

 

144,783

 

$

72.94

 

As of June 30, 2018, total unrecognized stock‑based compensation expense related to Restricted Stock was approximately $5.0 million, which is expected to be recognized over the weighted‑average vesting period of 3.0 years.

v3.10.0.1
STOCKHOLDERS' EQUITY
12 Months Ended
Jun. 30, 2018
STOCKHOLDERS' EQUITY  
STOCKHOLDERS' EQUITY

8. STOCKHOLDERS’ EQUITY

Preferred Stock

The Company has 10,000,000 authorized and unissued shares of $.01 par value Preferred Stock as of June 30, 2018 and 2017.

Common Stock Issuances

During the fiscal years ended June 30, 2018,  2017 and 2016, options to purchase 48,123,  17,198 and 2,500 shares, respectively, were exercised, resulting in proceeds of approximately $2.9 million, $0.5 million and $0.1 million, respectively.

 

 

v3.10.0.1
EARNINGS PER SHARE ("EPS")
12 Months Ended
Jun. 30, 2018
EARNINGS PER SHARE ("EPS")  
EARNINGS PER SHARE ("EPS")

9. EARNINGS PER SHARE (“EPS”)

Basic (loss) earnings per common share were computed using the weighted average number of shares of common stock outstanding during the period, considering the effect of participating securities.  Unvested stock‑based compensation awards that contain non‑forfeitable rights to dividends or dividend equivalents are considered participating securities and are included in the computation of earnings per share pursuant to the two‑class method.  The Company’s unvested restricted stock awards contain non‑forfeitable dividend rights and participate equally with common stock with respect to dividends issued or declared.  The Company’s unexercised stock options, unexercised SSARs and unvested performance stock do not contain rights to dividends.  Under the two‑class method, the (loss) earnings used to determine basic (loss) earnings per common share are reduced by an amount allocated to participating securities.  Use of the two‑class method has an immaterial impact on the calculation of basic and diluted (loss) earnings per common share.

The following table summarizes the effects of dilutive securities on diluted EPS for the period:

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

    

2018

    

2017

    

2016

 

 

(in thousands, except per share data)

Net (loss) income available to Royal Gold common stockholders

 

$

(113,134)

 

$

101,530

 

$

(77,149)

Weighted-average shares for basic EPS

 

 

65,291,855

 

 

65,152,782

 

 

65,074,455

Effect of other dilutive securities

 

 

 —

 

 

125,171

 

 

 —

Weighted-average shares for diluted EPS

 

 

65,291,855

 

 

65,277,953

 

 

65,074,455

Basic (loss) earnings per share

 

$

(1.73)

 

$

1.55

 

$

(1.18)

Diluted (loss) earnings per share

 

$

(1.73)

 

$

1.55

 

$

(1.18)

 

The calculation of weighted average shares includes all of our outstanding common stock.  The Company intends to settle the principal amount of the 2019 Notes in cash primarily from our available revolving credit facility.  As a result, there will be no impact to diluted earnings per share unless the share price of the Company’s common stock exceeds the adjusted conversion price of $102.91 as of June 30, 2018.  

v3.10.0.1
INCOME TAXES
12 Months Ended
Jun. 30, 2018
INCOME TAXES  
INCOME TAXES

10. INCOME TAXES

For financial reporting purposes, (Loss) income before income taxes includes the following components:

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

 

2018

 

2017

 

2016

 

 

(Amounts in thousands)

United States

    

$

(39,662)

    

$

15,253

    

$

(230)

Foreign

 

 

(64,917)

 

 

103,613

 

 

(21,528)

 

 

$

(104,579)

 

$

118,866

 

$

(21,758)

 

The Company’s Income tax expense consisted of:

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

 

2018

 

2017

 

2016

 

 

(Amounts in thousands)

Current:

    

 

  

    

 

  

    

 

  

Federal

 

$

24,621

 

$

13,975

 

$

45,878

State

 

 

253

 

 

308

 

 

135

Foreign

 

 

22,741

 

 

10,602

 

 

19,650

 

 

$

47,615

 

$

24,885

 

$

65,663

Deferred and others:

 

 

  

 

 

  

 

 

  

Federal

 

$

(2,253)

 

$

(1,443)

 

$

(6,986)

State

 

 

(223)

 

 

(18)

 

 

(78)

Foreign

 

 

(30,367)

 

 

3,017

 

 

2,081

 

 

$

(32,843)

 

$

1,556

 

$

(4,983)

Total income tax expense

 

$

14,772

 

$

26,441

 

$

60,680

 

The provision for income taxes for the fiscal years ended June 30, 2018,  2017 and 2016, differs from the amount of income tax determined by applying the applicable United States statutory federal income tax rate to pre‑tax income (net of non‑controlling interest in income of consolidated subsidiary and loss from equity investment) from operations as a result of the following differences:

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

 

2018

 

2017

 

2016

 

 

(Amounts in thousands)

Total expense computed by applying federal rates

    

$

(29,343)

    

$

41,603

    

$

(7,615)

State and provincial income taxes, net of federal benefit

 

 

(104)

 

 

78

 

 

(1)

Excess depletion

 

 

(1,440)

 

 

(1,517)

 

 

(882)

Estimates for uncertain tax positions

 

 

8,574

 

 

2,870

 

 

1,866

Statutory tax attributable to non-controlling interest

 

 

1,736

 

 

3,162

 

 

1,838

Effect of foreign earnings

 

 

1,230

 

 

3,046

 

 

61,576

Effect of foreign earnings indefinitely reinvested

 

 

(19,004)

 

 

(22,922)

 

 

3,406

Realized foreign exchange gains

 

 

18,330

 

 

 —

 

 

 —

Unrealized foreign exchange gains

 

 

(1,610)

 

 

(746)

 

 

(2,439)

Effects of US income tax reform

 

 

30,675

 

 

 —

 

 

 —

Changes in estimates

 

 

(70)

 

 

(3,676)

 

 

1,641

Valuation allowance

 

 

6,337

 

 

4,374

 

 

849

Other

 

 

(539)

 

 

169

 

 

441

 

 

$

14,772

 

$

26,441

 

$

60,680

 

The effective tax rate includes the impact of U.S. tax legislation, as discussed below, the effects of a non-cash functional currency election to file certain Canadian income tax returns in U.S. dollars, and the effects of the royalty impairments.  Prior to the functional currency election, certain deferred tax liabilities were measured on the difference between adjusted Canadian dollar acquisition cost and Canadian dollar tax basis.  These deferred tax liabilities were then marked-to market every quarter, for income tax expense (benefit) purposes, to account for changes in the Canadian dollar to U.S. dollar exchange rate.  Post-election, the applicable deferred tax liabilities will be measured on the difference between U.S. GAAP value and U.S. dollar tax basis.

 

On December 22, 2017, H.R. 1, originally known as the Tax Cuts and Jobs Act (the “Act”), was enacted and is effective for tax years including January 1, 2018.  Certain other aspects of the Act are not effective for fiscal June 30 companies until July 1, 2018.

 

The Act, among other things, reduced the U.S. corporate income tax rate to 21% starting January 1, 2018.  As the Company is a fiscal year tax payer, we applied a blended U.S. federal income tax rate of approximately 28.1% for the fiscal year ending June 30, 2018.  The blended percentage was calculated on a pro-rata percentage of the number of days before and after January 1, 2018.  The Company’s U.S. federal corporate income tax rate will be 21% for the fiscal year commencing on July 1, 2018 and all future years.

 

ASC 740, Income Taxes, requires recognition of the effects of tax law changes in the period of enactment.  As a result, the Company recorded a net charge (expense) of $30.7 million for the year ended June 30, 2018.  This amount is included in Income tax expense on our consolidated statements of operations and comprehensive (loss) income.  The tax expense consists of three components: (i) a $12.3 million charge relating to the one-time mandatory tax on the net accumulated post-1986 untaxed earnings and profits of the Company’s foreign subsidiaries, which we will elect to pay over an eight-year period, (ii) a $1.2 million charge resulting from the re-measurement of the Company’s net deferred tax assets and liabilities, and (iii) a $17.2 million charge related to re-measurement of the U.S. income tax impacts resulting from foreign uncertain tax positions.

 

The net $30.7 million charge represents what the Company believes is a reasonable estimate of the impact of the Act.  As the net charge is based on currently available information and interpretations, which are continuing to evolve, all amounts should be considered provisional.  The Company will continue to analyze additional information and guidance related to the Act as supplemental legislation, regulatory guidance, or evolving technical interpretations become available.  The final impacts may differ from the recorded amounts as of June 30, 2018 and the Company will continue to refine such amounts within the measurement period provided by Staff Accounting Bulletin No. 118 (“SAB 118”).  The Company expects to complete its analysis no later than the second quarter of fiscal year 2019.

 

The Company is in the process of assessing the Act’s impact, if any, on its indefinite reinvestment assertion.  If there are any changes to the indefinite reinvestment assertion as a result of our analysis of the Act, the Company will disclose any tax impacts in the appropriate period, pursuant to SAB 118.

 

The tax effects of temporary differences and carryforwards, which give rise to our deferred tax assets and liabilities at June 30, 2018 and 2017, are as follows:

 

 

 

 

 

 

 

 

 

2018

 

2017

 

 

(Amounts in thousands)

Deferred tax assets:

    

 

  

    

 

  

Stock-based compensation

 

$

805

 

$

5,979

Net operating losses

 

 

1,933

 

 

5,341

Foreign tax credits

 

 

11,172

 

 

19,869

Other

 

 

7,346

 

 

7,382

Total deferred tax assets

 

 

21,256

 

 

38,571

Valuation allowance

 

 

(12,811)

 

 

(6,474)

Net deferred tax assets

 

$

8,445

 

$

32,097

Deferred tax liabilities:

 

 

  

 

 

  

Mineral property basis

 

$

(74,274)

 

$

(122,870)

Unrealized foreign exchange gains

 

 

(664)

 

 

(1,097)

2019 Notes

 

 

(2,631)

 

 

(8,634)

Investment in Peak Gold joint venture

 

 

(4,359)

 

 

(5,475)

Other

 

 

(213)

 

 

(595)

Total deferred tax liabilities

 

 

(82,141)

 

 

(138,671)

Total net deferred taxes

 

$

(73,696)

 

$

(106,574)

 

The Company reviews the measurement of its deferred tax assets at each balance sheet date.  The Company’s analysis indicates a cumulative three-years of historical losses primarily as the result of fiscal year 2018 and 2016 impairments of certain non-producing assets.  Considering all available positive and negative evidence, including but not limited to recent earnings history and forecasted future results, the Company believes it is more likely-than-not that all net deferred tax assets not currently burdened with a valuation allowance will be fully realized.  As of June 30, 2018 and 2017, the Company had $12.8 million and $6.5 million of valuation allowances recorded, respectively.  The valuation allowance remaining at June 30, 2018 is attributable to US foreign tax credits and capital loss carryforwards in non‑US subsidiaries.

At June 30, 2018 and 2017, the Company had $7.1 million and $32.1 million of net operating loss carry forwards, respectively. The decrease in the net operating loss carry forwards is primarily attributable to the utilization of net operating losses by non‑U.S. subsidiaries.  The majority of the tax loss carry forwards are in jurisdictions that allow a twenty year carry forward period.  As a result, these losses do not begin to expire until the 2036 tax year, and the Company anticipates the losses will be fully utilized.

As of June 30, 2018 and 2017, the Company had $36.3 million and $28.5 million of unrecognized tax benefits, respectively.  If recognized, these unrecognized tax benefits would positively impact the Company’s effective income tax rate. A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows:

 

 

 

 

 

 

 

 

 

 

 

 

2018

 

2017

 

2016

 

 

(Amounts in thousands)

Total gross unrecognized tax benefits at beginning of year

    

$

28,542

    

$

26,960

    

$

26,120

Additions / Reductions for tax positions of current year

 

 

1,624

 

 

1,394

 

 

840

Additions / Reductions for tax positions of prior years

 

 

6,180

 

 

188

 

 

 —

Reductions due to settlements with taxing authorities

 

 

 —

 

 

 —

 

 

 —

Reductions due to lapse of statute of limitations

 

 

 —

 

 

 —

 

 

 —

Total amount of gross unrecognized tax benefits at end of year

 

$

36,346

 

$

28,542

 

$

26,960

 

The Company or one of its subsidiaries files income tax returns in the U.S. federal jurisdiction, and various state and foreign jurisdictions.  With few exceptions, the Company is no longer subject to U.S. Federal, state and local, and non‑U.S. income tax examinations by tax authorities for fiscal years before 2014. As a result of (i) statutes of limitation that will begin to expire within the next 12 months in various jurisdictions, (ii) possible settlements of audit‑related issues with taxing authorities in various jurisdictions with respect to which none of the issues are individually significant, and (iii) additional accrual of exposure and interest on existing items, the Company believes that it is reasonably possible that the total amount of its net unrecognized income tax benefits will not decrease in the next 12 months.

The Company’s continuing practice is to recognize interest and/or penalties related to unrecognized tax benefits as part of its income tax expense.  At June 30, 2018 and 2017, the amount of accrued income‑tax‑related interest and penalties was $9.8 million and $6.8 million, respectively.  The gross unrecognized tax benefits reflected in the tabular reconciliation do not include interest and penalties and are not reduced by advanced deposits of $12.8 million made to taxing authorities.

v3.10.0.1
SUPPLEMENTAL CASH FLOW INFORMATION
12 Months Ended
Jun. 30, 2018
SUPPLEMENTAL CASH FLOW INFORMATION  
SUPPLEMENTAL CASH FLOW INFORMATION

11. SUPPLEMENTAL CASH FLOW INFORMATION

The Company’s supplemental cash flow information for the fiscal years ending June 30, 2018,  2017 and 2016 is as follows:

 

 

 

 

 

 

 

 

 

 

 

 

2018

 

2017

 

2016

 

 

(Amounts in thousands)

Cash paid (received) during the period for:

    

 

  

    

 

  

    

 

  

Interest

 

$

16,049

 

$

18,999

 

$

17,691

Income taxes, net of refunds

 

$

(3,058)

 

$

26,835

 

$

76,072

Non-cash investing and financing activities:

 

 

  

 

 

  

 

 

  

Dividends declared

 

$

64,811

 

$

62,066

 

$

59,388

 

v3.10.0.1
FAIR VALUE MEASUREMENTS
12 Months Ended
Jun. 30, 2018
FAIR VALUE MEASUREMENTS  
FAIR VALUE MEASUREMENTS

12. FAIR VALUE MEASUREMENTS

ASC 820 establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value.  The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements).  The three levels of the fair value hierarchy under ASC 820 are described below:

Level 1: Quoted prices for identical instruments in active markets;

Level 2: Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model‑derived valuations in which all significant inputs and significant value drivers are observable in active markets; and

Level 3: Prices or valuation techniques requiring inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).

