- Amerigo Resources Ltd. (ARG) announced the financial results for its second quarter after recovering from a significant net loss
- It had a net loss of US$5.1 million driven by prior quarter settlement adjustments and annual maintenance shutdown
- Quarterly results included a net loss per share of US$0.03 and an EBITDA of $6.7 million
- Amerigo’s cash and restricted cash values for the quarter were $57.2 million
- Amerigo Resources Ltd. (ARG) is down 6.25 per cent and is trading at $1.20 per share as of 1:00 p.m. ET
Amerigo Resources (ARG) announced the financial results for its second quarter after recovering from a significant net loss.
Amerigo’s financial results were impacted by reduced copper production during the annual scheduled maintenance shutdown of Minera Valle Central (MVC) in Chile and US$5.1 million in negative price settlement adjustments to previous quarterly copper sales.
“… Amerigo’s financial results were negatively affected by a substantial decline in copper prices which translated to a quarterly loss of $5.1 million… Copper price volatility is not new or uncommon, but Amerigo is now well-positioned to weather a period of lower prices,” Aurora Davidson, Amerigo’s President and CEO, said.
In addition, quarterly results included a net loss per share of US$0.03 and an EBITDA of $6.7 million. The company stated it is backed by a strong balance sheet and is committed to returning capital to shareholders,
Amerigo reported that its cash and restricted cash values for the quarter were $57.2 million, compared to starting the year with cash and restricted cash of $64.0 million.
The company also declared its quarterly dividend to shareholders of $0.03 per share. Based on the share closing price of Cdn$1.24 on June 30th, this represented an annual dividend yield of 9.68 per cent.
Amerigo’s board is also seeking TSX approval for a normal course Issuer bid after December 2nd, once the current one-year program expires.
Amerigo Resources Ltd. (ARG) is down 6.25 per cent and is trading at $1.20 per share as of 1:00 p.m. ET.
