VANCOUVER (miningweekly.com) – China-focused primary silver miner Silvercorp Metals has reinstated its twice-yearly dividend of C$0.01 a share on the back of significantly improved second-quarter performance metrics for the fiscal year, the company announced Friday.
Vancouver-based Silvercorp, which has several producing low-cost mines in China, suspended dividends in August 2015 as a result of lower silver prices and to preserve capital.
Silvercorp on Thursday reported net income attributable to equity shareholders for the quarter ended September 30 of $12.4-million, or $0.07 a share, up 454% year-on-year compared with net earnings of $2.2-million, or $0.01 a share, in the comparable period a year earlier.
Revenues totalled $46.3-million, up 70% year-on-year, as the company benefited from increased head grades and significantly reduced costs.
All-in sustaining costs fell to $3.16/oz of silver, net of by-product credits, from $12.40/oz a year earlier.
Year-on-year silver, lead and zinc sales rose 44%, 51% and 27%, respectively, to about 1.8-million ounces of silver, 19.9-million pounds of lead, and 5.9-million pounds of zinc.
Improved commodity prices also boosted the outlook, with the company reporting a 27% year-on-year improvement in the realised selling price for silver, 3% for lead and 22% for zinc.