Coeur Mining, Inc. (“Coeur” or the “Company”) (NYSE: CDE) today reported first quarter 2020 financial results, including revenue of $173.2 million, cash flow from operating activities of $(8.0) million and GAAP net loss from continuing operations of $11.9 million, or $0.05 per share. On an adjusted basis1, the Company reported EBITDA of $46.6 million, cash flow from operating activities prior to changes in working capital of $30.1 million and net loss from continuing operations of $0.8 million, or $0.00 per share.
Key Highlights
“Our top priority as we navigate the COVID-19 situation continues to be the health, safety and well-being of our workforce, their families, and the communities where we operate,” said Mitchell J. Krebs, President and Chief Executive Officer. “We have put stringent controls and procedures in place throughout the Company focused on (i) controlling and limiting access to our sites, (ii) screening employees and visitors at entrance points, (iii) reducing exposure risk through a range of social distancing protocols as well as proactive sanitizing and cleaning procedures, and (iv) mandating all office personnel work from home. We have also implemented travel restrictions and reporting requirements for all of our employees.”
“At this time, three of our four active mines remain in operation. Our three U.S. assets continue to operate, while our Palmarejo mine in Mexico has taken steps to suspend active mining and processing activities in accordance with the Mexican government’s decree to suspend non-essential business activities. We safely ramped down mining and processing activities at our Silvertip operation in British Columbia in February and are successfully carrying out site-based activities and advancing our drilling program. Finally, we continue to coordinate with federal, state and local officials, our suppliers, health providers, and other mining companies to share best practices, provide assistance and support to local communities, and ensure we are doing everything possible to mitigate the risks and potential impact of this global health crisis.”
Mr. Krebs continued, “Our first quarter consolidated financial results were in-line with our expectations, led again by strong performance from Palmarejo. We made solid progress on several key 2020 priorities, including (i) advancing our efforts to further expand and reposition Rochester as a long-life asset generating strong, consistent cash flow, (ii) increasing our investment in exploration to drive further reserve and resource growth throughout the Company, and (iii) evaluating a potential expansion of Silvertip. Additionally, we have taken proactive steps to maximize our financial flexibility during this period of unprecedented volatility and uncertainty. We look forward to delivering on our key objectives during the remainder of the year in a constructive gold price environment and to navigating the near-term uncertainty related to COVID-19. We remain enthusiastic about the opportunities we are pursuing to deliver high-return growth over the coming years for our stockholders,” concluded Mr. Krebs.
Financial and Operating Highlights (Unaudited) |
||||||||||||||||||||
(Amounts in millions, except per share amounts, gold ounces produced & sold, and per-ounce/pound metrics) |
1Q 2020 |
4Q 2019 |
3Q 2019 |
2Q 2019 |
1Q 2019 |
|||||||||||||||
Gold Sales |
$ |
127.6 |
