Caledonia Mining Corporation plc, a Victoria Falls Stock Exchange-listed company and one of Zimbabwe’s leading gold producers, has delayed the release of its 2024 annual report as it undertakes a restatement of its financial statements.
By Ryan Chigoche
The revisions relate to historical tax accounting at the company’s flagship Blanket Mine.
The restatement focuses on financial results from January 2019 to September 2024.
The issue centres on the treatment of deferred tax liabilities, which were calculated in RTGS dollars even after Zimbabwe reintroduced a multi-currency system.
Although these amounts were translated to US dollars in prior reports, Caledonia has since concluded that the liabilities should have been denominated in US dollars from the outset.
As a result, the company is now revising past financials to ensure accurate reporting. Importantly, these corrections will not affect previously disclosed cash flow figures, cash balances, or income tax filings submitted to local authorities.
Caledonia formally notified the United States Securities and Exchange Commission (SEC) of the delay through a late filing notice.
The need to restate several years of financial results has extended the time required to complete the company’s 2024 annual report.
Despite this setback, the company intends to file the report within the 15-day grace period allowed under SEC rules.
In the course of the review, Caledonia also uncovered gaps in its internal financial controls and disclosure procedures that date back several years.
Efforts to strengthen these systems are underway and expected to be completed in the coming months.
While the delay is not ideal, Caledonia says the restatement is a necessary step toward improving transparency and ensuring its financial reporting aligns with international best practices. Investors and stakeholders will be watching closely as the company works to wrap up the process and move forward with a stronger compliance framework.
