20°c Partly cloudy
12°c Cloudy with showers
Winnipeg Free Press - PRINT EDITION
HudBay's third-quarter loss narrows
TORONTO -- HudBay Minerals Inc. (TSX:HBM) says its third-quarter loss narrowed to $6.1 million compared with the quarter a year earlier, when it booked millions in one-time costs.
The Toronto-based miner said the most recent quarterly loss amounted to three cents per share, compared with $41.1 million, or 23 cents per share in the same quarter of 2011, when the company took a hit from an asset disposal of $28.4 million and a tax expense of $26.8 million.
However, revenue fell to $144.6 million from $212.3 million in the 2011 quarter, when the company saw "unusually high sales volumes" and excess inventory was drawn down.
Provisional pricing adjustments contributed $3.3 million to after-tax revenues as a result of increases in copper, gold and silver during the quarter and zinc price increases on purchase contracts added another $3.1 million in after-tax gains.
During the most recent quarter, the company booked a $3.5-million after-tax loss on mark-to-market adjustments related to junior mining investments, $2.5-million in after-tax costs related to precious metals and senior unsecured notes and a $12.1-million loss on foreign exchange.
"Gross profit was lower in the third quarter of 2012 compared to the same period in 2011 as a result of lower revenues mainly due to lower copper and gold volumes, partially offset by lower cost of sales," the company said in its release.
"As a result of the lower gross profit, the tax expense was lower in the third quarter of 2012, resulting in a lower loss for the period compared to the third quarter of 2011."
Still, David Garofalo, HudBay's president and chief executive officer, said HudBay's year-to-date production and performance remains within its expectations.
"The consistency of our underlying business in northern Manitoba, coupled with the US$1.25 billion of capital secured in the third quarter, has allowed HudBay to advance its plans for significant growth in copper, gold and zinc production over the next three years from three new mines now under construction."
Ore production at its Manitoba business was 20 per cent lower than the prior year's third quarter due to the permanent closure of the Trout Lake mine in June, offset slightly by the start of production at its Lalor mine.
Mine operating costs were 15 per cent lower than in the 2011 quarter as development fell of at the Chisel North mine, which permanently closed in September.
-- The Canadian Press
Republished from the Winnipeg Free Press print edition November 2, 2012 B8
More Business
- Back to Top
- Return to Business
Poll
Most Popular Business
- MTS to sell Allstream to Egyptian investment group, focus on Manitoba market
- Value Partners cracks $1-B mark in assets
- Changes to CPP rules worth looking into
- New owner for lumber stores
- Canada threatens 'retaliatory measures' over new US meat labeling regulations
- Even a nine-year-old grills McDonald's CEO over menu
- Ottawa threatens 'retaliatory measures' over new U.S. meat labelling regulations
- Manitoba housing affordability deteriorates
- Wealth survey indicates average person has $6.6K
- Skyline-altering project will happen: developer
- New owner for lumber stores
- MTS to sell Allstream to Egyptian investment group, focus on Manitoba market
- 2 men arrested in killing of Las Vegas teen who refused to give up his iPad
- New downtown tower could be 42 storeys tall: developers
- Creative industries can fuel a city's economic engine
- Microsoft reveals Xbox One as all-in-1 entertainment console, last of 3 major systems unveiled
- Value Partners cracks $1-B mark in assets
- Skyline-altering project will happen: developer
- Housing slowdown to worsen, cost 150,000 jobs, says mortgage group
- Bridging the gap
- Target opens its first Manitoba stores Tuesday
- New structure to be king of downtown?
- Transcona transformation
- Target opens Manitoba stores
- New owner for lumber stores
- Mounties say crooks passing fake polymer bank notes in British Columbia
- City to get a touch of glass
- MTS to sell Allstream to Egyptian investment group, focus on Manitoba market
- Canad Inns property has personal meaning for owner
- Holiday pump jump debated
- Value Partners cracks $1-B mark in assets
- MTS to sell Allstream to Egyptian investment group, focus on Manitoba market
- Changes to CPP rules worth looking into
- New owner for lumber stores
- Valeant shares soar amid report drug firm near $9B deal to buy Bausch and Lomb
- Motor Coach laying off 190 workers
- Will, power of attorney are different documents
- Young entrepreneurs pitch ideas to investor Warren Buffett, win prizes for their businesses
- Wealth survey indicates average person has $6.6K
- She's got entrepreneurial spirit
- New owner for lumber stores
- Value Partners cracks $1-B mark in assets
- Ex-'Pegger seeks to grow local businesses
- MTS to sell Allstream to Egyptian investment group, focus on Manitoba market
- Bridging the gap
- Developers to unveil plans for bold downtown tower
- Changes to CPP rules worth looking into
- Skyline-altering project will happen: developer
- There are lots of I's in 'team'
- More than a new boss
- New owner for lumber stores
- Transcona transformation
- New structure to be king of downtown?
- CEO, execs terminated at TCIG
- Target opens its first Manitoba stores Tuesday
- Canad Inns property has personal meaning for owner
- Winnipeg's got the REIT stuff
- Older and jobless? Resource on hand
- Value Partners cracks $1-B mark in assets
- Local boy leads Great-West
Ads by Google
You can comment on most stories on winnipegfreepress.com. You can also agree or disagree with other comments. All you need to do is register and/or login and you can join the conversation and give your feedback.
Have Your Say
New to commenting? Check out our Frequently Asked Questions.
The Winnipeg Free Press does not necessarily endorse any of the views posted. By submitting your comment, you agree to our Terms and Conditions. These terms were revised effective April 16, 2010.