Tuesday, Canadian mining company Inmet Mining Corp. (IMN.TO), reported a profit for its fourth quarter, compared to a loss a year ago, helped by significantly improved copper and zinc prices. Further, the company issued production guidance for fiscal 2010.
The Toronto, Canada-based company reported net income of C$89.76 million or C$1.60 per share, compared to a net loss of C$32.51 million or C$0.67 per share in the year-ago quarter.
Gross sales for the quarter increased 108% to C$290.57 million from C$139.63 million in the prior-year quarter. Higher copper and zinc prices increased sales by C$143 million, meanwhile in the prior year, prices were significantly impacted by the downturn in the metal and financial markets. Cost of sales for the quarter eased to C$74.99 million from C$91.72 million in the same quarter last year.
For the fiscal year 2009, net income grew to C$569.17 million or C$5.14 per share from C$216.92 million or C$4.49 per share in the year-ago. Analysts were looking for earnings of C$4.93 per share for fiscal 2009.
Gross sales rose 4% over last year to C$983.89 million from C$944.87 million.
Looking ahead, the company expects copper and zinc sales volumes in 2010 to be higher because it expect higher production. Inmet anticipates gold sales volumes to be lower than 2009 because production will end at Troilus mid-year 2010.
Further, the company expects copper production to be about 50% higher in 2010 because of the incremental production at Las Cruces.
IMN.TO is currently trading at C$54.70, up C$1.85 or 3.50% on a volume of 158,497 shares.
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