The following table sets forth the Company’s financial assets measured at fair value on a recurring basis (at least annually) by level within the fair value hierarchy.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of June 30, 2018

 

 

Carrying

 

Fair Value

 

    

Amount

    

Total

    

Level 1

    

Level 2

    

Level 3

Assets (In thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Marketable equity securities(1)

 

$

19,210

 

$

19,210

 

$

19,210

 

$

 —

 

$

 —

Total assets

 

$

19,210

 

$

19,210

 

$

19,210

 

$

 —

 

$

 —

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities (In thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt(2)

 

$

434,236

 

$

393,132

 

$

393,132

 

$

 —

 

$

 —

Total liabilities

 

$

434,236

 

$

393,132

 

$

393,132

 

$

 —

 

$

 —


(1)

Included in Other assets on the Company’s consolidated balance sheets.

(2)

Included in the carrying amount is the equity component of our 2019 Notes in the amount of $77 million, which is included within Additional paid‑in capital in the Company’s consolidated balance sheets.

The Company’s marketable equity securities classified within Level 1 of the fair value hierarchy are valued using quoted market prices in active markets.  The fair value of the Level 1 marketable equity securities is calculated as the quoted market price of the marketable equity security multiplied by the quantity of shares held by the Company.  The Company’s debt classified within Level 1 of the fair value hierarchy is valued using quoted prices in an active market. 

As of June 30, 2018, the Company also had assets that, under certain conditions, are subject to measurement at fair value on a non‑recurring basis like those associated with stream and royalty interests, intangible assets and other long‑lived assets.  For these assets, measurement at fair value in periods subsequent to their initial recognition is applicable if any of these assets are determined to be impaired.  If recognition of these assets at their fair value becomes necessary, such measurements will be determined utilizing Level 3 inputs.  Refer to Note 4 for discussion of inputs used to develop fair value for those stream and royalty interests that were determined to be impaired during the fiscal years ended June 30, 2018 and 2016.

v3.10.0.1
MAJOR SOURCES OF REVENUE
12 Months Ended
Jun. 30, 2018
MAJOR SOURCES OF REVENUE  
MAJOR SOURCES OF REVENUE

13. MAJOR SOURCES OF REVENUE

Operators that contributed greater than 10% of the Company’s total revenue for any of fiscal years 2018,  2017 or 2016 were as follows (revenue amounts in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year 2018

 

Fiscal Year 2017

 

Fiscal Year 2016

 

 

 

 

 

 

Percentage of

 

 

 

 

Percentage of

 

 

 

 

Percentage of

 

 

 

 

 

 

total

 

 

 

 

total

 

 

 

 

total

 

Operator

 

Revenue

 

revenue

 

Revenue

 

revenue

 

Revenue

 

revenue

 

Centerra

    

$

133,534

    

29.1

%  

$

136,737

    

31.0

%  

$

125,438

    

34.9

%

Barrick

 

 

108,285

 

23.6

%  

 

104,009

 

23.6

%  

 

49,683

 

13.8

%

Teck

 

 

57,413

 

12.5

%  

 

60,251

 

13.7

%  

 

49,243

 

13.7

%

 

v3.10.0.1
COMMITMENTS AND CONTINGENCIES
12 Months Ended
Jun. 30, 2018
COMMITMENTS AND CONTINGENCIES  
COMMITMENTS AND CONTINGENCIES

14. COMMITMENTS AND CONTINGENCIES

Ilovica Gold Stream Acquisition

As of June 30, 2018, the Company’s conditional funding schedule, of $163.75 million as part of its Ilovica gold stream acquisition in October 2014 remains subject to certain conditions.

Voisey’s Bay

The Company indirectly owns a royalty on the Voisey’s Bay mine in Newfoundland and Labrador owned by Vale Newfoundland & Labrador Limited (“VNL”).  The royalty is directly owned by the Labrador Nickel Royalty Limited Partnership (“LNRLP”), in which the Company’s wholly‑owned indirect subsidiary, Voisey’s Bay Holding Corporation, is the general partner and 90% owner.  The remaining 10% interest in LNRLP is owned by Altius Royalty Corporation, a company unrelated to Royal Gold.

On October 6, 2017, LNRLP filed a Fresh as Amended Statement of Claim amending the original October 16, 2009 Statement of Claim and amendments thereto made in December 2014, in the Supreme Court of Newfoundland and Labrador Trial Division against Vale Inco Limited, now known as Vale Canada Limited and its wholly-owned subsidiaries, Vale Inco Atlantic Sales Limited and VNL, related to calculation of the NSR on the sale of concentrates, including nickel concentrates, from the Voisey’s Bay mine.  LNRLP asserts that the defendants have incorrectly calculated the NSR since production at Voisey’s Bay began in late 2005 and since defendants began processing Voisey’s Bay concentrates at the new Long Harbour processing facility, and that the defendants have breached their contractual duties of good faith in several ways.  LNRLP requests an order in respect of the correct calculation of future payments, and unspecified damages for non-payment and underpayment of past royalties to the date of the claim, together with additional damages until the date of trial, interest, costs and other damages.  Trial is expected to commence in the first quarter of fiscal 2019.

 

 

v3.10.0.1
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED)
12 Months Ended
Jun. 30, 2018
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED)  
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED)

15. QUARTERLY RESULTS OF OPERATIONS (UNAUDITED)

The following is a summary of selected quarterly financial information (unaudited).  Some amounts in the below table may not sum‑up in total as a result of rounding.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net (loss) income

 

 

 

 

 

 

 

 

 

 

 

Operating

 

attributable to

 

Basic (loss)

 

Diluted (loss)

 

 

 

 

 

(loss)

 

Royal Gold

 

earnings per

 

earnings per

 

 

Revenue

 

income

 

stockholders

 

share

 

share

 

 

(Amounts in thousands except per share data)

Fiscal year 2018 quarter-ended:

    

 

  

    

 

  

    

 

  

    

 

  

    

 

  

September 30, 

 

$

112,476

 

$

41,720

 

$

28,631

 

$

0.44

 

$

0.44

December 31, 

 

 

114,348

 

 

40,962

 

 

(14,765)

 

 

(0.23)

 

 

(0.23)

March 31, 

 

 

115,983

 

 

(193,464)

 

 

(153,650)

 

 

(2.35)

 

 

(2.35)

June 30, 

 

 

116,235

 

 

36,247

 

 

26,650

 

 

0.41

 

 

0.41

 

 

$

459,042

 

$

(74,535)

 

$

(113,134)

 

$

(1.73)

 

$

(1.73)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal year 2017 quarter-ended:

 

(Amounts in thousands except per share data)

September 30, 

 

$

117,947

 

$

40,891

 

$

29,787

 

$

0.46

 

$

0.46

December 31, 

 

 

106,961

 

 

34,481

 

 

28,062

 

 

0.43

 

 

0.43

March 31, 

 

 

106,972

 

 

35,951

 

 

23,661

 

 

0.36

 

 

0.36

June 30, 

 

 

108,934

 

 

34,619

 

 

20,020

 

 

0.31

 

 

0.31

 

 

$

440,814

 

$

145,942

 

$

101,530

 

$

1.55

 

$

1.55

 

v3.10.0.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND RECENTLY ISSUED AND RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS (Policies)
12 Months Ended
Jun. 30, 2018
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND RECENTLY ISSUED AND RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS  
Use of Estimates

Use of Estimates

The preparation of our financial statements in conformity with accounting principles generally accepted in the United States of America requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ significantly from those estimates.

Our most critical accounting estimates relate to our assumptions regarding future gold, silver, copper, and other metal prices and the estimates of reserves, production and recoveries of third‑party mine operators.  We rely on reserve estimates reported by the operators on the properties in which we have stream and royalty interests.  These estimates and the underlying assumptions affect the potential impairments of long‑lived assets and the ability to realize income tax benefits associated with deferred tax assets.  These estimates and assumptions also affect the rate at which we recognize revenue or charge depreciation, depletion and amortization to earnings.  On an ongoing basis, management evaluates these estimates and assumptions; however, actual amounts could differ from these estimates and assumptions.  Differences between estimates and actual amounts could differ significantly and are recorded in the period that the actual amounts are known.

Basis of Consolidation

Basis of Consolidation

The consolidated financial statements include the accounts of Royal Gold, Inc., its wholly‑owned subsidiaries and an entity over which control is achieved through means other than voting rights.  All intercompany accounts, transactions, income and expenses, and profits or losses have been eliminated on consolidation.  The Company follows the Accounting Standards Codification (“ASC”) guidance for identification and reporting for entities over which control is achieved through means other than voting rights.  The guidance defines such entities as Variable Interest Entities (“VIEs”).

Peak Gold JV    

Royal Gold, through its wholly‑owned subsidiary, Royal Alaska, LLC (“Royal Alaska”), and Contango ORE, Inc., through its wholly‑owned subsidiary CORE Alaska, LLC (together, “Contango”), entered into a limited liability company agreement for the Peak Gold JV, a joint venture for exploration and advancement of the Peak Gold Project located near Tok, Alaska.  The Company has identified the Peak Gold JV as a VIE, with Royal Alaska as the primary beneficiary, due to the legal structure and certain related factors of the limited liability company agreement for the Peak Gold JV.  The Company determined that the Peak Gold JV should be fully consolidated at fair value initially.  The fair value of the Company’s non‑controlling interest is $45.7 million and is based on the underlying value of the mineral property assigned to the Peak Gold JV, which is recorded as an exploration stage property within Stream and royalty interests, net on our consolidated balance sheets

Royal Alaska has the right to obtain up to 40% of the membership interest in the Peak Gold JV by making contributions of up to $30.0 million in cash to the Peak Gold JV by October 31, 2018.  As of June 30, 2018 and 2017, Royal Alaska has contributed $30.0 million and $18.0 million, respectively, and obtained a 40% and 29.5%, respectively, membership interest in the Peak Gold JV.

Royal Alaska will act as the manager of the Peak Gold JV and will be responsible for managing, directing and controlling the overall operations unless Royal Alaska is unanimously removed or resigns that position in the manner provided in the Peak Gold JV limited liability company agreement.

Cash and Equivalents

Cash and Equivalents

Cash and equivalents consist of all cash balances and highly liquid investments with an original maturity of three months or less.  Cash and equivalents were primarily held in cash deposit accounts as of June 30, 2018 and 2017.

Stream and Royalty Interests

Stream and Royalty Interests

Stream and royalty interests include acquired stream and royalty interests in production, development and exploration stage properties.  The costs of acquired stream and royalty interests are capitalized as tangible assets as such interests do not meet the definition of a financial asset under the ASC guidance.

Acquisition costs of production stage stream and royalty interests are depleted using the units of production method over the life of the mineral property (as sales occur under stream interests or royalty payments are recognized), which are estimated using proven and probable reserves as provided by the operator.  Acquisition costs of stream and royalty interests on development stage mineral properties, which are not yet in production, are not depleted until the property begins production.  Acquisition costs of stream or royalty interests on exploration stage mineral properties, where there are no proven and probable reserves, are not depleted.  When the associated exploration stage mineral interests are converted to proven and probable reserves, the cost basis is depleted over the remaining life of the mineral property, using proven and probable reserves.  The carrying values of exploration stage mineral interests are evaluated for impairment when information becomes available indicating that the production will not occur in the future.  Exploration costs are expensed when incurred.

Available-for-Sale Securities

Available‑for‑sale Securities

Investments in securities that management does not have the intent to sell in the near term and that have readily determinable fair values are classified as available‑for‑sale securities.  Unrealized gains and losses on these investments are recorded in accumulated other comprehensive (loss) income as a separate component of stockholders’ equity, except that declines in market value judged to be other than temporary are recognized in determining net income.  When investments are sold, the realized gains and losses on these investments, determined using the specific identification method, are included in determining net income.

The Company’s policy for determining whether declines in fair value of available‑for‑sale securities are other than temporary includes a quarterly analysis of the investments and a review by management of all investments for which the cost exceeds the fair value.  Any temporary declines in fair value are recorded as a charge to other comprehensive (loss) income.  This evaluation considers a number of factors including, but not limited to, the length of time and extent to which the fair value has been less than cost, the financial condition and near-term prospects of the issuer, and management’s ability and intent to hold the securities until fair value recovers.  If such impairment is determined by the Company to be other‑than‑temporary, the investment’s cost basis is written down to fair value and recorded in net income during the period the Company determines such impairment to be other‑than‑temporary.  The new cost basis is not changed for subsequent recoveries in fair value.  The carrying value of the Company’s available-for-sale securities as of June 30, 2018 and 2017 was $19.1 million and $3.7 million respectively, and is included in Other assets on our consolidated balance sheets.  The Company realized a gain of approximately $2.3 million on its available-for-sale securities during the fiscal year ended June 30, 2016.

 

As discussed further below under Recently Issued and Recently Adopted Accounting Standards, new Accounting Standards Update (“ASU”) guidance effective for the Company’s fiscal year beginning July 1, 2018 will change how the Company recognizes changes in fair value for its securities classified as available-for-sale securities under current guidance.

