- The Royal Mint has announced an operating profit of £17.7 million for year ending 31st March 2023[1]
- Underlying profits increased to £24.4 million, enabling significant reinvestment in new businesses
- Revenue increased to £1.9 billion as demand for precious metals grew in the UK and overseas[2]
- As part of a five-year growth plan, The Royal Mint is pioneering new ways to recover precious metals from electronic waste, with a multimillion-pound factory set to open in 2023
Strong demand for precious metals, international growth, and a historic Royal year saw The Royal Mint delivering a profit for the year ending 31st March 2023.
During the year The Royal Mint delivered an operating profit of £17.7 million, while underlying profits grew to £24.4 million (£20.8 million 2021-22). This enabled the Group to make a significant £6.8 million investment in two new business divisions as part of its’ five-year transformation strategy. A new luxury jewellery business – 886 by The Royal Mint – launched in Spring 2022, and a pioneering new factory recovering gold from electronic waste, which will open later this year.
Record profitability and revenue in Consumer division:
For the third consecutive year the Group’s profit was entirely driven by its Consumer division – which offers precious metals investments, collectables, and historic coins. The Currency division continued to see a predictable decline in profitability in line with decreased cash use globally.
The Consumer business delivered its most profitable result to date as it continued to grow internationally, increase its market share in precious metals and release the first official coins of King Charles III’s reign.
Over the last four years, The Royal Mint’s Precious Metals investment division has grown to account for almost half of The Royal Mint’s operating profits.
Forging a future in sustainable precious metals:
The Group’s profitability enabled The Royal Mint to reinvest £6.8 million into the future of the business – up from £2.7 million in 2021-22. As part of a commitment to becoming a leader in sustainable precious metals, The Royal Mint is developing a pioneering new plant to recover gold from UK electronic waste.
Set to open later this year, the factory will use patented chemistry to recover precious metals from circuit boards, generating hundreds of kilograms of precious metals per annum for The Royal Mint.
In April 2022 the Group unveiled a luxury jewellery range – 886 by The Royal Mint – which is already using gold recovered from electronic waste. Led by award winning British jewellery designer Dominic Jones, it champions British Craftsmanship and innovation by using sustainably sourced precious metals. Investment in the business during the year included the creation of a dedicated website and a retail store in London’s Burlington Arcade.
Graham Love, Chairman of The Royal Mint, said: “I feel a strong sense of pride in how The Royal Mint has performed throughout the past year. Our evolution into a consumer brand is successfully safeguarding The Royal Mint for the future, protecting jobs, preserving our heritage, and ensuring our relevancy in today’s markets.
“I am delighted to report another strong year for financial results successfully mitigating the performance of our currency business and start-up costs for our new ventures, with excellent contribution from our consumer business, particularly precious metals.”
Anne Jessopp, Chief Executive of The Royal Mint, said: “This was a pivotal year for The Royal Mint as we embarked on a five-year transformation plan, delivered significant growth, and unveiled the official coinage of King Charles III.
“Our Consumer division delivered another year of record revenue and profitability, enabling us to accelerate our investment in new businesses. This strong performance in the UK and overseas is testimony to the strength of our brand and commitment to premium customer service.”
“As we look ahead, we remain committed to being leaders in sustainable precious metals, and later this year we’ll open a pioneering new plant to recover gold from electronic waste. This innovative technique is already being used to provide high quality gold for our luxury jewellery division, 886 by The Royal Mint.”
2022-23 | 2021-22 | |
£m | £m | |
Revenue | ||
Currency | 74.4 | 64.1 |
Consumer | 149.2 | 122.8 |
Precious Metals | 1,654.2 | 1,216.5 |
Other | 0.4 | 0.1 |
Total | 1,878.2 | 1,403.5 |
Operating (loss) / profit | ||
Currency | (13.1) | (4.5) |
Consumer | 29.8 | 26.9 |
Precious Metals | 32.7 | 20.3 |
Central overheads | (25.0) | (21.9) |
Royal Mint Limited before New Business | 24.4 | 20.8 |
New Businesses | (6.8) | (2.7) |
Total Royal Mint Limited | 17.6 | 18.1 |
RM Wynt Limited | 0.0 | (0.1) |
RM Experience Limited | 0.1 | 0.1 |
Operating profit before IFRS 9-related adjustments and exceptional items | 17.7 | 18.1 |
IFRS 9 related adjustments Exceptional items | 1.4 (5.2) | 0.3 (0.4) |
Operating profit | 13.9 | 18.0 |
Sovereign Rarities Limited | 0.4 | 0.6 |
Net finance cost | (1.4) | (0.6) |
Profit before tax | 12.9 | 18.0 |
Highlights for year ending 31st March 2023:
- The unveiling of His Majesty King Charles III’s official coin portrait generating worldwide media attention and attracting thousands of new customers in the UK and overseas
- To champion British Craftsmanship, The Royal Mint partnered with not-for-profit organisation Heritage Crafts to award five bursaries to financially support those working in metals crafts
- Special coins commemorating the Platinum Jubilee, 50 Years of Pride and the Memorial of Queen Elizabeth II entered circulation in the UK
- A new 20g gold bar was released depicting the Kaaba, the holiest site for millions of Muslims, with 2.5% of sales donated to Islamic Relief
- The largest coin in The Royal Mint’s history was sold to a private collector. The bespoke 15-kilogramme gold piece was made in celebration of Queen Elizabeth II’s Platinum Jubilee and took over 400 hours to make
- To support employee wellbeing a new parental leave and maternity programme was introduced, and 58 mental health first aiders were trained on site
Ends
For further information please visit www.royalmint.com
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About The Royal Mint
With a history spanning more than 1,100 years, The Royal Mint is Britain’s oldest companies and the original maker of UK coins. Today The Royal Mint is a premium British maker, providing carefully crafted coins and precious metal products for the UK and overseas. Based in Llantrisant, South Wales it has three main focuses as a business: Currency, Consumer (collectable and rare, historic coins) and precious metals investment.
[1] £18.1 million for 2021-22
[2] £1.4 billion for 2021-22
