TORONTO (miningweekly.com) – US precious metals miner Coeur Mining late on Wednesday reported that it had swung to a third-quarter adjusted loss, as lower realised silver and gold prices chipped away at its profit.
For the three months ended September 30, the Chicago-headquartered miner reported a net loss, excluding one-time items, of $23.4-million, or $0.23 a share, compared with adjusted earnings of $25.8-million, or $0.29 a share.
This was $0.03 below analyst expectations of $0.20 a share.
Revenues declined 13% year-on-year to $200.8-million, despite gold sales increasing by 30% to 76 466 oz. Silver sales, however, declined 9% to 4.9-million ounces, and both metals were impacted by lower realised prices.
On a year-on-year basis, the average realised gold price fell 20% to $1 329/oz, and the average realised silver price fell 30% to $21.06/oz.
The total production costs rose 5% to $131.7-million, up from $125-million a year earlier.
The company reaffirmed its 2013 full-year production guidance of between 18-million and 19.1-million ounces of silver and 250 000 oz to 258 000 oz of gold.
Coeur said it expected significantly higher output levels in the fourth quarter, particularly from the Rochester silver/gold mine, in Nevada. Coeur was also maintaining its full-year cash operating cost guidance within a range of $9.50/oz and $10.50/oz of silver, and $950/oz to $1 000/oz of gold from Kensington, in Alaska, which reflected continued progress in the company's ongoing cost reduction efforts.
The company incurred $32.7-million in capital expenditure (capex) in the third quarter and reaffirmed its 2013 full-year capex of $100-million to $110-million.
Coeur’s NYSE-listed shares traded down 7.69% at $11.17 apiece early on Thursday morning.