 

Asset Impairment

Asset Impairment

We evaluate long‑lived assets for impairment whenever events or changes in circumstances indicate that the related carrying amounts of an asset or group of assets may not be recoverable.  The recoverability of the carrying value of stream and royalty interests in production and development stage mineral properties is evaluated based upon estimated future undiscounted net cash flows from each stream and royalty interest using estimates of proven and probable reserves and other relevant information received from the operators.  We evaluate the recoverability of the carrying value of royalty interests in exploration stage mineral properties in the event of significant decreases in the price of gold, silver, copper, and other metals, and whenever new information regarding the mineral properties is obtained from the operator indicating that production will not likely occur or may be reduced in the future, thus potentially affecting the future recoverability of our stream or royalty interests.  Impairments in the carrying value of each property are measured and recorded to the extent that the carrying value in each property exceeds its estimated fair value, which is generally calculated using estimated future discounted cash flows.

Estimates of gold, silver, copper, and other metal prices, operators’ estimates of proven and probable reserves or mineralized material related to our stream or royalty properties, and operators’ estimates of operating and capital costs are subject to certain risks and uncertainties which may affect the recoverability of our investment in these stream and royalty interests in mineral properties.  It is possible that changes could occur to these estimates, which could adversely affect the net cash flows expected to be generated from these stream and royalty interests.  Refer to Note 4 for discussion and the results of our impairment assessments for the fiscal years ended June 30, 2018, 2017 and 2016.

Revenue Recognition

Revenue Recognition

Revenue is recognized pursuant to guidance in ASC 605 and based upon amounts contractually due pursuant to the underlying streaming or royalty agreement.  Specifically, revenue is recognized in accordance with the terms of the underlying stream or royalty agreements subject to (i) the pervasive evidence of the existence of the arrangements; (ii) the risks and rewards having been transferred; (iii) the stream or royalty being fixed or determinable; and (iv) the collectability being reasonably assured.  For our streaming agreements, we recognize revenue when the metal is sold.

 

Refer below under Recently Issued and Recently Adopted Accounting Standards for discussion on recently issued ASU guidance for the recognition of revenue from contracts with customers effective for the Company’s fiscal year beginning July 1, 2018.

 

Metal Sales

Metal Sales

Gold, silver and copper received under our metal streaming agreements are taken into inventory, and then sold primarily using average spot rate gold, silver and copper forward contracts.  The sales price for these average spot rate forward contracts is determined by the average daily gold, silver or copper spot prices during the term of the contract, typically a consecutive number of trading days between 10 days and three months (depending on the frequency of deliveries under the respective streaming agreement and our sales policy in effect at the time) commencing shortly after receipt and purchase of the metal.  Revenue from gold, silver and copper sales is recognized on the date of the settlement, which is also the date that title to the metal passes to the purchaser.

Cost of Sales

Cost of Sales

Cost of sales is specific to our stream agreements and is the result of our purchase of gold, silver and copper for a cash payment.  The cash payment for gold from Mount Milligan is the lesser of $435 per ounce or the prevailing market price of gold when purchased, while the cash payment for our other streams is a set contractual percentage of the gold, silver or copper spot price near the date of metal delivery.

Production taxes

Production taxes

Certain royalty payments are subject to production taxes (or mining proceeds taxes), which are recognized at the time of revenue recognition. Production taxes are not income taxes and are included within the costs and expenses section in the Company’s consolidated statements of operations and comprehensive (loss) income.

Exploration Costs

Exploration Costs

Exploration costs are specific to the Peak Gold JV for the exploration and advancement of the Peak Gold Project, as discussed further above under Basis of Consolidation.  Costs associated with the Peak Gold JV for the exploration and advancement of the Peak Gold Project are expensed when incurred.

Stock-Based Compensation

Stock‑Based Compensation

The Company accounts for stock‑based compensation in accordance with the guidance of ASC 718.  The Company recognizes all share‑based payments to employees, including grants of employee stock options, stock‑settled stock appreciation rights (“SSARs”), restricted stock and performance shares, in its financial statements based upon their fair values.

Reportable Segments and Geographical Information

Reportable Segments and Geographical Information

The Company manages its business under two reportable segments, consisting of the acquisition and management of stream interests and the acquisition and management of royalty interests. Royal Gold’s long‑lived assets (stream and royalty interests, net) as of June 30, 2018 and 2017 are geographically distributed as shown in the following table:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of June 30, 2018

 

As of June 30, 2017

 

 

 

 

 

 

 

 

 

 

 

Total stream

 

 

 

 

 

 

 

 

 

 

Total stream

 

 

Stream

 

Royalty

 

 

 

 

and royalty

 

Stream

 

Royalty

 

 

 

 

and royalty

 

  

interest

  

interest

  

Impairments

  

interests, net

  

interest

  

interest

  

Impairments

  

interests, net

Canada

 

$

809,500

 

$

214,562

 

$

(284)

 

$

1,023,778

 

$

852,035

 

$

221,618

 

$

 —

 

$

1,073,653

Dominican Republic

 

 

495,460

 

 

 —

 

 

 —

 

 

495,460

 

 

543,256

 

 

 —

 

 

 —

 

 

543,256

Chile

 

 

328,331

 

 

453,306

 

 

(239,080)

 

 

542,557

 

 

348,778

 

 

453,369

 

 

 —

 

 

802,147

Africa

 

 

104,874

 

 

502

 

 

 —

 

 

105,376

 

 

123,760

 

 

572

 

 

 —

 

 

124,332

Mexico

 

 

 —

 

 

93,277

 

 

 —

 

 

93,277

 

 

 —

 

 

105,889

 

 

 —

 

 

105,889

United States

 

 

 —

 

 

165,543

 

 

 —

 

 

165,543

 

 

 —

 

 

168,378

 

 

 —

 

 

168,378

Australia

 

 

 —

 

 

34,254

 

 

 —

 

 

34,254

 

 

 —

 

 

37,409

 

 

 —

 

 

37,409

Other

 

 

12,039

 

 

28,833

 

 

 —

 

 

40,872

 

 

12,030

 

 

25,162

 

 

 —

 

 

37,192

Total

 

$

1,750,204

 

$

990,277

 

$

 (239,364)

 

$

2,501,117

 

$

1,879,859

 

$

1,012,397

 

$

 —

 

$

2,892,256

 

The Company’s revenue, cost of sales and net revenue by reportable segment for our fiscal years ended June 30, 2018,  2017 and 2016 are geographically distributed as show in the following tables:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended June 30, 2018

 

Year Ended June 30, 2017

 

    

Revenue

    

Cost of sales

    

Net revenue

    

Revenue

    

Cost of sales

    

Net revenue

Streams:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Canada

 

$

142,244

 

$

40,766

 

$

101,478

 

$

136,736

 

$

45,954

 

$

90,782

Dominican Republic

 

 

95,055

 

 

28,496

 

 

66,559

 

 

91,589

 

 

27,191

 

 

64,398

Chile

 

 

57,413

 

 

8,614

 

 

48,799

 

 

60,251

 

 

9,037

 

 

51,214

Africa

 

 

29,804

 

 

5,963

 

 

23,841

 

 

25,435

 

 

5,083

 

 

20,352

Total streams

 

$

324,516

 

$

83,839

 

$

240,677

 

$

314,011

 

$

87,265

 

$

226,746

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Royalties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mexico

 

$

42,959

 

$

 —

 

$

42,959

 

$

41,945

 

$

 —

 

$

41,945

United States

 

 

39,496

 

 

 —

 

 

39,496

 

 

35,282

 

 

 —

 

 

35,282

Canada

 

 

24,254

 

 

 —

 

 

24,254

 

 

23,208

 

 

 —

 

 

23,208

Australia

 

 

13,710

 

 

 —

 

 

13,710

 

 

12,943

 

 

 —

 

 

12,943

Africa

 

 

2,098

 

 

 —

 

 

2,098

 

 

3,131

 

 

 —

 

 

3,131

Chile

 

 

473

 

 

 —

 

 

473

 

 

1,648

 

 

 —

 

 

1,648

Other

 

 

11,536

 

 

 —

 

 

11,536

 

 

8,646

 

 

 —

 

 

8,646

Total royalties

 

$

134,526

 

$

 —

 

$

134,526

 

$

126,803

 

$

 —

 

$

126,803

Total streams and royalties

 

$

459,042

 

$

83,839

 

$

375,203

 

$

440,814

 

$

87,265

 

$

353,549

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 2017

 

Fiscal Year Ended June 30, 2016

 

    

Revenue

    

Cost of sales

    

Net revenue

    

Revenue

    

Cost of sales

    

Net revenue

Streams:

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

Canada

 

$

136,736

 

$

45,954

 

$

90,782

 

$

125,755

 

$

47,417

 

$

78,338

Dominican Republic

 

 

91,589

 

 

27,191

 

 

64,398

 

 

39,684

 

 

11,625

 

 

28,059

Chile

 

 

60,251

 

 

9,037

 

 

51,214

 

 

49,243

 

 

7,280

 

 

41,963

Africa

 

 

25,435

 

 

5,083

 

 

20,352

 

 

23,346

 

 

4,657

 

 

18,689

Total streams

 

$

314,011

 

$

87,265

 

$

226,746

 

$

238,028

 

$

70,979

 

$

167,049

Royalties:

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

Mexico

 

$

41,945

 

$

 —

 

$

41,945

 

$

35,267

 

$

 —

 

$

35,267

United States

 

 

35,282

 

 

 —

 

 

35,282

 

 

35,483

 

 

 —

 

 

35,483

Canada

 

 

23,208

 

 

 —

 

 

23,208

 

 

30,676

 

 

 —

 

 

30,676

Australia

 

 

12,943

 

 

 —

 

 

12,943

 

 

10,462

 

 

 —

 

 

10,462

Africa

 

 

3,131

 

 

 —

 

 

3,131

 

 

1,868

 

 

 —

 

 

1,868

Chile

 

 

1,648

 

 

 —

 

 

1,648

 

 

84

 

 

 —

 

 

84

Other

 

 

8,646

 

 

 —

 

 

8,646

 

 

7,922

 

 

 —

 

 

7,922

Total royalties

 

$

126,803

 

$

 —

 

$

126,803

 

$

121,762

 

$

 —

 

$

121,762

Total streams and royalties

 

$

440,814

 

$

87,265

 

$

353,549

 

$

359,790

 

$

70,979

 

$

288,811

 

Income Taxes

Income Taxes

The Company accounts for income taxes in accordance with the guidance of ASC 740.  The Company’s annual tax rate is based on income, statutory tax rates in effect, and tax planning opportunities available to us in the various jurisdictions in which the Company operates.  Significant judgment is required in determining the annual tax expense, current tax assets and liabilities, deferred tax assets and liabilities, and our future taxable income, both as a whole and in various tax jurisdictions, for purposes of assessing our ability to realize future benefit from our deferred tax assets.  Actual income taxes could vary from these estimates due to future changes in income tax law, significant changes in the jurisdictions in which we operate or unpredicted results from the final determination of each year’s liability by taxing authorities.

The Company’s deferred income taxes reflect the impact of temporary differences between the reported amounts of assets and liabilities for financial reporting purposes and such amounts measured by tax laws and regulations.  In evaluating the realizability of the deferred tax assets, management considers both positive and negative evidence that may exist, such as earnings history, reversal of taxable temporary differences, forecasted operating earnings and available tax planning strategies in each tax jurisdiction.  A valuation allowance may be established to reduce our deferred tax assets to the amount that is considered more likely than not to be realized through the generation of future taxable income and other tax planning strategies.

The Company’s operations may involve dealing with uncertainties and judgments in the application of complex tax regulations in multiple jurisdictions.  The final taxes paid are dependent upon many factors, including negotiations with taxing authorities in various jurisdictions and resolution of disputes arising from federal, state, and international tax audits.  The Company recognizes potential liabilities and records tax liabilities for anticipated tax audit issues in the United States and other tax jurisdictions based on its estimate of whether, and the extent to which, additional taxes will be due.  The Company adjusts these reserves in light of changing facts and circumstances, such as the progress of a tax audit; however, due to the complexity of some of these uncertainties, the ultimate resolution could result in a payment that is materially different from our current estimate of the tax liabilities.  These differences will be reflected as increases or decreases to income tax expense in the period which they are determined. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits in income tax expense.

Comprehensive (Loss) Income

Comprehensive (Loss) Income

In addition to net income, comprehensive (loss) income includes changes in equity during a period associated with cumulative unrealized changes in the fair value of marketable securities held for sale, net of tax effects.

Earnings per Share

Earnings per Share

Basic (loss) earnings per share is computed by dividing net (loss) income available to Royal Gold common stockholders by the weighted average number of outstanding common shares for the period, considering the effect of participating securities. Diluted (loss) earnings per share reflect the potential dilution that could occur if securities or other contracts that may require issuance of common shares were converted.  Diluted (loss) earnings per share is computed by dividing net (loss) income available to common stockholders by the diluted weighted average number of common shares outstanding during each fiscal year.

Reclassification

Reclassifications

 

Certain income tax amounts in the prior period consolidated balance sheet and consolidated statement of cash flows have been reclassified to conform with the presentation in the current period consolidated balance sheet and consolidated statement of cash flows.  The reclassifications had no effect on reported net (loss) income.

Recently Issued and Recently Adopted Accounting Standards

Recently Issued and Recently Adopted Accounting Standards

Recently Issued

 

In January 2017, the Financial Accounting Standards Board (“FASB”) issued ASU guidance clarifying the definition of a business and providing additional guidance for determining whether transactions should be accounted for as acquisitions of assets or businesses.  The new guidance is effective for the Company’s fiscal year beginning July 1, 2018 and early adoption is permitted.  The new guidance is required to be applied on a prospective basis.  The Company is evaluating the new guidance.

 

In January 2016, the FASB issued ASU guidance on the recognition and measurement of financial instruments.  The amended guidance requires, among other things that equity securities classified as available-for-sale be measured at fair value with changes in fair value recognized in net income rather than other comprehensive (loss) income as required under previous guidance.  The new guidance is effective for the Company’s fiscal year beginning July 1, 2018.  The Company will record a cumulative-effect adjustment in Accumulated (losses) earnings as of adoption. 

