Weak gold price hits FY profits at Centamin

21st Mar 2016 07:23

(ShareCast News) - A weaker gold price hit full year profits at miner Centamin, which fell to $58.4m from from $81.5m despite a jump in revenue to $508.4m from $472m.Annual production rose 16% to 439,072 ounces - within the company's revised guidance range.Cash operating costs of $713 per ounce were down from $729 per ounce in 2014, mainly due to lower fuel prices, although marginally above guidance $700 per ounce despite higher production than originally forecast.All-in sustaining costs of $885 per ounce were below Centamin's original forecast of $950 per ounce, mainly due to the re-scheduling of certain sustaining capital cost items, as well as the higher production.Centamin said guidance for 2016 is for 470,000 ounces at $700/oz cash operating cost and $900/oz all-in-sustaining cost."Whilst this guidance implies further material production growth at (the) Sukari (mine), the key focus for the operation during the year is on realising the potential for additional productivity and cost efficiencies."Basic earnings per share fell 37% to 4.51 US cents, impacted by a $6.3 million write-off following termination of exploration in Ethiopia and a $6.8m Australian tax charge on foreign exchange gains.The company said it remained debt-free and unhedged with cash, bullion on hand, gold sales receivable and available-for-sale financial assets of $230.7m, up from $162.8m in 2014.