Endeavour Silver Beats Guidance With 8.3 Million Silver Equivalent Ounces Produced In 2021

Endeavour Silver (TSX: EDR) this morning released its fourth quarter and full year 2021 financial results. The firm reportedly had its highest revenue year in five years, posting net revenue of $165.3 million for the year.

While revenue for the year was up a substantial 19%, revenue in the fourth quarter was down 20% on a year over year basis from $60.7 million to $48.7 million. The company during the quarter sold a total of 1.4 million ounces of silver, which was flat year over year, however the average realized price of $23.41 per ounce was down 5%. Gold ounces sold meanwhile declined 37% to 8,715 ounces in the quarter, at an average price of $1,811 per ounce.

On an annual basis, the company sold a total of 3.9 million ounces of silver, an 11% increase year over year, while the price per ounce overall came in at $25.22. Gold ounces sold climbed 10% to 39,113, with the company seeing an average price of $1,790 per ounce throughout the year.

In terms of production, the fourth quarter saw a total of 1.4 million ounces of silver produced along with 9,446 ounces of silver, resulting in 2.2 million silver equivalent ounces produced. For the full year, 4.9 million ounces of silver and 42,262 ounces of gold were produced, both figures of which handily beat guidance of 3.6 to 4.3 million ounces, and 31.0 to 35.5 thousand ounces, respectively. Silver equivalent production came in at 8.3 million ounces, a 27% increase over the prior year.

However, cash costs of $9.31 per ounce came in significantly higher than the guidance of $7.00 to $8.00 for the year, while all in sustaining costs of $20.34 per ounce were also higher than prior guidance of $19.00 to $20.00 per ounce.

For the full fiscal year, Endeavour psoted net earnings of $14.0 million, an improvement of 1,104% on a year over year basis from last years figure of $1.2 million. Adjusted net earnings amounted to a loss of $8.6 million per year, or $0.05 per share. Finally, the company saw EBITDA come in at $54.9 million for the full year.

The company has previously indicated that for 2022 it expects to produce between 6.7 million and 7.6 million silver equivalent ounces.

Endeavour Silver last traded at $6.53 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.

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