 

In February 2016, the FASB issued ASU guidance which changes the accounting for leases.  The new guidance is effective for the Company’s fiscal year beginning July 1, 2019, and early adoption is permitted.  We are currently evaluating the impact, if any, this guidance will have on our consolidated financial statements and footnote disclosures.

 

In May 2014, the FASB issued ASU guidance for the recognition of revenue from contracts with customers.  This ASU superseded virtually all of the existing revenue recognition guidance under U.S. GAAP.  The core principle of the five step model is that an entity will recognize revenue when it transfers control of goods or services to customers at an amount that reflects the consideration to which it expects to be entitled in exchange for those goods or services. Entities can choose to apply the standard using either the full retrospective approach or a modified retrospective approach.  The standard is effective for the Company’s fiscal year beginning July 1, 2018. 

 

We plan to implement the new ASU revenue recognition guidance as of July 1, 2018, using the modified retrospective method with the cumulative effect, if any, of initial adoption to be recognized in Accumulated (losses) earnings at the date of initial application.   Through the implementation process, we have reviewed a sample of contracts that is representative of the composition of our material revenue streams and royalties.  Based on the evaluation performed to-date, we do not anticipate that the adoption of the new ASU revenue recognition guidance will have a material impact, if any, to our consolidated financial statements.  We continue to evaluate the new disclosure requirements, and we expect that our disclosures surrounding revenue recognition will be more robust upon adoption of the new revenue recognition guidance.

 

Recently Adopted

 

In March 2016, the FASB issued ASU guidance related to stock-based compensation.  The new guidance simplifies the accounting for stock-based compensation transactions, including income tax consequences, statement of cash flows presentation, estimating forfeitures when calculating compensation expense, and classification of awards as either equity or liabilities. 

 

The new standard requires all excess tax benefits and tax deficiencies to be recognized as income tax benefit (expense) in the income statement.  The new guidance also requires presentation of excess tax benefits as an operating activity on the statement of cash flows rather than a financing activity and requires presentation of cash paid to a tax authority when shares are withheld to satisfy the employer’s statutory income tax withholding obligation as a financing activity.  The new guidance also provides for an election to account for forfeitures of stock-based compensation. 

 

The Company adopted the guidance effective July 1, 2017.  With respect to the forfeiture election, the Company will continue its current practice of estimating forfeitures when calculating compensation expense.  The adoption of this standard did not have a material impact on the Company’s consolidated financial statements or related disclosures.

v3.10.0.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND RECENTLY ISSUED AND RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS (Tables)
12 Months Ended
Jun. 30, 2018
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND RECENTLY ISSUED AND RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS  
Schedule of geographical distribution of long-lived assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of June 30, 2018

 

As of June 30, 2017

 

 

 

 

 

 

 

 

 

 

 

Total stream

 

 

 

 

 

 

 

 

 

 

Total stream

 

 

Stream

 

Royalty

 

 

 

 

and royalty

 

Stream

 

Royalty

 

 

 

 

and royalty

 

  

interest

  

interest

  

Impairments

  

interests, net

  

interest

  

interest

  

Impairments

  

interests, net

Canada

 

$

809,500

 

$

214,562

 

$

(284)

 

$

1,023,778

 

$

852,035

 

$

221,618

 

$

 —

 

$

1,073,653

Dominican Republic

 

 

495,460

 

 

 —

 

 

 —

 

 

495,460

 

 

543,256

 

 

 —

 

 

 —

 

 

543,256

Chile

 

 

328,331

 

 

453,306

 

 

(239,080)

 

 

542,557

 

 

348,778

 

 

453,369

 

 

 —

 

 

802,147

Africa

 

 

104,874

 

 

502

 

 

 —

 

 

105,376

 

 

123,760

 

 

572

 

 

 —

 

 

124,332

Mexico

 

 

 —

 

 

93,277

 

 

 —

 

 

93,277

 

 

 —

 

 

105,889

 

 

 —

 

 

105,889

United States

 

 

 —

 

 

165,543

 

 

 —

 

 

165,543

 

 

 —

 

 

168,378

 

 

 —

 

 

168,378

Australia

 

 

 —

 

 

34,254

 

 

 —

 

 

34,254

 

 

 —

 

 

37,409

 

 

 —

 

 

37,409

Other

 

 

12,039

 

 

28,833

 

 

 —

 

 

40,872

 

 

12,030

 

 

25,162

 

 

 —

 

 

37,192

Total

 

$

1,750,204

 

$

990,277

 

$

 (239,364)

 

$

2,501,117

 

$

1,879,859

 

$

1,012,397

 

$

 —

 

$

2,892,256

 

Schedule of revenue, cost of sales and net revenue by reportable segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended June 30, 2018

 

Year Ended June 30, 2017

 

    

Revenue

    

Cost of sales

    

Net revenue

    

Revenue

    

Cost of sales

    

Net revenue

Streams:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Canada

 

$

142,244

 

$

40,766

 

$

101,478

 

$

136,736

 

$

45,954

 

$

90,782

Dominican Republic

 

 

95,055

 

 

28,496

 

 

66,559

 

 

91,589

 

 

27,191

 

 

64,398

Chile

 

 

57,413

 

 

8,614

 

 

48,799

 

 

60,251

 

 

9,037

 

 

51,214

Africa

 

 

29,804

 

 

5,963

 

 

23,841

 

 

25,435

 

 

5,083

 

 

20,352

Total streams

 

$

324,516

 

$

83,839

 

$

240,677

 

$

314,011

 

$

87,265

 

$

226,746

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Royalties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mexico

 

$

42,959

 

$

 —

 

$

42,959

 

$

41,945

 

$

 —

 

$

41,945

United States

 

 

39,496

 

 

 —

 

 

39,496

 

 

35,282

 

 

 —

 

 

35,282

Canada

 

 

24,254

 

 

 —

 

 

24,254

 

 

23,208

 

 

 —

 

 

23,208

Australia

 

 

13,710

 

 

 —

 

 

13,710

 

 

12,943

 

 

 —

 

 

12,943

Africa

 

 

2,098

 

 

 —

 

 

2,098

 

 

3,131

 

 

 —

 

 

3,131

Chile

 

 

473

 

 

 —

 

 

473

 

 

1,648

 

 

 —

 

 

1,648

Other

 

 

11,536

 

 

 —

 

 

11,536

 

 

8,646

 

 

 —

 

 

8,646

Total royalties

 

$

134,526

 

$

 —

 

$

134,526

 

$

126,803

 

$

 —

 

$

126,803

Total streams and royalties

 

$

459,042

 

$

83,839

 

$

375,203

 

$

440,814

 

$

87,265

 

$

353,549

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 2017

 

Fiscal Year Ended June 30, 2016

 

    

Revenue

    

Cost of sales

    

Net revenue

    

Revenue

    

Cost of sales

    

Net revenue

Streams:

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

Canada

 

$

136,736

 

$

45,954

 

$

90,782

 

$

125,755

 

$

47,417

 

$

78,338

Dominican Republic

 

 

91,589

 

 

27,191

 

 

64,398

 

 

39,684

 

 

11,625

 

 

28,059

Chile

 

 

60,251

 

 

9,037

 

 

51,214

 

 

49,243

 

 

7,280

 

 

41,963

Africa

 

 

25,435

 

 

5,083

 

 

20,352

 

 

23,346

 

 

4,657

 

 

18,689

Total streams

 

$

314,011

 

$

87,265

 

$

226,746

 

$

238,028

 

$

70,979

 

$

167,049

Royalties:

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

Mexico

 

$

41,945

 

$

 —

 

$

41,945

 

$

35,267

 

$

 —

 

$

35,267

United States

 

 

35,282

 

 

 —

 

 

35,282

 

 

35,483

 

 

 —

 

 

35,483

Canada

 

 

23,208

 

 

 —

 

 

23,208

 

 

30,676

 

 

 —

 

 

30,676

Australia

 

 

12,943

 

 

 —

 

 

12,943

 

 

10,462

 

 

 —

 

 

10,462

Africa

 

 

3,131

 

 

 —

 

 

3,131

 

 

1,868

 

 

 —

 

 

1,868

Chile

 

 

1,648

 

 

 —

 

 

1,648

 

 

84

 

 

 —

 

 

84

Other

 

 

8,646

 

 

 —

 

 

8,646

 

 

7,922

 

 

 —

 

 

7,922

Total royalties

 

$

126,803

 

$

 —

 

$

126,803

 

$

121,762

 

$

 —

 

$

121,762

Total streams and royalties

 

$

440,814

 

$

87,265

 

$

353,549

 

$

359,790

 

$

70,979

 

$

288,811

 

v3.10.0.1
STREAM AND ROYALTY INTERESTS, NET (Tables)
12 Months Ended
Jun. 30, 2018
STREAM AND ROYALTY INTERESTS, NET  
Schedule of royalty and stream interests

 

 

 

 

 

 

 

 

 

 

 

 

 

As of June 30, 2018 (Amounts in thousands):

    

Cost

    

Accumulated Depletion

    

Impairments

 

Net

Production stage stream interests:

 

 

 

 

 

 

 

 

 

 

 

 

Mount Milligan

 

$

790,635

 

$

(152,833)

 

$

 —

 

$

637,802

Pueblo Viejo

 

 

610,404

 

 

(114,944)

 

 

 —

 

 

495,460

Andacollo

 

 

388,182

 

 

(59,851)

 

 

 —

 

 

328,331

Wassa and Prestea

 

 

146,475

 

 

(41,601)

 

 

 —

 

 

104,874

Rainy River

 

 

175,727

 

 

(4,028)

 

 

 —

 

 

171,699

Total production stage stream interests

 

 

2,111,423

 

 

(373,257)

 

 

 —

 

 

1,738,166

Production stage royalty interests:

 

 

 

 

 

 

 

 

 

 

 

 

Voisey's Bay

 

 

205,724

 

 

(86,933)

 

 

 —

 

 

118,791

Peñasquito

 

 

99,172

 

 

(38,426)

 

 

 —

 

 

60,746

Holt

 

 

34,612

 

 

(21,173)

 

 

 —

 

 

13,439

Cortez

 

 

20,878

 

 

(11,241)

 

 

 —

 

 

9,637

Other

 

 

483,795

 

 

(364,795)

 

 

 —

 

 

119,000

Total production stage royalty interests

 

 

844,181

 

 

(522,568)

 

 

 —

 

 

321,613

Total production stage stream and royalty interests

 

 

2,955,604

 

 

(895,825)

 

 

 —

 

 

2,059,779

 

 

 

 

 

 

 

 

 

 

 

 

 

Development stage stream interests:

 

 

 

 

 

 

 

 

 

 

 

 

Other

 

 

12,038

 

 

 —

 

 

 —

 

 

12,038

 

 

 

 

 

 

 

 

 

 

 

 

 

Development stage royalty interests:

 

 

 

 

 

 

 

 

 

 

 

 

Cortez

 

 

59,803

 

 

 —

 

 

 —

 

 

59,803

Other

 

 

74,610

 

 

 —

 

 

(284)

 

 

74,326

Total development stage royalty interests

 

 

134,413

 

 

 —

 

 

(284)

 

 

134,129

Total development stage stream and royalty interests

 

 

146,451

 

 

 —

 

 

(284)

 

 

146,167

 

 

 

 

 

 

 

 

 

 

 

 

 

Exploration stage royalty interests:

 

 

 

 

 

 

 

 

 

 

 

 

Pascua-Lama

 

 

416,770

 

 

 —

 

 

(239,080)

 

 

177,690

Other

 

 

117,481

 

 

 —

 

 

 -

 

 

117,481

Total exploration stage royalty interests

 

 

534,251

 

 

 —

 

 

(239,080)

 

 

295,171

Total stream and royalty interests, net

 

$

3,636,306

 

$

(895,825)

 

$

(239,364)

 

$

2,501,117

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of June 30, 2017 (Amounts in thousands):

    

Cost

    

Accumulated Depletion

    

Impairments

 

Net

Production stage stream interests:

 

 

 

 

 

 

 

 

 

 

 

 

Mount Milligan

 

$

790,635

 

$

(114,327)

 

$

 —

 

$

676,308

Pueblo Viejo

 

 

610,404

 

 

(67,149)

 

 

 —

 

 

543,255

Andacollo

 

 

388,182

 

 

(39,404)

 

 

 —

 

 

348,778

Wassa and Prestea

 

 

146,475

 

 

(22,715)

 

 

 —

 

 

123,760

Total production stage stream interests

 

 

1,935,696

 

 

(243,595)

 

 

 —

 

 

1,692,101

Production stage royalty interests:

 

 

 

 

 

 

 

 

 

 

 

 

Voisey's Bay

 

 

205,724

 

 

(85,671)

 

 

 —

 

 

120,053

Peñasquito

 

 

99,172

 

 

(34,713)

 

 

 —

 

 

64,459

Holt

 

 

34,612

 

 

(19,669)

 

 

 —

 

 

14,943

Cortez

 

 

20,873

 

 

(10,633)

 

 

 —

 

 

10,240

Other

 

 

483,643

 

 

(337,958)

 

 

 —

 

 

145,685

Total production stage royalty interests

 

 

844,024

 

 

(488,644)

 

 

 —

 

 

355,380

Total production stage stream and royalty interests

 

 

2,779,720

 

 

(732,239)

 

 

 —

 

 

2,047,481

Development stage stream interests:

 

 

 

 

 

 

 

 

 

 

 

 

Rainy River

 

 

175,727

 

 

 —

 

 

 —

 

 

175,727

Other

 

 

12,031

 

 

 —

 

 

 —

 

 

12,031

Total development stage stream interests

 

 

187,758

 

 

 —

 

 

 —

 

 

187,758

Development stage royalty interests:

 

 

 

 

 

 

 

 

 

 

 

 

Pascua-Lama

 

 

380,657

 

 

 —

 

 

 —

 

 

380,657

Cortez

 

 

59,803

 

 

 —

 

 

 —

 

 

59,803

Other

 

 

63,811

 

 

 —

 

 

 —

 

 

63,811

Total development stage royalty interests

 

 

504,271

 

 

 —

 

 

 —

 

 

504,271

Total development stage stream and royalty interests

 

 

692,029

 

 

 —

 

