Silver producer Hecla Mining 1Q profit soars
Monday May 12, 9:14 am ET
Silver producer Hecla Mining 1st-qtr profit up 51 percent as higher prices offset lower output
ca.us.biz.yahoo.com
COEUR D'ALENE, Idaho (AP) -- Hecla Mining Co., which produces silver in North and South America, said Monday its first-quarter profit jumped 51 percent as higher selling prices and lower costs offset decreased production.
After paying preferred stock dividends, net income for the three months ended March 31 climbed to $12.1 million, or 10 cents per share, compared with $8 million, or 7 cents per share, in the year-earlier period.
The company used a larger number of shares outstanding to calculate earnings per share in the recent quarter.
Analysts polled by Thomson Financial expected, on average, earnings per share of 13 cents.
Revenue fell to $46 million from $54.6 million in the year-earlier quarter.
Production fell to about 1.3 million ounces of silver and 21,940 ounces of gold, compared with 1.6 million ounces of silver and 36,330 ounces of gold in the first-quarter of 2007.
Asian port congestion kept a Hecla mine in Alaska from recording any sales during the first quarter. Also, gold inventory in Venezuela increased by 8,300 ounces "as the company worked to maximize local sales in order to obtain the most favorable economic benefits," Hecla said in a statement.
Hecla's average silver price rose to $17.68 per ounce from $13.31 per ounce.
Shares fell 21 cents to $10.30 in premarket trading. |
