Alamos Gold Inc. (TSX: AGI) shared this morning its financial results for Q2 2021, highlighting revenue of $195.1 million. This is an increase from Q2 2020’s revenue of US$126.2 million.
The company also produced 114,200 gold ounces during the quarter from its Young Davidson, Island Gold, and Mulatos sites. For the first six months, gold production is at 240,000 ounces and on track with the full-year guidance of 470,000 – 510,000 gold ounces. The firm also notched gold sales of US$195.1 million from selling 107,581 ounces at US$1,814 per ounce.
However, Alamos Gold recorded a loss of US$172.5 million for the quarter compared to last year’s US$6.0 million net income. The quarterly loss is being attributed to the US$215 million impairment charge the company took in relation to its investment treaty claim against the Republic of Turkey. Considering this and other financial calibrations, the adjusted net earnings for the quarter came in at US$38.7 million. The loss for the quarter translates to US$0.44 loss per share.
The company, however, ended the quarter with US$233.9 million in cash and cash equivalent, up from last year’s US$220.5 million.
In terms of outlook, the mining firm is currently working on its growth initiatives, including the Phase 3 expansion at the Island Gold site, construction of the La Yaqui Grande project, and permitting at the Lynn Lake site. Following these, the company is looking at potentially producing approximately 750,000 gold ounces annually by 2025.
You may view the full financial results for Q2 2021 here.
Alamos Gold last traded at $10.13 on the TSX.
Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
