Mandaluyong City—(PHStocks)—Atlas Consolidated Mining & Development Corporation posted a net income of Php569 million for the 1st quarter of 2013, registering a 139% growth from the net income of Php238 million for the 1st quarter of 2012.
The significant increase in net income was driven mainly by the reduction in total operating and financing costs by 11% from Php3.137billion in the 1st quarter of 2012 to Php2.786 billion in the 1st quarter of 2013.
The effect of prudent cost management has more than offset the slight decrease in realized copper prices in 2013. Core income improved by 92% to Php504 million from Php263 million during the same period.
EBITDA likewise registered an improvement of 28% to Php1.286 billion from Php1.008 billion.
Atlas Mining’s wholly-owned subsidiary, Carmen Copper Corporation, sustained the same shipment volume of 19.9 million pounds of gross copper metal in concentrate for both the 1st quarter of 2012 and 2013.
Consolidated revenues dipped slightly to Php3.291 billion from Php3.400 billion as a result of lower copper prices in the 1st quarter of 2013.
Production of copper metal in concentrate was slightly lower in the 1st quarter of 2013 at 20.8 million pounds compared to 21.7 million pounds during the same period last year as a result of mandatory maintenance work on one of the ball mills in Carmen Copper’s processing plant. The plant currently has seven ball mills that are the main drivers of throughput. The maintenance work (normally required approximately once in 20 years of equipment usage) was conducted and completed within the month of February.
Production in the month of March reached a new record high of 8 million pounds of gross copper metal in concentrate. Last year, Atlas Mining embarked on an expansion project for Carmen Copper that will increase its current copper concentrate production capacity of 40 thousand tonnes per day to 60 thousand tonnes per day. The project is expected to be completed within the 2nd half of 2013, one year ahead of the original schedule.
According to Mr. Adrian Ramos, Director and EVP, “The first quarter results are showing us that we are on the right track in terms of managing our costs. This allowed our operations to remain resilient and competitive amidst any future copper price scenario.
The completion of the expansion project at Carmen Copper will be a new growth platform that will strengthen our capacity to achieve new production records and profitability targets in 2013.
Looking ahead, we have confidence in the continuing demand for copper in the world’s growth economies and we will pursue long-term opportunities that will drive our businesses forward and deliver value to our shareholders.”