KLG.T Impressed with the current quarter numbers, guidance and valuation per risk
. Kirkland Lake Gold Reports Record Earnings of $0.21 Per Share, Free Cash Flow Generation of $30.2 Million in the Third Quarter of 2016 and Improved Full Year Guidance
2016-11-03T10:28:13+00:00
TORONTO, ONTARIO--(Marketwired - Nov. 3, 2016) -
Q3 and YTD 2016 Highlights (For the three and nine months ended September 30, 2016)
Realized net income of $24.8 million ($51.0 million YTD) or $0.21 per share ($0.46 per share YTD)
Adjusted net earnings1of $27.9 million or $0.24 per share in Q3/16 and $58.2 or $0.52 per share YTD
Generated $131.6 million in revenue during the quarter ($359.5 million YTD)
Generated free cash flow1of $30.2 million during the quarter; and C$87.5 million YTD
Operating costs per ounce of gold sold1during the quarter of US$540/oz and US$591/oz YTD
Q3/16 production expenses of $75.8 million (YTD $235.2 million) which include operating costs, depreciation and depletion, royalties and share based payment expenses
All-in sustaining costs per ounce of gold sold ("AISC")1of US$970/oz ($1,266/oz) during the quarter; and US$940/oz YTD ($1,243/oz)
Closed a C$15.0 million flow-through financing and released C$10 million from restricted cash
The Company had cash and cash equivalents as at September 30, 2016 of $211.5 million
Q3/16 gold sales of 76,339 ounces at an average realized price of US$1,321/oz1($1,724/oz); YTD gold sales of 217,792 ounces at an average realized price of US$1,249/oz ($1,651/oz)
Gold production of 77,274 ounces in Q3/16; and 207,886 ounces YTD
The Company expects to exceed 280,000 ounces of production in 2016 with operating costs and AISC at or below guidance of US$800/oz and US$1,000/oz, respectively
Announced proposed business combination with Newmarket Gold Inc., to create a new low-cost mid-tier gold producer with combined anticipated annual production of +500,000 ounces; cash costs below US$650/oz and AISC below US$1,015/oz