 

 —

 

 

692,029

Total exploration stage royalty interests

 

 

152,746

 

 

 —

 

 

 —

 

 

152,746

Total stream and royalty interests, net

 

$

3,624,495

 

$

(732,239)

 

$

 —

 

$

2,892,256

 

Schedule of impairment charges

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

    

    

2018

    

2017

    

2016

 

 

 

 

(Amounts in thousands)

Stream:

 

 

 

 

 

 

 

 

 

 

Phoenix Gold

 

 

$

 —

 

$

 —

 

$

75,702

Royalty:

 

 

 

 

 

 

 

 

 

 

Pascua-Lama

 

 

 

239,080

 

 

 —

 

 

 —

Inata

 

 

 

 —

 

 

 —

 

 

11,982

Wolverine

 

 

 

 —

 

 

 —

 

 

5,307

Other

 

 

 

284

 

 

 —

 

 

3,127

Total impairment of stream and royalty interests

 

 

$

239,364

 

$

 —

 

$

96,118

Inata royalty receivable

 

 

 

 

 

 

 —

 

 

2,855

Wolverine royalty receivable

 

 

 

 

 

 

 —

 

 

(385)

Total impairment of stream and royalty interests and royalty receivables

 

 

$

239,364

 

$

 —

 

$

98,588

 

v3.10.0.1
DEBT (Tables)
12 Months Ended
Jun. 30, 2018
DEBT  
Schedule of non-current debt

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of June 30, 2018

 

As of June 30, 2017

 

   

Principal

   

Unamortized Discount

   

Debt Issuance Costs

   

Total

   

Principal

   

Unamortized Discount

   

Debt Issuance Costs

   

Total

 

 

 

(Amounts in thousands)

 

 

(Amounts in thousands)

Convertible notes due 2019

 

$

370,000

 

$

(12,764)

 

$

(1,316)

 

$

355,920

 

$

370,000

 

$

(25,251)

 

$

(2,646)

 

$

342,103

Revolving credit facility

 

 

 —

 

 

 —

 

 

(4,893)

 

 

(4,893)

 

 

250,000

 

 

 —

 

 

(5,933)

 

 

244,067

Total debt

 

$

370,000

 

$

(12,764)

 

$

(6,209)

 

$

351,027

 

$

620,000

 

$

(25,251)

 

$

(8,579)

 

$

586,170

 

v3.10.0.1
REVENUE (Tables)
12 Months Ended
Jun. 30, 2018
REVENUE  
Schedule of revenue

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

    

2018

    

2017

    

2016

 

 

 

(Amounts in thousands)

Stream interests

 

$

324,516

 

$

314,011

 

$

238,028

Royalty interests

 

 

134,526

 

 

126,803

 

 

121,762

Total revenue

 

$

459,042

 

$

440,814

 

$

359,790

 

v3.10.0.1
STOCK-BASED COMPENSATION (Tables)
12 Months Ended
Jun. 30, 2018
STOCK-BASED COMPENSATION  
Schedule of recognized stock-based compensation expense

 

 

 

 

 

 

 

 

 

 

 

 

For the Fiscal Year Ended

 

 

June 30, 

 

    

2018

 

2017

    

2016

 

 

 

(Amounts in thousands)

Stock options

 

$

318

 

$

393

 

$

454

Stock appreciation rights

 

 

1,988

 

 

1,851

 

 

1,687

Restricted stock

 

 

4,487

 

 

3,840

 

 

3,686

Performance stock

 

 

1,486

 

 

3,899

 

 

4,212

Total stock-based compensation expense

 

$

8,279

 

$

9,983

 

$

10,039

 

Schedule of valuation assumptions of stock options and stock appreciation rights

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stock Options

 

SSARs

 

 

 

2018

 

2017

    

2016

    

2018

 

2017

 

2016

 

Weighted-average expected volatility

    

42.2

%  

41.7

%  

36.9

%  

42.4

%  

41.1

%  

36.9

%

Weighted-average expected life in years

 

5.5

 

5.5

 

5.5

 

5.4

 

5.8

 

5.4

 

Weighted-average dividend yield

 

1.10

%  

1.11

%  

1.06

%  

1.10

%  

1.11

%  

1.00

%

Weighted-average risk free interest rate

 

1.8

%  

1.2

%  

1.6

%  

1.8

%  

1.3

%  

1.6

%

 

Summary of stock options activity

 

 

 

 

 

 

 

 

 

 

 

 

    

 

    

 

 

    

Weighted-

    

 

 

 

 

 

 

Weighted-

 

Average

 

 

 

 

 

 

 

Average

 

Remaining

 

Aggregate

 

 

Number of

 

Exercise

 

Contractual

 

Intrinsic Value

 

 

Shares

 

Price

 

Life (Years)

 

(in thousands)

Outstanding at July 1, 2017

 

107,825

 

$

64.13

 

  

 

 

  

Granted

 

6,858

 

$

87.42

 

  

 

 

  

Exercised

 

(48,123)

 

$

60.18

 

  

 

 

  

Forfeited

 

(333)

 

$

56.54

 

  

 

 

  

Outstanding at June 30, 2018

 

66,227

 

$

69.35

 

6.2

 

$

1,549

Exercisable at  June 30, 2018

 

48,957

 

$

68.36

 

5.6

 

$

1,199

 

Summary of SSARs activity

 

 

 

 

 

 

 

 

 

 

 

 

    

 

    

 

 

    

Weighted-

    

 

 

 

 

 

 

Weighted-

 

Average

 

 

 

 

 

 

 

Average

 

Remaining

 

Aggregate

 

 

Number of

 

Exercise

 

Contractual

 

Intrinsic Value

 

 

Shares

 

Price

 

Life (Years)

 

(in thousands)

Outstanding at July 1, 2017

 

424,145

 

$

66.19

 

  

 

 

  

Granted

 

71,262

 

$

87.42

 

  

 

 

  

Exercised

 

(241,421)

 

$

62.52

 

  

 

 

  

Forfeited

 

(1,100)

 

$

85.92

 

  

 

 

  

Outstanding at June 30, 2018

 

252,886

 

$

75.60

 

7.3

 

$

4,360

Exercisable at June 30, 2018

 

125,152

 

$

71.59

 

6.2

 

$

2,659

 

Summary of non-vested awards

 

 

 

 

 

 

 

    

 

    

Weighted-

 

 

 

 

Average

 

 

Number of

 

Grant Date

 

 

Shares

 

Fair Value

Non-vested at July 1, 2017

 

233,845

 

$

61.07

Granted

 

68,020

 

$

76.20

Vested

 

(70,046)

 

$

68.83

Forfeited

 

(13,030)

 

$

60.76

Non-attainment

 

(34,125)

 

$

71.77

Non-vested at June 30, 2018

 

184,664

 

$

61.75

 

Summary of the status of non-vested restricted stock

 

 

 

 

 

 

 

    

 

    

Weighted-

 

 

 

 

Average

 

 

Number of

 

Grant Date

 

 

Shares

 

Fair Value

Non-vested at July 1, 2017

 

166,810

 

$

68.60

Granted

 

50,380

 

$

87.42

Vested

 

(69,440)

 

$

72.99

Forfeited

 

(2,967)

 

$

73.55

Non-vested at June 30, 2018

 

144,783

 

$

72.94

 

v3.10.0.1
EARNINGS PER SHARE ("EPS") (Tables)
12 Months Ended
Jun. 30, 2018
EARNINGS PER SHARE ("EPS")  
Summary of the effects of dilutive securities on diluted EPS

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

    

2018

    

2017

    

2016

 

 

(in thousands, except per share data)

Net (loss) income available to Royal Gold common stockholders

 

$

(113,134)

 

$

101,530

 

$

(77,149)

Weighted-average shares for basic EPS

 

 

65,291,855

 

 

65,152,782

 

 

65,074,455

Effect of other dilutive securities

 

 

 —

 

 

125,171

 

 

 —

Weighted-average shares for diluted EPS

 

 

65,291,855

 

 

65,277,953

 

 

65,074,455

Basic (loss) earnings per share

 

$

(1.73)

 

$

1.55

 

$

(1.18)

Diluted (loss) earnings per share

 

$

(1.73)

 

$

1.55

 

$

(1.18)

 

v3.10.0.1
INCOME TAXES (Tables)
12 Months Ended
Jun. 30, 2018
INCOME TAXES  
Components of (loss) income before income taxes

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

 

2018

 

2017

 

2016

 

 

(Amounts in thousands)

United States

    

$

(39,662)

    

$

15,253

    

$

(230)

Foreign

 

 

(64,917)

 

 

103,613

 

 

(21,528)

 

 

$

(104,579)

 

$

118,866

 

$

(21,758)

 

Components of income tax expense

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

 

2018

 

2017

 

2016

 

 

(Amounts in thousands)

Current:

    

 

  

    

 

  

    

 

  

Federal

 

$

24,621

 

$

13,975

 

$

45,878

State

 

 

253

 

 

308

 

 

135

Foreign

 

 

22,741

 

 

10,602

 

 

19,650

 

 

$

47,615

 

$

24,885

 

$

65,663

Deferred and others:

 

 

  

 

 

  

 

 

  

Federal

 

$

(2,253)

 

$

(1,443)

 

$

(6,986)

State

 

 

(223)

 

 

(18)

 

 

(78)

Foreign

 

 

(30,367)

 

 

3,017

 

 

2,081

 

 

$

(32,843)

 

$

1,556

 

$

(4,983)

Total income tax expense

 

$

14,772

 

$

26,441

 

$

60,680

 

Schedule of income tax expense and effective tax rate

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year Ended June 30, 

 

 

2018

 

2017

 

2016

 

 

(Amounts in thousands)

Total expense computed by applying federal rates

    

$

(29,343)

    

$

41,603

    

$

(7,615)

State and provincial income taxes, net of federal benefit

 

 

(104)

 

 

78

 

 

(1)

Excess depletion

 

 

(1,440)

 

 

(1,517)

 

 

(882)

Estimates for uncertain tax positions

 

 

8,574

 

 

2,870

 

 

1,866

Statutory tax attributable to non-controlling interest

 

 

1,736

 

 

3,162

 

 

1,838

Effect of foreign earnings

 

 

1,230

 

 

3,046

 

 

61,576

Effect of foreign earnings indefinitely reinvested

 

 

(19,004)

 

 

(22,922)

 

 

3,406

Realized foreign exchange gains

 

 

18,330

 

 

 —

 

 

 —

Unrealized foreign exchange gains

 

 

(1,610)

 

 

(746)

 

 

(2,439)

Effects of US income tax reform

 

 

30,675

 

 

 —

 

 

 —

Changes in estimates

 

 

(70)

 

 

(3,676)

 

 

1,641

Valuation allowance

 

 

6,337

 

 

4,374

 

 

849

Other

 

 

(539)

 

 

169

 

 

441

 

 

$

14,772

 

$

26,441

 

$

60,680

 

Schedule of deferred tax assets and liabilities

 

 

 

 

 

 

 

 

 

2018

 

2017

 

 

(Amounts in thousands)

Deferred tax assets:

    

 

  

    

 

  

Stock-based compensation

 

$

805

 

$

5,979

Net operating losses

 

 

1,933

 

 

5,341

Foreign tax credits

 

 

11,172

 

 

19,869

Other

 

 

7,346

 

 

7,382

Total deferred tax assets

 

 

21,256

 

 

38,571

Valuation allowance

 

 

(12,811)

 

 

(6,474)

Net deferred tax assets

 

$

8,445

 

$

32,097

Deferred tax liabilities:

 

 

  

 

 

  

Mineral property basis

 

$

(74,274)

 

$

(122,870)

Unrealized foreign exchange gains

 

 

(664)

 

 

(1,097)

2019 Notes

 

 

(2,631)

 

 

(8,634)

Investment in Peak Gold joint venture

 

 

(4,359)

 

 

(5,475)

Other

 

 

(213)

 

 

(595)

Total deferred tax liabilities

 

 

(82,141)

 

 

(138,671)

Total net deferred taxes

 

$

(73,696)

 

$

(106,574)

 

Reconciliation of beginning and ending amount of gross unrecognized tax benefit

 

 

 

 

 

 

 

 

 

 

 

 

2018

 

2017

 

2016

 

 

(Amounts in thousands)

Total gross unrecognized tax benefits at beginning of year

    

$

28,542

    

$

26,960

    

$

26,120

Additions / Reductions for tax positions of current year

 

 

1,624

 

 

1,394

 

 

840

Additions / Reductions for tax positions of prior years

 

 

6,180

 

 

188

 

 

 —

Reductions due to settlements with taxing authorities

 

 

 —

 

 

 —

 

 

 —

Reductions due to lapse of statute of limitations

 

 

 —

 

 

 —

 

 

 —

Total amount of gross unrecognized tax benefits at end of year

 

$

36,346

 

$

28,542

 

$

26,960

 

v3.10.0.1
SUPPLEMENTAL CASH FLOW INFORMATION (Tables)
12 Months Ended
Jun. 30, 2018
SUPPLEMENTAL CASH FLOW INFORMATION  
Schedule of supplemental cash flow information

 

 

 

 

 

 

 

 

 

 

 

 

2018

 

2017

 

2016

 

 

(Amounts in thousands)

Cash paid (received) during the period for:

    

 

  

    

 

  

    

 

  

Interest

 

$

16,049

 

$

18,999

 

$

17,691

Income taxes, net of refunds

 

$

(3,058)

 

$

26,835

 

$

76,072

Non-cash investing and financing activities:

 

 

  

 

 

  

 

 

  

Dividends declared

 

$

64,811

 

$

62,066

 

$

59,388

 

v3.10.0.1
FAIR VALUE MEASUREMENTS (Tables)
12 Months Ended
Jun. 30, 2018
FAIR VALUE MEASUREMENTS  
Schedule of financial assets and liabilities measured at fair value on recurring basis

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of June 30, 2018

 

 

Carrying

 

Fair Value

 

    

Amount

    

Total

    

Level 1

    

Level 2

    

Level 3

Assets (In thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Marketable equity securities(1)

 

$

19,210

 

$

19,210

 

$

19,210

 

$

 —

 

$

 —

Total assets

 

$

19,210

 

$

19,210

 

$

19,210

 

$

 —

 

$

 —

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities (In thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt(2)

 

$

434,236

 

$

393,132

 

$

393,132

 

$

 —

 

$

 —

Total liabilities

 

$

434,236

 

$

393,132

 

$

393,132

 

$

 —

 

$

 —


(1)

Included in Other assets on the Company’s consolidated balance sheets.

