Eldorado Gold Posts $316.8 Million Loss In First Quarter
Eldorado Gold (TSX: ELD) last night filed its first quarter financial results, which follows the previous release of production results for the quarter. The company managed to generate a total of $194.7 million in gross revenue for the quarter, off the back of 94,471 gold ounces sold.
Revenues for the quarter declined on a year over year basis from $224.6 million, as well as on a quarter over quarter basis from $244.6 million. The firm saw an average realized gold price of $1,889 per ounce for the quarter.
In terms of cost, production costs for the quarter amounted to $104.6 million, while all in sustaining costs shook out to $1,347 per ounce sold, as compared to $1,077 per ounce in the prior quarter and $986 per ounce in the year ago period.
“Our global operations were met with significant challenges in the first quarter. Severe weather in Turkey and Greece, a government-mandated power outage in Turkey, and COVID-related absenteeism across all sites impacted our production.” commented CEO George Burns.
The quarter got no better from here, with the company posting its second consecutive quarter of losses. Following a $43.1 million net loss in the fourth quarter, Eldorado Gold posted a net loss of $316.8 million for the first quarter, or a loss of $0.10 per share.
The major loss is said to be attributed to the impairment of the Certej project that resulted in a $365.4 million charge, and the impairment of certain equipment at the firms Kisladag operation that was decommissioned.
Finally, the company saw its cash position decline from $481.3 million to $434.7 million over the course of the quarter, with free cash flow coming in at negative $26.8 million.
Eldorado Gold last traded at $13.53 on the TSX.
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