Centerra Gold posts US$31.7-million loss, including inventory writedown at Kumtor
TORONTO - Centerra Gold Inc. (TSX:CG) reports it had a US$31.7-million net loss in the second quarter, citing a number of factors including lower gold prices and a US$14.1-million inventory charge at its Kumtor operation in Kyrgyz Republic.
The loss, reported in U.S. currency, amounted to 13 cents per share and compared with a year-earlier profit of one cent per share or US$1.6 million.
Revenue was down seven per cent to US$119.5 million, from US$128.2 million in the second quarter of 2013.
The average price that Centerra got for its gold during the quarter was also down seven per cent, falling to US$1,285 per ounce from US$1,376 per ounce.
The Toronto-based company said Tuesday after markets closed that the inventory writedown at Kumtor, its biggest operation, reflected the difference between the cost of its stockpiles and the amount that it Centerra believes it could realize after further processing and sale of the gold.
Centerra produced 92,124 ounces of gold in the quarter, including 77,860 ounces at Kumtor and 14,265 ounces at its Boroo operation, compared to 99,426 ounces in the same period in 2013.
All-in costs per ounce sold, which excludes revenue-based tax in the Kyrgyz Republic and income taxes, was $1,722 for the quarter compared with $1,708 for the second quarter of 2013.
Centerra's corporate administration costs also increased, rising to $11.8 million from $7.2 million a year earlier, due to higher share-based compensation. The share-based compensation in the latest quarter was $5.3 million, up from $200,000 in the same period of 2013.
Read more Business News
- CN talks, no deal yetCentral Okanagan - 11:58 am
- Politics: And they're offKelowna - 11:38 am
- Two arrested in robberyKamloops - 10:33 am
- Paddlers descend on city hallKelowna - 5:00 am
|QHR Technologies Inc||1.25||+0.02|
|Anavex Life Sciences||0.1825||-0.0025|
|Copper Mountain Mining||2.43||-0.09|
|Sunrise Resources Ltd||0.065||+0.045|
|Mission Ready Services||0.32||-0.02|
Part 2 of 2 to read Part 1, click here. 5. Dial down your vacations. New York is out. Maybe Buffalo. For West coast, maybe Seattle instead of Hawaii. Use sites like Airbnb (aribnb.ca) to find ch...
Niche food producer “Sweets from the Earth” thrives using innovation, uniqueness and an unwavering focus on quality. A neighbour’s stew turned Ilana Kadonoff off meat at the age of s...
Recently I had the privilege of working alongside André Voskuil, a local guru in the world of Alternative Financing. André has quite the reputation in the world of direct investments as ...