(2)

Included in the carrying amount is the equity component of our 2019 Notes in the amount of $77 million, which is included within Additional paid‑in capital in the Company’s consolidated balance sheets.

v3.10.0.1
MAJOR SOURCES OF REVENUE (Tables)
12 Months Ended
Jun. 30, 2018
MAJOR SOURCES OF REVENUE  
Schedule of major sources of revenue

Operators that contributed greater than 10% of the Company’s total revenue for any of fiscal years 2018,  2017 or 2016 were as follows (revenue amounts in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal Year 2018

 

Fiscal Year 2017

 

Fiscal Year 2016

 

 

 

 

 

 

Percentage of

 

 

 

 

Percentage of

 

 

 

 

Percentage of

 

 

 

 

 

 

total

 

 

 

 

total

 

 

 

 

total

 

Operator

 

Revenue

 

revenue

 

Revenue

 

revenue

 

Revenue

 

revenue

 

Centerra

    

$

133,534

    

29.1

%  

$

136,737

    

31.0

%  

$

125,438

    

34.9

%

Barrick

 

 

108,285

 

23.6

%  

 

104,009

 

23.6

%  

 

49,683

 

13.8

%

Teck

 

 

57,413

 

12.5

%  

 

60,251

 

13.7

%  

 

49,243

 

13.7

%

 

v3.10.0.1
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) (Tables)
12 Months Ended
Jun. 30, 2018
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED)  
Summary of selected quarterly financial information (unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net (loss) income

 

 

 

 

 

 

 

 

 

 

 

Operating

 

attributable to

 

Basic (loss)

 

Diluted (loss)

 

 

 

 

 

(loss)

 

Royal Gold

 

earnings per

 

earnings per

 

 

Revenue

 

income

 

stockholders

 

share

 

share

 

 

(Amounts in thousands except per share data)

Fiscal year 2018 quarter-ended:

    

 

  

    

 

  

    

 

  

    

 

  

    

 

  

September 30, 

 

$

112,476

 

$

41,720

 

$

28,631

 

$

0.44

 

$

0.44

December 31, 

 

 

114,348

 

 

40,962

 

 

(14,765)

 

 

(0.23)

 

 

(0.23)

March 31, 

 

 

115,983

 

 

(193,464)

 

 

(153,650)

 

 

(2.35)

 

 

(2.35)

June 30, 

 

 

116,235

 

 

36,247

 

 

26,650

 

 

0.41

 

 

0.41

 

 

$

459,042

 

$

(74,535)

 

$

(113,134)

 

$

(1.73)

 

$

(1.73)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal year 2017 quarter-ended:

 

(Amounts in thousands except per share data)

September 30, 

 

$

117,947

 

$

40,891

 

$

29,787

 

$

0.46

 

$

0.46

December 31, 

 

 

106,961

 

 

34,481

 

 

28,062

 

 

0.43

 

 

0.43

March 31, 

 

 

106,972

 

 

35,951

 

 

23,661

 

 

0.36

 

 

0.36

June 30, 

 

 

108,934

 

 

34,619

 

 

20,020

 

 

0.31

 

 

0.31

 

 

$

440,814

 

$

145,942

 

$

101,530

 

$

1.55

 

$

1.55

 

