PERTH (miningweekly.com) – Gold miner Evolution Mining has reported a 29% year-on-year increase in revenue for the full year ended June, on the back of a 40% production increase.
Evolution on Friday announced revenue of A$605-million, following production of 392 920 oz of gold.
Underlying earnings before interest, tax, depreciation and amortisation rose by 11% on the 2012 results, to A$211.7-million, while underlying net profit reached A$44.4-million.
However, Evolution has reported a net loss after tax of A$307.4-million after accounting for an impairment charge of A$384.3-million.
“This is a solid result considering the dramatic shift in the gold price during the second half of the year, and industrywide cost pressures that prevailed over much of the year,” said executive chairperson Jake Klein.
He noted that the peak of Evolution’s capital spend was now behind the company, and its mine plans offered flexibility that positioned the company well for what it saw as a transformative phase in the Australian gold sector.
The miner responded to the lower gold price environment by implementing a number of productivity and efficiency initiatives across its operations, with Klein noting that the company retained the ability to further adjust capital, exploration and corporate spend if the gold price fell further.
“Evolution is in a strong financial position and we are confident of achieving production and cash cost guidance in the coming year,” said Klein.
For the full 2014, Evolution was forecasting gold production of between 400 000 oz and 450 000 oz, as its Mount Carlton project moved into production. The miner would also spend between A$160-million and A$185-million during 2014, which was less than the A$374.7-million spent this year.