- Investors are once again flocking to Kinross Gold (K) after its net income almost quadrupled in the last quarter
- Kinross’s third quarter net income rose by 295.2 per cent to US$240.7 million (approximately C$314 million), compared to just US$60.9 million (approximately C$79.48 million) in last year’s same period
- The sharp rise in profits is partially attributable to improving margins across Kinross’s operations, as well as a 29 per cent bump in revenue to US$1.13 billion (around C$1.47 billion)
- Meanwhile, production this quarter held steady at 603,312 equivalent gold ounces., which remains on track to meets the annual guidance of 2.4 million equivalent ounces
- Kinross Gold (K) is up 8.08 per cent to C$11.51 per share
Investors are once again flocking to Kinross Gold (K) after its net income almost quadrupled in the last quarter.
The company, which operates across Brazil, Ghana, Mauritania, Russia and the United States, has already staged an impressive year-to-date on the TSX, jumping more than 70 per cent since January.
The rise can be largely attributed to its aggressive growth plans, coupled with a still strong gold price, which hit record heights this year amid widespread market volatility.
Following the strong performance, Kinross’s third quarter net income rose by 295.2 per cent to US$240.7 million (approximately C$314 million), compared to just $60.9 million (approximately C$79.48 million) in last year’s same period.
The sharp rise in profits is partially attributable to improving margins across Kinross’s operations as well as a 29 per cent bump in revenue to $1.13 billion (around C$1.47 billion).
Production this year to-date largely held firm in the third quarter, at around 603,312 equivalent gold ounces, which edges the company steadily closer to its full year guidance of 2.4 million equivalent ounces.
The company’s steady pace is all the more impressive given the substantial impact COVID-19 had on its mining operations earlier in the year, which it now seems to have shrugged off.
The company’s strong production follows its recently revealed three-year plan to aggressively ramp up production by 20 per cent to reach 2.9 million equivalent gold ounces annually by 2023.
Commenting Kinross’s strong performance, President and CEO J. Paul Rollinson said the company’s mines continued to perform well this quarter and have successfully managed the operational challenges caused by the COVID-19 pandemic.
“Our robust financial position, diverse operating portfolio, attractive project pipeline and successful track record of exploration and project development provides a strong foundation from which to continue building value well into the future,” he added.
Kinross Gold (K) is up 8.08 per cent to C$11.51 per share at 1:42pm EST.