Silvercorp Metals Inc (SVM)

[ChuckD-MSB]

Silvercorp reports financial and operating results for the fiscal year and fourth quarter ended March 31, 2015


VANCOUVER, May 21, 2015 /CNW/ - Silvercorp Metals Inc. ("Silvercorp" or the "Company") (TSX: SVM) (NYSE: SVM) today reported its financial and operating results for the fourth quarter and fiscal year ended March 31, 2015 ("Fiscal 2015").

The Company is pleased that management enhancements and operational improvements enacted in Fiscal 2015 to address the lower commodity price environment have favourably impacted all aspects of operations, with improvements in head grade and mining tonnage, resulting in improved cash flow and adjusted net income.

FISCAL YEAR 2015 HIGHLIGHTS

Silver sales of 5.1 million ounces, lead sales of 51.5 million pounds and zinc sales of 15.9 million pounds, up 33%, 39%, and 89% from the prior year;

Silver and lead head grades at the Ying Mining District improved 16% and 24% compared to the prior year period;

Sales of $128.5 million, up 19% from the prior year;

Gross margin of 43% compared with 45% in the prior year, relatively steady despite a 13% decline in the average selling price of silver from the prior year;

Cash flow from operations up 50.0% to $54.1 million, or $0.32 per share, compared to $36.1 million or $0.21 per share in the prior year period;

Adjusted net income attributable to equity shareholders of $15.2 million, or $0.09 per share, compared to adjusted net income attributable to equity shareholders of $7.6 million, or $0.04 per share in the prior year period;

Cash cost per ounce of silver, net of by-product credits, of $0.22, compared to $2.16 in the prior year;

All-in sustaining cost per ounce of silver, net of by-product credits, of $11.75, compared to $16.33 in the prior year;

General and administrative costs decreased by 16% to $20.6 million compared to $24.4 million in the prior year; and

GC mine obtained its safety production permit and ramped up to commercial production, producing 204,925 tonnes of ore with metal sales of 501,000 ounces of silver, 4.8 million pounds of lead, and 9.4 million pounds of zinc; and,

Ended the fiscal year with $69.5 million in cash and short term investments.

FOURTH QUARTER HIGHLIGHTS

Silver sales of 0.9 million ounces, an increase of 58% compared to the same prior year period;

Lead sales of 9.2 million pounds and zinc sales of 2.5 million pounds, up 78% and 188%, respectively, compared to the same prior year period;

Sales of $20.3 million, an increase of 26% compared to the same prior year period;

Gross margin of 26% down from 43%, impacted by the decline of metal prices and the inclusion of lower profit margin operations at the GC mine;

Cash flow from operations of $4.8 million, or $0.03 per share ;

Adjusted net loss of $0.2 million, or $0.00 per share;

Cash cost per ounce of silver, net of by-product credits, of $0.89; and,

All in sustaining cost per ounce of silver, net of by-product credits, of $13.37.

http://ih.advfn.com/p.php?pid=nmona&article=66974542