Proactive Investors - Run By Investors For Investors

Yamana Gold shares shine as miner says it's on track to beat production guidance for full year

The miner posted solid second quarter results and revealed it was on track to beat previous production guidance for the year.
Yamana Gold shares shine as miner says it's on track to beat production guidance for full year
The turnaround at the gold miner is starting to take hold

Improved operational performance at South America-focused gold miner Yamana Gold Inc (TSX: YRI, NYSE: AUY) is starting to take hold as the group posted solid second quarter results and revealed it was on track to beat previous production guidance for the year.

Shares in the precious metals producer were up 2.72% to US$2.82 in New York in pre-market deals. In the regular session, they surged over 11% to US$3.08.

Net earnings were put at US$18mln for the three months to end June, marking a sharp turnaround from a net loss of US$39.9mln in the same period of 2017. Revenue was US$431.5mln compared to US$428.1mln in the same period last year.

Total gold production in the period  came in at 248,177 ounces from its producing mines.

The group also produced 31.1mln pounds of copper, higher than expected, while silver production climbed to 1.31mln ounces from 1.18mln, which was lower than expected but Yamana thinks it will improve in the second half.

"Higher than expected gold production at Chapada, Canadian Malartic, Jacobina, and El Peñón together with the favourable ramp-up at Cerro Moro has the Company well positioned to exceed previously provided guidance of 900,000 ounces of gold for Yamana Mines,"  it said in a regulatory statement last night.

"While the production plan for Gualcamayo this year is lower than previously indicated, total Yamana Gold production including Gualcamayo is expected to also exceed previously provided guidance."

The group has cash and cash equivalents of US$114.4 million and available credit of $765mln as at June 30.

The company also declared a third quarter 2018 dividend of US$0.005 per share.

--UPDATES FOR SHARE PRICE RISE--

View full YAU profile View Profile

Yamana Gold Timeline

Related Articles

Shanta Gold
Wed
Shanta expects production to top 100,000 ounces of gold a year once its Singida project in Tanzania comes on stream in 2020
zeolite mine
September 15 2018
Zeolite may not be the most well-known mineral but it has wide applications, such as use in animal feed, as a pozzolan in cement and as an additive to soil, which could be used for cannabis plants
1541073181_shutterstock_249210421-(1).jpg
November 01 2018
The growth profile for Endeavour Mining has never looked better

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use