|
$ |
134.3 |
|
$ |
141.9 |
|
$ |
110.3 |
|
$ |
106.8 |
|
|||||
Silver Sales |
$ |
44.9 |
|
$ |
54.8 |
|
$ |
51.6 |
|
$ |
45.0 |
|
$ |
40.1 |
|
|||||
Zinc Sales |
$ |
(0.7 |
) |
$ |
2.6 |
|
$ |
2.0 |
|
$ |
2.6 |
|
$ |
5.6 |
|
|||||
Lead Sales |
$ |
1.3 |
|
$ |
3.3 |
|
$ |
4.0 |
|
$ |
4.2 |
|
$ |
2.4 |
|
|||||
Consolidated Revenue |
$ |
173.2 |
|
$ |
195.0 |
|
$ |
199.5 |
|
$ |
162.1 |
|
$ |
154.9 |
|
|||||
Costs Applicable to Sales2 |
$ |
118.9 |
|
$ |
146.6 |
|
$ |
141.0 |
|
$ |
131.9 |
|
$ |
131.7 |
|
|||||
General and Administrative Expenses |
$ |
8.9 |
|
$ |
7.6 |
|
$ |
9.6 |
|
$ |
7.8 |
|
$ |
9.5 |
|
|||||
Net Income (Loss) |
$ |
(11.9 |
) |
$ |
(270.9 |
) |
$ |
(14.3 |
) |
$ |
(36.8 |
) |
$ |
(24.9 |
) |
|||||
Net Income (Loss) Per Share |
$ |
(0.05 |
) |
$ |
(1.13 |
) |
$ |
(0.06 |
) |
$ |
(0.18 |
) |
$ |
(0.12 |
) |
|||||
Adjusted Net Income (Loss)1 |
$ |
(0.8 |
) |
$ |
(3.3 |
) |
$ |
(5.3 |
) |
$ |
(23.0 |
) |
$ |
(23.0 |
) |
|||||
Adjusted Net Income (Loss)1 Per Share |
$ |
0.00 |
|
$ |
(0.01 |
) |
$ |
(0.02 |
) |
$ |
(0.11 |
) |
$ |
(0.11 |
) |
|||||
Weighted Average Shares Outstanding |
240.3 |
|
238.7 |
|
225.9 |
|
207.8 |
|
202.4 |
|
||||||||||
EBITDA1 |
$ |
25.5 |
|
$ |
(214.5 |
) |
$ |
37.6 |
|
$ |
7.7 |
|
$ |
14.8 |
|
|||||
Adjusted EBITDA1 |
$ |
46.6 |
|
$ |
59.8 |
|
$ |
61.0 |
|
$ |
30.6 |
|
$ |
26.1 |
|
|||||
Cash Flow from Operating Activities |
$ |
(8.0 |
) |
$ |
39.3 |
|
$ |
42.0 |
|
$ |
26.4 |
|
$ |
(15.8 |
) |
|||||
Capital Expenditures |
$ |
22.2 |
|
$ |
21.0 |
|
$ |
30.7 |
|
$ |
20.7 |
|
$ |
27.4 |
|
|||||
Free Cash Flow1 |
$ |
(30.2 |
) |
$ |
18.4 |
|
$ |
11.3 |
|
$ |
5.7 |
|
$ |
(43.3 |
) |
|||||
Cash, Equivalents & Short-Term Investments |
$ |
52.9 |
|
$ |
55.6 |
|
$ |
65.3 |
|
$ |
37.9 |
|
$ |
69.0 |
|
|||||
Total Debt3 |
$ |
343.1 |
|
$ |
295.5 |
|
$ |
298.7 |
|
$ |
370.0 |
|
$ |
456.8 |
|
|||||
Average Realized Price Per Ounce – Gold |
$ |
1,490 |
|
$ |
1,407 |
|
$ |
1,413 |
|
$ |
1,277 |
|
$ |
1,251 |
|
|||||
Average Realized Price Per Ounce – Silver |
$ |
16.63 |
|
$ |
16.99 |
|
$ |
17.17 |
|
$ |
14.75 |
|
$ |
15.22 |
|
|||||
Average Realized Price Per Pound – Zinc |
$ |
(0.21 |
) |
$ |
0.62 |
|
$ |
0.50 |
|
$ |
0.49 |
|
$ |
1.19 |
|
|||||
Average Realized Price Per Pound – Lead |
$ |
0.54 |
|
$ |
0.78 |
|
$ |
0.92 |
|
$ |
0.82 |
|
$ |
0.86 |
|
|||||
Gold Ounces Produced |
85,077 |
|
94,716 |
|
99,782 |
|
86,584 |
|
78,336 |
|
||||||||||
Silver Ounces Produced |
2.7 |
|
3.1 |
|
3.0 |
|
3.1 |
|
2.5 |
|
||||||||||
Zinc Pounds Produced |
2.5 |
|
3.9 |
|
4.2 |
|
5.3 |
|
3.7 |
|
||||||||||
Lead Pounds Produced |
2.2 |
|
4.0 |
|
4.5 |
|
5.0 |
|
3.1 |
|
||||||||||
Gold Ounces Sold |
85,635 |
|
95,532 |
|
100,407 |
|
86,385 |
|
85,326 |
|
||||||||||
Silver Ounces Sold |
2.7 |
|
3.3 |
|
3.0 |
|
3.0 |
|
2.6 |
|
||||||||||
Zinc Pounds Sold |
3.2 |
|
4.1 |
|
4.1 |
|
5.3 |
|
4.7 |
|
||||||||||
Lead Pounds Sold |
2.5 |
|
4.3 |
|
4.3 |
|
5.2 |
|
2.7 |
|
Financial Results
First quarter 2020 revenue totaled $173.2 million compared to $195.0 million in the prior period and $154.9 million in the first quarter of 2019. During the first quarter, the Company produced 85,077 ounces of gold, 2.7 million ounces of silver, 2.5 million pounds of zinc and 2.2 million pounds of lead. Metal sales for the quarter totaled 85,635 ounces of gold, 2.7 million ounces of silver, 3.2 million pounds of zinc and 2.5 million pounds of lead.
