TORONTO (miningweekly.com) – Yamana Gold on Wednesday reported a net profit of $89.6-million for the fourth quarter – about 28% lower than the figure for the same period a year ago – after the TSX-listed miner took an $81-million impairment hit on investments.

On an adjusted basis, earnings were $184-million or $0.25 a share for the quarter, compared with $171-million and $0.23 a share a year ago, and slightly above the $0.24 a share analysts were expecting.

For the full year, Yamana lifted production by 5% to a record of 1.1-million gold equivalent ounces, bringing in revenues of $2.2-billion.

The Toronto-based company said it expected to lift output by around 13% in 2012 to between 1.2-million and 1.3-million gold equivalent ounces, as its Mercedes mine in Mexico ramps up production, and an expansion at the Minera Florida operation in Chile kicks in at the end of the first quarter.

In 2013, Yamana expects to boost production further, to between 1.5-million and 1.7-million gold equivalent ounces, benefitting from the C1 Santa Luz mine in Brazil having its first full year of output along with the Ernesto/Pau-a-Pique project in the same country.

"By 2014, production is targeted to be at a sustainable level of approximately 1.75-million gold equivalent ounces," Yamana said in a statement.

The company forecast 2012 cash costs to be below $250/gold equivalent ounce, compared with the $50/oz figure it reported for 2011.

Yamana also on Wednesday announced a 10% increase to its yearly dividend to $0.22 a share.

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