v3.10.0.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND RECENTLY ISSUED AND RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS (Details)
$ in Thousands
12 Months Ended
Jun. 30, 2018
USD ($)
$ / oz
Jun. 30, 2017
USD ($)
Jun. 30, 2016
USD ($)
Oct. 20, 2016
$ / oz
Available-for-sale securities $ 19,100 $ 3,700    
Realized gain on available-for-sale security     $ 2,340  
Minimum        
Term of the contract 10 days      
Maximum        
Term of the contract 3 months      
Mount Milligan        
Cash payment for each ounce of gold (in dollars per ounce) | $ / oz 435     435
Peak Gold        
Fair value of the company $ 45,700      
Membership interest 40.00%      
Cash contribution $ 30,000      
Membership interest 40.00% 29.50%    
Cash contribution $ 30,000 $ 18,000    
v3.10.0.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND RECENTLY ISSUED AND RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS - SEGMENTS (Details)
$ in Thousands
3 Months Ended 12 Months Ended
Jun. 30, 2018
USD ($)
Mar. 31, 2018
USD ($)
Dec. 31, 2017
USD ($)
Sep. 30, 2017
USD ($)
Jun. 30, 2017
USD ($)
Mar. 31, 2017
USD ($)
Dec. 31, 2016
USD ($)
Sep. 30, 2016
USD ($)
Jun. 30, 2018
USD ($)
segment
Jun. 30, 2017
USD ($)
Jun. 30, 2016
USD ($)
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Number of reportable segments | segment                 2    
Impairments $ (239,364)               $ (239,364)    
Stream and royalty interests, net (Note 4) 2,501,117       $ 2,892,256       2,501,117 $ 2,892,256  
Revenue 116,235 $ 115,983 $ 114,348 $ 112,476 108,934 $ 106,972 $ 106,961 $ 117,947 459,042 440,814 $ 359,790
Cost of sales                 83,839 87,265 70,979
Net revenue                 375,203 353,549 288,811
Canada                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Impairments (284)               (284)    
Stream and royalty interests, net (Note 4) 1,023,778       1,073,653       1,023,778 1,073,653  
Dominican Republic                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 495,460       543,256       495,460 543,256  
Chile                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Impairments (239,080)               (239,080)    
Stream and royalty interests, net (Note 4) 542,557       802,147       542,557 802,147  
Africa                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 105,376       124,332       105,376 124,332  
Mexico                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 93,277       105,889       93,277 105,889  
United States                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 165,543       168,378       165,543 168,378  
Australia                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 34,254       37,409       34,254 37,409  
Other                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 40,872       37,192       40,872 37,192  
Stream interest                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 1,750,204       1,879,859       1,750,204 1,879,859  
Revenue                 324,516 314,011 238,028
Cost of sales                 83,839 87,265 70,979
Net revenue                 240,677 226,746 167,049
Stream interest | Canada                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 809,500       852,035       809,500 852,035  
Revenue                 142,244 136,736 125,755
Cost of sales                 40,766 45,954 47,417
Net revenue                 101,478 90,782 78,338
Stream interest | Dominican Republic                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 495,460       543,256       495,460 543,256  
Revenue                 95,055 91,589 39,684
Cost of sales                 28,496 27,191 11,625
Net revenue                 66,559 64,398 28,059
Stream interest | Chile                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 328,331       348,778       328,331 348,778  
Revenue                 57,413 60,251 49,243
Cost of sales                 8,614 9,037 7,280
Net revenue                 48,799 51,214 41,963
Stream interest | Africa                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 104,874       123,760       104,874 123,760  
Revenue                 29,804 25,435 23,346
Cost of sales                 5,963 5,083 4,657
Net revenue                 23,841 20,352 18,689
Stream interest | Other                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 12,039       12,030       12,039 12,030  
Royalty interest                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 990,277       1,012,397       990,277 1,012,397  
Revenue                 134,526 126,803 121,762
Net revenue                 134,526 126,803 121,762
Royalty interest | Canada                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 214,562       221,618       214,562 221,618  
Revenue                 24,254 23,208 30,676
Net revenue                 24,254 23,208 30,676
Royalty interest | Chile                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 453,306       453,369       453,306 453,369  
Revenue                 473 1,648 84
Net revenue                 473 1,648 84
Royalty interest | Africa                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 502       572       502 572  
Revenue                 2,098 3,131 1,868
Net revenue                 2,098 3,131 1,868
Royalty interest | Mexico                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 93,277       105,889       93,277 105,889  
Revenue                 42,959 41,945 35,267
Net revenue                 42,959 41,945 35,267
Royalty interest | United States                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 165,543       168,378       165,543 168,378  
Revenue                 39,496 35,282 35,483
Net revenue                 39,496 35,282 35,483
Royalty interest | Australia                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) 34,254       37,409       34,254 37,409  
Revenue                 13,710 12,943 10,462
Net revenue                 13,710 12,943 10,462
Royalty interest | Other                      
Long Lived Assets and Pre-Tax Income by Geographical Information                      
Stream and royalty interests, net (Note 4) $ 28,833       $ 25,162       28,833 25,162  
Revenue                 11,536 8,646 7,922
Net revenue                 $ 11,536 $ 8,646 $ 7,922
v3.10.0.1
ACQUISITIONS (Details)
$ / shares in Units, km in Millions
1 Months Ended 12 Months Ended
Jun. 29, 2018
USD ($)
Jun. 28, 2018
$ / shares
shares
Sep. 19, 2016
USD ($)
Dec. 30, 2015
USD ($)
Sep. 29, 2015
USD ($)
oz
Jul. 28, 2015
USD ($)
oz
$ / shares
shares
Jul. 20, 2015
USD ($)
oz
Jul. 09, 2015
USD ($)
km
oz
Nov. 30, 2016
USD ($)
Jun. 30, 2018
USD ($)
Jun. 30, 2016
USD ($)
Jun. 30, 2017
USD ($)
Acquisition of Royalty Interest in Mineral Properties                        
Repayment of Golden Star term loan                   $ 20,000,000    
Funds received for royalty termination                     $ 345,000,000  
Cost                   3,636,306,000   $ 3,624,495,000
Golden Star                        
Acquisition of Royalty Interest in Mineral Properties                        
Gross loans           $ 20,000,000            
Term of loan           4 years            
Common stock that can be purchased by warrants (in shares) | shares           5,000,000            
Grant date fair value of warrants           $ 800,000            
Quarterly interest rate based on average gold rate           62.50%            
Denominator used in calculation of quarterly interest rate           $ 10,000            
Term of warrants           4 years            
Exercise price of warrants | $ / shares           $ 0.27            
Repayment of Golden Star term loan $ 20,000,000                      
Maximum | Golden Star                        
Acquisition of Royalty Interest in Mineral Properties                        
Interest rate (as a percent)           11.50%            
Mara Rosa                        
Acquisition of Royalty Interest in Mineral Properties                        
Net smelter return (NSR) (as a percent) 1.75% 1.00%                    
Consideration paid $ 10,800,000                      
Cortez                        
Acquisition of Royalty Interest in Mineral Properties                        
NVR (as a percent)     3.75%                  
Consideration paid     $ 70,000,000                  
Cortez Crossroad Claim                        
Acquisition of Royalty Interest in Mineral Properties                        
NVR (as a percent)     4.52%                  
Consideration paid     $ 59,800,000                  
GSR royalty (as a percent)     5.00%                  
Cortez, excluding the Crossroad Claims                        
Acquisition of Royalty Interest in Mineral Properties                        
NVR (as a percent)     4.91%                  
Consideration paid     $ 10,200,000                  
GSR royalty (as a percent)     5.71%                  
CORE                        
Acquisition of Royalty Interest in Mineral Properties                        
Shares acquired | shares   682,556                    
Share price | $ / shares   $ 26                    
Shares expected to acquire | shares   127,188                    
Unrealized loss on shares                   1,500,000    
Pueblo Viejo                        
Acquisition of Royalty Interest in Mineral Properties                        
Consideration paid         $ 610,000,000              
Purchase price per ounce of silver (as a percent)         60.00%              
Pueblo Viejo | Barrick                        
Acquisition of Royalty Interest in Mineral Properties                        
Ownership interest (as a percent)         60.00%              
Pueblo Viejo | Initial Royalty                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)         7.50%              
Gold delivered (in ounces) | oz         990,000              
Silver royalty interests acquired (as a percent)         75.00%              
Minimum silver recovery (as a percent)         70.00%              
Silver delivered (in ounces) | oz         50,000,000              
Pueblo Viejo | Subsequent Royalty                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)         3.75%              
Silver royalty interests acquired (as a percent)         37.50%              
Pueblo Viejo | First Condition                        
Acquisition of Royalty Interest in Mineral Properties                        
Gold delivered (in ounces) | oz         550,000              
Silver delivered (in ounces) | oz         23,100,000              
Purchase price per ounce of silver (as a percent)         30.00%              
Pueblo Viejo | Second Condition                        
Acquisition of Royalty Interest in Mineral Properties                        
Purchase price per ounce of gold (as a percent)         60.00%              
Wassa and Prestea                        
Acquisition of Royalty Interest in Mineral Properties                        
Consideration paid       $ 15,000,000   $ 130,000,000            
Remaining consideration payable                   0    
Cost       $ 145,000,000                
Wassa and Prestea | Initial Royalty                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)           9.25%            
Gold delivered (in ounces) | oz           240,000            
Wassa and Prestea | Subsequent Royalty                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)           10.50%            
Wassa and Prestea | First Condition                        
Acquisition of Royalty Interest in Mineral Properties                        
Purchase price per ounce of gold (as a percent)           20.00%            
Wassa and Prestea | Second Condition                        
Acquisition of Royalty Interest in Mineral Properties                        
Purchase price per ounce of gold (as a percent)           30.00%            
Wassa and Prestea | Subsequent Two Royalty                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)           5.50%            
Rainy River                        
Acquisition of Royalty Interest in Mineral Properties                        
Consideration paid             $ 175,000,000          
Cash paid for acquisition of royalty interests             $ 100,000,000   $ 75,000,000      
Remaining consideration payable                   0    
Rainy River | Initial Royalty                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)             6.50%          
Gold delivered (in ounces) | oz             230,000          
Silver royalty interests acquired (as a percent)             60.00%          
Silver delivered (in ounces) | oz             3,100,000          
Rainy River | Subsequent Royalty                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)             3.25%          
Purchase price per ounce of gold (as a percent)             25.00%          
Silver royalty interests acquired (as a percent)             30.00%          
Carmen de Andacollo                        
Acquisition of Royalty Interest in Mineral Properties                        
Consideration paid               $ 525,000,000        
Royalty interests acquired (as a percent)               89.00%        
Purchase price per ounce of gold (as a percent)               15.00%        
Area of mining to be eligible for concessions | km               1.5        
Cost                   $ 388,200,000    
Carmen de Andacollo | Teck                        
Acquisition of Royalty Interest in Mineral Properties                        
Ownership interest (as a percent)               90.00%        
Carmen de Andacollo | Termination Agreement                        
Acquisition of Royalty Interest in Mineral Properties                        
Gain on contract termination               $ 0        
Funds received for royalty termination               345,000,000        
Cost               $ 207,500,000        
Carmen de Andacollo | Initial Royalty                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)               100.00%        
Gold delivered (in ounces) | oz               900,000        
Carmen de Andacollo | Initial Royalty | Termination Agreement                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)               75.00%        
Gold delivered (in ounces) | oz               910,000        
Carmen de Andacollo | Subsequent Royalty                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)               50.00%        
Carmen de Andacollo | Subsequent Royalty | Termination Agreement                        
Acquisition of Royalty Interest in Mineral Properties                        
Royalty interests acquired (as a percent)               50.00%        
v3.10.0.1
STREAM AND ROYALTY INTERESTS, NET - Summary (Details) - USD ($)
$ in Thousands
Jun. 30, 2018
Jun. 30, 2017
Dec. 30, 2015
Cost $ 3,636,306 $ 3,624,495  
Accumulated Depletion (895,825) (732,239)  
Impairments (239,364)    
Net 2,501,117 2,892,256  
Wassa and Prestea      
Cost     $ 145,000
Production stage stream interests      
Cost 2,111,423 1,935,696  
Accumulated Depletion (373,257) (243,595)  
Net 1,738,166 1,692,101  
Production stage stream interests | Mount Milligan      
Cost 790,635 790,635  
Accumulated Depletion (152,833) (114,327)  
Net 637,802 676,308  
Production stage stream interests | Pueblo Viejo      
Cost 610,404 610,404  
Accumulated Depletion (114,944) (67,149)  
Net 495,460 543,255  
Production stage stream interests | Andacollo      
Cost 388,182 388,182  
Accumulated Depletion (59,851) (39,404)  
Net 328,331 348,778  
Production stage stream interests | Wassa and Prestea      
Cost 146,475 146,475  
Accumulated Depletion (41,601) (22,715)  
Net 104,874 123,760  
Production stage stream interests | Rainy River      
Cost 175,727    
Accumulated Depletion (4,028)    
Net 171,699    
Production stage royalty interests      
Cost 844,181 844,024  
Accumulated Depletion (522,568) (488,644)  
Net 321,613 355,380  
Production stage royalty interests | Voisey's Bay      
Cost 205,724 205,724  
Accumulated Depletion (86,933) (85,671)  
Net 118,791 120,053  
Production stage royalty interests | Penasquito      
Cost 99,172 99,172  
Accumulated Depletion (38,426) (34,713)  
Net 60,746 64,459  
Production stage royalty interests | Holt      
Cost 34,612 34,612  
Accumulated Depletion (21,173) (19,669)  
Net 13,439 14,943  
Production stage royalty interests | Cortez      
Cost 20,878 20,873  
Accumulated Depletion (11,241) (10,633)  
Net 9,637 10,240  
Production stage royalty interests | Other      
Cost 483,795 483,643  
Accumulated Depletion (364,795) (337,958)  
Net 119,000 145,685  
Total production stage stream and royalty interests      
Cost 2,955,604 2,779,720  
Accumulated Depletion (895,825) (732,239)  
Net 2,059,779 2,047,481  
Development stage stream interests      
Cost   187,758  
Net   187,758  
Development stage stream interests | Rainy River      
Cost   175,727  
Net   175,727  
Development stage stream interests | Other      
Cost 12,038 12,031  
Net 12,038 12,031  
Development stage royalty interests      
Cost 134,413 504,271  
Impairments (284)    
Net 134,129 504,271  
Development stage royalty interests | Pascua-Lama      
Cost   380,657  
Net   380,657  
Development stage royalty interests | Cortez      
Cost 59,803 59,803  
Net 59,803 59,803  
Development stage royalty interests | Other      
Cost 74,610 63,811  
Impairments (284)    
Net 74,326 63,811  
Total development stage stream and royalty interests      
Cost 146,451 692,029  
Impairments (284)    
Net 146,167 692,029  
Exploration stage royalty interests      
Cost 534,251 152,746  
Impairments (239,080)    
Net 295,171 $ 152,746  
Exploration stage royalty interests | Pascua-Lama      
Cost 416,770    
Impairments (239,080)    
Net 177,690    
Exploration stage royalty interests | Other      
Cost 117,481    
Net $ 117,481    
v3.10.0.1
STREAM AND ROYALTY INTERESTS, NET - Impairments (Details)
$ in Thousands
3 Months Ended 12 Months Ended
Jan. 11, 2016
oz
Mar. 31, 2016
USD ($)
Jun. 30, 2018
USD ($)
Jun. 30, 2016
USD ($)
Jun. 30, 2017
USD ($)
Dec. 31, 2015
USD ($)
Impairments of royalty and stream interests     $ 239,364 $ 96,118    
Impairment of stream and royalty interests and royalty receivables     239,364 98,588    
Value of stream and royalty interests, net     2,501,117   $ 2,892,256  
Royalty receivables     26,356   26,886  
Production stage royalty interests            
Value of stream and royalty interests, net     321,613   355,380  
Exploration stage royalty interests            
Value of stream and royalty interests, net     295,171   152,746  
Stream interest            
Value of stream and royalty interests, net     1,750,204   1,879,859  
Royalty interest            
Value of stream and royalty interests, net     $ 990,277   1,012,397  
Phoenix Gold            
Impairments of royalty and stream interests   $ 77,700        
Value of stream and royalty interests, net   0        
Phoenix Gold | Initial Royalty            
Royalty interests acquired (as a percent) 6.30%          
Gold delivered (in ounces) | oz 135,000          
Phoenix Gold | Subsequent Royalty            
Royalty interests acquired (as a percent) 3.15%          
Phoenix Gold | Stream interest            
Impairments of royalty and stream interests       75,702    
Pascua-Lama            
Copper NSR (as a percent)     1.09%      
Pascua-Lama | Minimum            
Net smelter return (NSR) (as a percent)     0.78%      
Pascua-Lama | Maximum            
Net smelter return (NSR) (as a percent)     5.45%      
Pascua-Lama | Exploration stage royalty interests            
Value of stream and royalty interests, net     $ 177,690      
Pascua-Lama | Royalty interest            
Impairments of royalty and stream interests     $ 239,080      
Inata            
Allowance for royalty receivables       2,855    
Royalty interests acquired (as a percent)     2.50%      
Value of stream and royalty interests, net   0       $ 12,000
Royalty receivables     $ 2,800      
Inata | Royalty interest            
Impairments of royalty and stream interests       11,982    
