(RTTNews) - Goldcorp Inc. (GG: News ,G.TO: News ) on Wednesday reported a 62% fall in net income for the third quarter from last year, hurt by a foreign exchange loss compared to a hefty foreign exchange gain in the year-ago period. Excluding items, adjusted earnings per share for the quarter more than doubled from the prior year and beat analysts' consensus estimate. Looking ahead, the company raised its gold production outlook, while it lowered its outlook for cash costs for the full year.

Third-Quarter Results

The Vancouver, Canada-based gold producer's net income for the third quarter was US$114.2 million or US$0.16 per share, down from US$297.2 million or US$0.42 per share for the year-ago quarter.

The latest quarter's results include a non-cash foreign exchange loss of US$28.1 million on the revaluation of future income tax liabilities, while the year-ago period's results include a foreign exchange gain of US$253.7 million.

Excluding items, adjusted net income for the third quarter rose to US$140.6 million or US$0.19 per share from US$64.7 million or US$0.09 per share in the prior-year quarter. On average, fifteen analysts polled by Thomson Reuters expected the company to earn US$0.16 per share for the second quarter. Analysts' estimate typically exclude special items.

Adjusted net earnings include the impact of non-cash stock option expenses, which amounted to approximately US$0.02 per share for the quarter.

Revenue for the third quarter climbed 25% to US$691.9 million from US$552.2 million in the same quarter last year, and beat analysts consensus revenue estimate of US$614.34 million.

Chuck Jeannes, President and Chief Executive Officer of Goldcorp said, "Consistent with our 2009 theme of execution throughout our operations, Goldcorp's gold production and cash costs were again very strong in the third quarter."
Peer Performance

In late October, Barrick Gold Corp. (ABX: News ,ABX.TO: News ) reported a net loss for the third quarter compared to a profit in the year-ago period. The latest quarter's results reflect a US$ 5.7 billion charge related to the windup of the company's gold hedging program. The world's largest gold producer posted a net loss of US$5.35 billion or US$6.07 per share, compared to net income of US$254 million or US$0.29 per share in the year-ago quarter. Sales for the quarter increased to US$2.10 billion from US$1.88 billion from the prior-year period.

On Tuesday, Yamana Gold Inc. (AUY: News ,YRI.TO: News , YAU.L) reported a 60% fall in profit for the third quarter from last year, hurt by a loss on commodity derivatives compared to hefty gain on commodity derivatives in the year-ago period. The company's net earnings for the third quarter dropped to US$60.82 million or US$0.08 per share from US$150.20 million or US$0.21 per share in the year-ago quarter. However, revenues for the quarter surged 50% to US$333.18 million from US$221.62 million in the year-ago quarter.

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