Antofagasta's first quarter revenue falls as copper prices drop

Copper mining giant Antofagasta reported a 29.2 per cent fall in earnings in the first quarter reflecting lower commodity prices and higher operating costs.

Copper mining giant Antofagasta reported a 29.2 per cent fall in earnings in the first quarter reflecting lower commodity prices and higher operating costs.

Earnings before tax, interest, tax, depreciation and amortisation (EBITDA) came to $781.7m in the first three months, compared to $1.1bn the previous year.

Revenues fell 14.6% to $1.5bn from $1.7bn as prices of copper and gold dropped during the quarter.

The realised copper price in the period declined from $4.29 per pound in the first quarter of 2012 to $3.41 per pound this year.

Market gold prices averaged $1,632.1 per ounce, a decrease from the average price of $1,690.9 per ounce in first quarter of 2012.

Copper production rose 12.8% to 183,800 tonnes from 162,900 tonnes thanks to higher plant throughput at the Esperanza mine in Chile.

Sales volumes rose modestly in comparison to production at 170,000 tonnes, up from 158,700 tonnes the prior year, as the company was hit by temporary delays in shipping due to strikes at ports from which El Tesoro and Michilla's copper production is transported.

Gold production volumes increased to 86,200 ounces from 63,500 ounces while sales climbed to 74,800 ounces from 63,400 ounces, driven by increased production at Esperanza.

The group ended the period with net cash of $2.6bn, up from $2.5m at the end of the previous quarter.

RD

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020

Most Popular

Why we won’t see a house-price crash in 2021
House prices

Why we won’t see a house-price crash in 2021

Lockdown sent house prices berserk as cooped up home-workers fled for bigger properties in the country. And while they won’t rise quite as much this y…
18 Jan 2021
The FTSE 100 is set for a makeover with an influx of new tech stocks
UK stockmarkets

The FTSE 100 is set for a makeover with an influx of new tech stocks

The FTSE 100 – the dullest index in the world – is about to reinvent itself as a host of new firms list on the market. The change is long overdue, say…
24 Jan 2021
Think Tesla is a bubble? This might be the best way to bet on it bursting
Oil

Think Tesla is a bubble? This might be the best way to bet on it bursting

The huge rise in Tesla’s share price means that, by market value, it’s now the sixth-largest company in the US and and the world’s biggest car-maker. …
25 Jan 2021