Benguet Corp. (PSE: BC) has generated net revenues of PhP2.26 billion for the ten-month period ended October 31, 2010, on an unconsolidated basis. This positive performance considerably reduced the Company’s retained earnings deficit to PhP2.19 billion from PhP4.46 billion, as of end-2009. Furthermore, net equity now stands at positive PhP1.04 billion compared to a negative PhP1.39 billion.
The Company, in the recent past, has experienced cumulative losses. This was principally brought about by low global metal prices in the late 1980s and 1990s, and various natural disasters, which severely hampered its operations. Moreover, the Company was burdened by a high level of bank obligations. The latter, however, has been substantially reduced in 2010 and the Company expects to fully resolve the balance of its outstanding loans by the end of 2011.
At the recently concluded Board of Directors meeting, Chairman, President and CEO Benjamin Philip G. Romualdez announced that with the settlement of a majority of its long outstanding debt, including accrued interest amounting to PhP2.22 billion, the improvement of the Company’s gold and nickel operations, the availability of fresh financing, and dynamic business plans and financial projections for new projects, Benguet is back in the radar screen of global mining players. Benguet is now positioned to re-assume its role as one of the potent industry leaders in the country.