Centamin delivers record quarterly earnings

Shares in Egypt-focused gold miner Centamin got a boost on Wednesday after it reported a 43 per cent quarter-on-quarter leap in basic earnings per share (EPS) in the three months ended September 30th.

Basic EPS totalled a record 5.53 cents, which was also a 22% increase on the same period the previous year. Revenue came in at $103.1m, compared to $89.1m in the same period in 2011.

Earnings before interest, tax, depreciation and amortisation (EBITDA), also hit record levels, coming in at $67.1m, up 22% quarter-on-quarter and 25% on the prior year period.

Gold production totalled 60,922 ounces, down 10% quarter-on-quarter, but up 20% on the prior year period. The average sales price was $1,679, slightly down on £1,721 the prior year. Cash costs per ounce were $539 per ounce at subsidised fuel prices.

Josef El-Raghy, Chairman of Centamin, said: "The team at Sukari once again delivered a strong set of operating results which are particularly pleasing given the several cumulative issues that were faced and addressed during the quarter. Open pit tonnages continued to increase according to plan and the operation as a whole entered the fourth quarter well placed to meet our unchanged full year production guidance of 250,000 ounces.

"Mining and processing operations continue to perform in line with budget and we expect to meet our unchanged full year guidance of 250,000 ounces at $550 per ounce at subsidised fuel prices and $700 per ounce inclusive of fuel repayments.

"Our balance sheet remains strong, with cash, bullion on hand and liquid assets of $181.7m at the end of September."

The company remains debt free.

The share price climbed 2.05% to 72.35p by 09:00.

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