Yamana Posts 2Q Profit, On Pace To Top Gold-Output Guidance
Yamana Gold Inc. (TSX: YRI; NYSE: AUY) late Thursday reported that the company was profitable in the second quarter, with gold production so far this year on track to exceed 2018 guidance.
Net earnings were put at $18 million, or 2 cents per share, a turnaround from a net loss of $39.9 million, or 4 cents, in the second quarter of 2017. Excluding special items, the company’s income would be adjusted higher by $33.9 million, Yamana said. The biggest special item was a $111.7 million non-cash unrealized foreign-exchange loss on deferred income-tax expense.
Total April-June gold production for Yamana was put at 248,177 ounces, up from 244,607 in the same period a year ago.
“While the production plan for Gualcamayo this year is lower than previously indicated, total Yamana gold production including Gualcamayo is expected to also exceed previously provided guidance,” the company said.
Meanwhile, silver production climbed to 1.31 million ounces from 1.18 million, while copper output rose to 31.1 million pounds from 29.1 million. Yamana said the silver output was less than expected, but copper output was higher than plan for the second straight quarter and full-year production is expected to exceed previous guidance of 120 million pounds.
Yamana received an average gold price of $1,304 an ounce, up from $1,268 a year ago. The average realized silver price fell to $16.53 an ounce from $16.89, but the average copper price rose to $3.09 a pound from $2.52.
Yamana maintained a quarterly dividend of $0.005 per share payable on Oct. 12 to shareholders of record at the close of business on Sept. 28.
By Allen SykoraFor Kitco News
Follow @AllenSykora
asykora@kitco.com Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.