Wolverine            
Allowance for royalty receivables       (385)    
Value of stream and royalty interests, net   $ 0        
Wolverine | Minimum            
Royalty interests acquired (as a percent)     0.00%      
Wolverine | Maximum            
Royalty interests acquired (as a percent)     9.445%      
Wolverine | Royalty interest            
Impairments of royalty and stream interests       5,307    
Other | Production stage royalty interests            
Value of stream and royalty interests, net     $ 119,000   $ 145,685  
Other | Exploration stage royalty interests            
Value of stream and royalty interests, net     117,481      
Other | Royalty interest            
Impairments of royalty and stream interests     $ 284 $ 3,127    
v3.10.0.1
STREAM AND ROYALTY INTERESTS, NET (Details)
shares in Millions, $ in Millions
Dec. 20, 2016
USD ($)
item
shares
Oct. 20, 2016
USD ($)
$ / oz
Oct. 19, 2016
Jun. 30, 2018
USD ($)
$ / oz
Jun. 30, 2017
USD ($)
Available-for-sale securities       $ 19.1 $ 3.7
Phoenix Gold | Rubicon          
Number of common shares of Rubicon received | shares 3        
Number of NSR royalties received | item 3        
Net smelter return (NSR) (as a percent) 1.00%        
Available-for-sale securities $ 3.4        
Mount Milligan          
Gold streaming interest (as a percent)   35.00% 52.25%    
Copper streaming interest (as a percent)   18.75%      
Cash payment for each ounce of gold (in dollars per ounce) | $ / oz   435   435  
Spot price per delivered metric tonne of copper (as a percent)   15.00%      
Maximum period between concentrate shipment and final settlement   5 months      
Direct transaction costs   $ 7.7      
v3.10.0.1
DEBT (Details) - USD ($)
$ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Jun. 30, 2012
Long-term debt disclosure        
Principal $ 370,000 $ 620,000    
Unamortized Discount (12,764) (25,251)    
Debt Issuance Costs (6,209) (8,579)    
Total debt 351,027 586,170    
2019 Notes        
Long-term debt disclosure        
Principal 370,000 370,000    
Unamortized Discount (12,764) (25,251)    
Debt Issuance Costs (1,316) (2,646)    
Total debt 355,920 342,103    
Principal amount of debt issued       $ 370,000
Interest rate on convertible senior notes (as a percent)       2.875%
Interest expense recognized 24,500 23,600 $ 22,800  
Credit Facility        
Long-term debt disclosure        
Principal   250,000    
Debt Issuance Costs (4,893) (5,933)    
Total debt   244,067    
Interest expense recognized 5,700 9,900 $ 8,100  
Maximum availability under the revolving credit facility 1,000,000      
Outstanding amount under credit facility 0 $ 250,000    
Available under the revolving credit facility $ 1,000,000      
v3.10.0.1
REVENUE (Details) - USD ($)
$ in Thousands
3 Months Ended 12 Months Ended
Jun. 30, 2018
Mar. 31, 2018
Dec. 31, 2017
Sep. 30, 2017
Jun. 30, 2017
Mar. 31, 2017
Dec. 31, 2016
Sep. 30, 2016
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
REVENUE                      
Stream interests                 $ 324,516 $ 314,011 $ 238,028
Royalty interests                 134,526 126,803 121,762
Total revenue $ 116,235 $ 115,983 $ 114,348 $ 112,476 $ 108,934 $ 106,972 $ 106,961 $ 117,947 $ 459,042 $ 440,814 $ 359,790
v3.10.0.1
STOCK-BASED COMPENSATION (Details) - USD ($)
$ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Nov. 30, 2015
Stock-based compensation        
Common stock authorized for future grants (in shares)       2,500,000
Stock-based compensation expense $ 8,279 $ 9,983 $ 10,039  
Stock options        
Stock-based compensation        
Stock-based compensation expense $ 318 $ 393 $ 454  
Contractual term of awards 10 years      
Key assumptions used in Black-Scholes model to determine the fair value of each stock option and SAR        
Weighted-average expected volatility (as a percent) 42.20% 41.70% 36.90%  
Weighted-average expected life (in years) 5 years 6 months 5 years 6 months 5 years 6 months  
Weighted-average dividend yield (as a percent) 1.10% 1.11% 1.06%  
Weighted-average risk free interest rate (as a percent) 1.80% 1.20% 1.60%  
Stock options | Minimum        
Stock-based compensation        
Continuous service period for awards to vest 1 year      
Stock options | Maximum        
Stock-based compensation        
Continuous service period for awards to vest 3 years      
Stock appreciation rights        
Stock-based compensation        
Stock-based compensation expense $ 1,988 $ 1,851 $ 1,687  
Other than options granted (in shares) 71,262      
Contractual term of awards 10 years      
Key assumptions used in Black-Scholes model to determine the fair value of each stock option and SAR        
Weighted-average expected volatility (as a percent) 42.40% 41.10% 36.90%  
Weighted-average expected life (in years) 5 years 4 months 24 days 5 years 9 months 18 days 5 years 4 months 24 days  
Weighted-average dividend yield (as a percent) 1.10% 1.11% 1.00%  
Weighted-average risk free interest rate (as a percent) 1.80% 1.30% 1.60%  
Stock appreciation rights | Minimum        
Stock-based compensation        
Continuous service period for awards to vest 1 year      
Stock appreciation rights | Maximum        
Stock-based compensation        
Continuous service period for awards to vest 3 years      
Restricted stock        
Stock-based compensation        
Stock-based compensation expense $ 4,487 $ 3,840 $ 3,686  
Other than options granted (in shares) 50,380      
Performance stock        
Stock-based compensation        
Stock-based compensation expense $ 1,486 $ 3,899 $ 4,212  
Other than options granted (in shares) 68,020      
v3.10.0.1
STOCK-BASED COMPENSATION - OPTIONS (Details) - USD ($)
$ / shares in Units, $ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Stock options, number of shares      
Exercised (in shares) (48,123) (17,198) (2,500)
Stock options      
Stock options, number of shares      
Outstanding at the beginning of the period (in shares) 107,825    
Granted (in shares) 6,858    
Exercised (in shares) (48,123)    
Forfeited (in shares) (333)    
Outstanding at the end of the period (in shares) 66,227 107,825  
Exercisable at the end of the period (in shares) 48,957    
Stock options, weighted-average exercise price      
Outstanding at the beginning of the period (in dollars per share) $ 64.13    
Granted (in dollars per share) 87.42    
Exercised (in dollars per share) 60.18    
Forfeited (in dollars per share) 56.54    
Outstanding at the end of the period (in dollars per share) 69.35 $ 64.13  
Exercisable at the end of the period (in dollars per share) $ 68.36    
Stock options, weighted-average remaining contractual life (in years)      
Outstanding at the end of the period 6 years 2 months 12 days    
Exercisable at the end of the period 5 years 7 months 6 days    
Stock options, Aggregate Intrinsic Value      
Outstanding at the end of the period $ 1,549    
Exercisable at the end of the period $ 1,199    
Other stock-based compensation      
Granted (in dollars per share) $ 27.12 $ 29.54 $ 18.05
Intrinsic value of options exercised $ 1,400 $ 500 $ 100
Unrecognized compensation expense $ 200    
Weighted-average vesting period (years) 1 year 7 months 6 days    
v3.10.0.1
STOCK-BASED COMPENSATION - NON-OPTIONS (Details) - USD ($)
$ / shares in Units, $ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Stock appreciation rights      
Non-vested other than stock options, number of shares      
Outstanding at the beginning of the period (in shares) 424,145    
Granted (in shares) 71,262    
Exercised (in shares) (241,421)    
Forfeited (in shares) (1,100)    
Outstanding at the end of the period (in shares) 252,886 424,145  
Exercisable at the end of the period (in shares) 125,152    
Other than stock options, weighted-average grant date fair value      
Non-vested at the beginning of the period (in dollars per share) $ 66.19    
Granted (in dollars per share) 87.42    
Exercised (in dollars per share) 62.52    
Forfeited (in dollars per share) 85.92    
Non-vested at the end of the period (in dollars per share) 75.60 $ 66.19  
Exercisable at the end of the period (in dollars per share) $ 71.59    
Other than stock options, weighted-average remaining contractual life (in years)      
Outstanding at the end of the period 7 years 3 months 18 days    
Exercisable at the end of the period 6 years 2 months 12 days    
Aggregate Intrinsic Value      
Intrinsic value on outstanding shares $ 4,360    
Intrinsic value on exercisable shares $ 2,659    
Other stock-based compensation      
Fair value granted (in dollars per share) $ 29.17 $ 29.76 $ 18.35
Total intrinsic value $ 6,400 $ 200 $ 300
Unrecognized compensation expense $ 2,000    
Weighted-average vesting period (years) 1 year 9 months 18 days    
Contractual term of awards 10 years    
Stock appreciation rights | Minimum      
Other stock-based compensation      
Continuous service period for awards to vest 1 year    
Stock appreciation rights | Maximum      
Other stock-based compensation      
Continuous service period for awards to vest 3 years    
Restricted stock      
Non-vested other than stock options, number of shares      
Outstanding at the beginning of the period (in shares) 166,810    
Granted (in shares) 50,380    
Vested (in shares) (69,440)    
Forfeited (in shares) (2,967)    
Outstanding at the end of the period (in shares) 144,783 166,810  
Other than stock options, weighted-average grant date fair value      
Non-vested at the beginning of the period (in dollars per share) $ 68.60    
Granted (in dollars per share) 87.42    
Vested (in dollars per share) 72.99    
Forfeited (in dollars per share) 73.55    
Non-vested at the end of the period (in dollars per share) $ 72.94 $ 68.60  
Other stock-based compensation      
Unrecognized compensation expense $ 5,000    
Weighted-average vesting period (years) 3 years    
Restricted stock | Officers and Certain Employees      
Non-vested other than stock options, number of shares      
Granted (in shares) 36,170    
Other stock-based compensation      
Vesting period 3 years    
Holding period of awards as a vesting condition 2 years    
Vesting (as a percent) 33.00%    
Restricted stock | Non Executive Directors      
Non-vested other than stock options, number of shares      
Granted (in shares) 14,210    
Other stock-based compensation      
Vesting period 1 year    
Vesting (as a percent) 50.00%    
Percentage of shares granted to non-executive directors, vesting one year after date of grant 50.00%    
Performance stock      
Non-vested other than stock options, number of shares      
Outstanding at the beginning of the period (in shares) 233,845    
Granted (in shares) 68,020    
Vested (in shares) (70,046)    
Forfeited (in shares) (13,030)    
Non-attainment (in shares) (34,125)    
Outstanding at the end of the period (in shares) 184,664 233,845  
Other than stock options, weighted-average grant date fair value      
Non-vested at the beginning of the period (in dollars per share) $ 61.07    
Granted (in dollars per share) 76.20    
Vested (in dollars per share) 68.83    
Forfeited (in dollars per share) 60.76    
Non-attainment (in dollars per share) 71.77    
Non-vested at the end of the period (in dollars per share) $ 61.75 $ 61.07  
Other stock-based compensation      
Unrecognized compensation expense $ 1,500    
Weighted-average vesting period (years) 1 year 9 months 18 days    
Earn out basis if no goals are met (as a percent) 0.00%    
Earn out basis if some goals are met (as a percent) 100.00%    
Earn out basis if all goals are met (as a percent) 200.00%    
Performance stock | Vesting upon achievement of annual growth in Net GEOs      
Other stock-based compensation      
Vesting (as a percent) 50.00%    
Performance stock | Vesting upon achievement of annual growth in Net TSR      
Other stock-based compensation      
Vesting (as a percent) 50.00%    
Gold Equivalent Ounces Shares      
Other stock-based compensation      
Contractual term of awards 5 years    
Total Shareholder Return Shares      
Other stock-based compensation      
Fair value granted (in dollars per share) $ 64.67    
Contractual term of awards 3 years    
Continuous service period for awards to vest 3 years    
v3.10.0.1
STOCKHOLDERS' EQUITY (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Preferred Stock      
Number of authorized and unissued shares (in shares) 10,000,000 10,000,000  
Preferred stock, par value (in dollars per share) $ 0.01 $ 0.01  
Common Stock Issuances      
Number of stock options exercised (in shares) 48,123 17,198 2,500
Proceeds from stock options exercised $ 2.9 $ 0.5 $ 0.1
v3.10.0.1
EARNINGS PER SHARE ("EPS") (Details) - USD ($)
$ / shares in Units, $ in Thousands
3 Months Ended 12 Months Ended
Jun. 30, 2018
Mar. 31, 2018
Dec. 31, 2017
Sep. 30, 2017
Jun. 30, 2017
Mar. 31, 2017
Dec. 31, 2016
Sep. 30, 2016
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Net (loss) income attributable to Royal Gold stockholders $ 26,650 $ (153,650) $ (14,765) $ 28,631 $ 20,020 $ 23,661 $ 28,062 $ 29,787 $ (113,134) $ 101,530 $ (77,149)
Weighted-average shares for basic EPS                 65,291,855 65,152,782 65,074,455
Effect of other dilutive securities (in shares)                   125,171  
Weighted-average shares for diluted EPS                 65,291,855 65,277,953 65,074,455
Basic (loss) earnings per share (in dollars per share) $ 0.41 $ (2.35) $ (0.23) $ 0.44 $ 0.31 $ 0.36 $ 0.43 $ 0.46 $ (1.73) $ 1.55 $ (1.18)
Diluted (loss) earnings per share (in dollars per share) 0.41 $ (2.35) $ (0.23) $ 0.44 $ 0.31 $ 0.36 $ 0.43 $ 0.46 $ (1.73) $ 1.55 $ (1.18)
2019 Notes                      
Dilutive effect of conversion of debt securities                 0    
Initial conversion price (in dollars per share) $ 102.91               $ 102.91    
v3.10.0.1
INCOME TAXES - Expense (Details) - USD ($)
$ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Income before income taxes      
United States $ (39,662) $ 15,253 $ (230)
Foreign (64,917) 103,613 (21,528)
(Loss) income before income taxes (104,579) 118,866 (21,758)
Current:      
Federal 24,621 13,975 45,878
State 253 308 135
Foreign 22,741 10,602 19,650
Total current income tax expenses 47,615 24,885 65,663
Deferred and others:      
Federal (2,253) (1,443) (6,986)
State (223) (18) (78)
Foreign (30,367) 3,017 2,081
Total deferred and other income tax expenses (32,843) 1,556 (4,983)
Total income tax expenses $ 14,772 $ 26,441 $ 60,680
v3.10.0.1
INCOME TAXES - Reconciliation (Details) - USD ($)
$ in Thousands
12 Months Ended
Jan. 01, 2018
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Differences between provision for income taxes and income tax expense computed by applying federal rates        
Total expense computed by applying federal rates   $ (29,343) $ 41,603 $ (7,615)
State and provincial income taxes, net of federal benefit   (104) 78 (1)
Excess depletion   (1,440) (1,517) (882)
Estimates for uncertain tax positions   8,574 2,870 1,866
Statutory tax attributable to non-controlling interest   1,736 3,162 1,838
Effect of foreign earnings   1,230 3,046 61,576
Effect of foreign earnings indefinitely reinvested   (19,004) (22,922) 3,406
Realized foreign exchange gains   18,330    
Unrealized foreign exchange gains   (1,610) (746) (2,439)
Effects of US income tax reform   30,675    
Changes in estimates   (70) (3,676) 1,641
Valuation allowance   6,337 4,374 849
Other   (539) 169 441
Total income tax expenses   $ 14,772 $ 26,441 $ 60,680
US corporate income tax rate (as a percent) 21.00%      
Effective tax rate (as a percent)   28.10%    
Net reduction in income tax expense due to Tax Cuts and Jobs Act   $ 30,700    
Mandatory transition tax due to tax legislation   $ 12,300    
Mandatory transition tax payment period   8 years    
Re-measurement of net deferred tax assets and liabilities due to tax legislation   $ 1,200    
Re-measurement of foreign uncertain tax positions due to tax legislation   $ 17,200    
v3.10.0.1
INCOME TAXES - Deferred (Details) - USD ($)
$ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Deferred tax assets:    
Stock-based compensation $ 805 $ 5,979
Net operating losses 1,933 5,341
Foreign tax credits 11,172 19,869
Other 7,346 7,382
Total deferred tax assets 21,256 38,571
Valuation allowance (12,811) (6,474)
Net deferred tax assets 8,445 32,097
Deferred tax liabilities:    
Mineral property basis (74,274) (122,870)
Unrealized foreign exchange gains (664) (1,097)
2019 Notes (2,631) (8,634)
Investment in Peak Gold joint venture (4,359) (5,475)
Other (213) (595)
Total deferred tax liabilities (82,141) (138,671)
Total net deferred taxes (73,696) (106,574)
Net operating loss carry forwards $ 7,100 $ 32,100
Tax carryforward period 20 years  
v3.10.0.1
INCOME TAXES - Unrecognized (Details) - USD ($)
$ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Reconciliation of beginning and ending amount of gross unrecognized tax benefits      
Total gross unrecognized tax benefits at beginning of year $ 28,542 $ 26,960 $ 26,120
Additions / Reductions for tax positions of current year 1,624 1,394 840
Additions / Reductions for tax positions of prior years 6,180 188  
Total amount of gross unrecognized tax benefits at end of year 36,346 28,542 $ 26,960
Accrued income-tax-related interest and penalties 9,800 $ 6,800  
Advanced deposits $ 12,800    
v3.10.0.1
SUPPLEMENTAL CASH FLOW INFORMATION (Details) - USD ($)
$ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Cash paid (received) during the period for:      
Interest $ 16,049 $ 18,999 $ 17,691
Income taxes, net of refunds (3,058) 26,835 76,072
Non-cash investing and financing activities:      
Dividends declared $ 64,811 $ 62,066 $ 59,388
v3.10.0.1
FAIR VALUE MEASUREMENTS (Details) - Recurring basis
$ in Thousands
Jun. 30, 2018
USD ($)
Carrying Amount  
Assets:  
Marketable equity securities $ 19,210
Total assets 19,210
Liabilities:  
Debt 434,236
Total liabilities 434,236
Amount of equity component of convertible notes 77,000
Fair Value  
Assets:  
Marketable equity securities 19,210
Total assets 19,210
Liabilities:  
Debt 393,132
Total liabilities 393,132
Level 1  
Assets:  
Marketable equity securities 19,210
Total assets 19,210
Liabilities:  
Debt 393,132
Total liabilities $ 393,132
v3.10.0.1
MAJOR SOURCES OF REVENUE (Details) - Sales Revenue - Customer Concentration Risk - USD ($)
$ in Thousands
12 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
Centerra      
Major sources of revenue      
Revenue $ 133,534 $ 136,737 $ 125,438
Percentage of total revenue 29.10% 31.00% 34.90%
Barrick      
Major sources of revenue      
Revenue $ 108,285 $ 104,009 $ 49,683
Percentage of total revenue 23.60% 23.60% 13.80%
Teck      
Major sources of revenue      
Revenue $ 57,413 $ 60,251 $ 49,243
Percentage of total revenue 12.50% 13.70% 13.70%
v3.10.0.1
COMMITMENTS AND CONTINGENCIES (Details)
$ in Thousands
12 Months Ended
Jun. 30, 2018
USD ($)
Ilovica  
Commitments and Contingencies  
Scheduled payment amount $ 163,750
Voisey's Bay | LNRLP  
Commitments and Contingencies  
Ownership percentage held 90.00%
Voisey's Bay | Altius | LNRLP  
Commitments and Contingencies  
Ownership percentage held 10.00%
v3.10.0.1
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) (Details) - USD ($)
$ / shares in Units, $ in Thousands
3 Months Ended 12 Months Ended
Jun. 30, 2018
Mar. 31, 2018
Dec. 31, 2017
Sep. 30, 2017
Jun. 30, 2017
Mar. 31, 2017
Dec. 31, 2016
Sep. 30, 2016
Jun. 30, 2018
Jun. 30, 2017
Jun. 30, 2016
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED)                      
Revenue $ 116,235 $ 115,983 $ 114,348 $ 112,476 $ 108,934 $ 106,972 $ 106,961 $ 117,947 $ 459,042 $ 440,814 $ 359,790
Operating income (loss) 36,247 (193,464) 40,962 41,720 34,619 35,951 34,481 40,891 (74,535) 145,942 4,816
Net (loss) income attributable to Royal Gold stockholders $ 26,650 $ (153,650) $ (14,765) $ 28,631 $ 20,020 $ 23,661 $ 28,062 $ 29,787 $ (113,134) $ 101,530 $ (77,149)
Basic earnings (loss) per share (in dollars per share) $ 0.41 $ (2.35) $ (0.23) $ 0.44 $ 0.31 $ 0.36 $ 0.43 $ 0.46 $ (1.73) $ 1.55 $ (1.18)
Diluted earnings (loss) per share (in dollars per share) $ 0.41 $ (2.35) $ (0.23) $ 0.44 $ 0.31 $ 0.36 $ 0.43 $ 0.46 $ (1.73) $ 1.55 $ (1.18)