Average realized gold and silver prices for the quarter were $1,490 and $16.63 per ounce, respectively, or 6% higher and 2% lower quarter-over-quarter. Average realized zinc and lead prices, net of treatment and refining charges and including the impact of provisional price and quantity adjustments, for the quarter were $(0.21) and $0.54 per pound, respectively, compared to $0.62 and $0.78 per pound in the prior quarter. The significant decrease in base metals prices, combined with the finalization of the annual zinc and lead benchmark treatment charges at $299.75 and $182.50 per tonne, respectively, further validated the Company’s decision to temporarily suspend active mining and processing activities at Silvertip in mid-February.
Gold and silver sales accounted for 74% and 26% of first quarter revenue, respectively, while combined zinc and lead sales were minimal. The Company’s U.S. operations accounted for approximately 56% of first quarter revenue, down modestly from approximately 59% in the prior period.
Costs applicable to sales of $118.9 million were 19% lower quarter-over-quarter, reflecting the suspension of mining and processing activities at Silvertip as well as lower production from Rochester and Wharf. First quarter general and administrative expenses totaled $8.9 million compared to $7.6 million in the prior period, primarily driven by higher employee-related expenses.
First quarter exploration expense was $6.4 million, or 11% lower quarter-over-quarter. The Company focused on infill and expansion drilling at Palmarejo and Sterling as well as expansion drilling at Kensington, Silvertip and the Crown Block. See the “Operations” section and page 16 for additional details on the Company’s exploration activities.
Coeur recorded an income tax benefit of $3.9 million during the first quarter. Cash income and mining taxes paid during the quarter totaled approximately $10.9 million, including the annual payment of the Mexican Mining Royalty Tax of $4.6 million.
Quarterly operating cash flow totaled $(8.0) million, reflecting lower operating cash flow across most of the Company’s operations and unfavorable changes in working capital during the period. Cash flow prior to changes in working capital totaled $30.1 million. Operating cash flow in the first quarter was impacted by Silvertip, including (i) cash outflow of approximately $10.4 million related to an inventory adjustment prior to the suspension of active mining and processing activities in mid-February and (ii) $6.3 million of costs associated with the ramp down, including $3.7 million in one-time costs primarily related to employee severance and contractual obligations. The Company now expects ongoing carrying costs during the suspension to total approximately $4.5 million per quarter, down from its original estimate of approximately $6.0 million per quarter.
Additionally, first quarter operating cash flow includes approximately $7.0 million of cash outflow associated with the Company’s prepayment agreement at Kensington. Coeur expects the remaining $8.0 million cash outflow under the arrangement will occur in the second quarter.
First quarter capital expenditures remained relatively consistent with the prior period, totaling $22.2 million. Sustaining and development capital expenditures accounted for approximately 77% and 23%, respectively, of the Company’s capital expenditures during the quarter.
COVID-19 Update
Coeur established a special advisory committee to evaluate ongoing concerns, risks and challenges with respect to COVID-19 across its operations and corporate headquarters in early March 2020. The primary goals of the committee include (i) protecting the health, safety and well-being of Coeur’s workforce and communities, and (ii) ensuring the continuity of business operations. The committee meets regularly via video conference and has elevated its level of communications by proactively engaging with various stakeholders, including regulators, government officials, community partners and healthcare providers, among others.
The current status of each of the Company’s operations is highlighted below:
Operation |
Location |
Status |
Commentary |
|||
Palmarejo |
Chihuahua, Mexico |
Temporarily suspended |
Precious metals mining not considered essential as part of decree issued by the Federal Government of Mexico on March 31, 2020 |
|||
Rochester |
Nevada, United States |
Operating |
Mining considered essential as part of State of Nevada regulations issued on March 20, 2020 |
|||
Kensington |
Alaska, United States |
Operating |
Mining considered essential as part of State of Alaska declaration on March 27, 2020 |
|||
Wharf |
South Dakota, United States |
Operating |
State of South Dakota issued a public order mandating the closure of all public-facing businesses, which does not include Wharf, on March 23, 2020 |
|||
Silvertip |
British Columbia, Canada |
Temporarily suspended |
Previously announced temporary suspension of mining and processing activities (unrelated to COVID-19). No actions required at this time to comply with restrictions issued by the Government of British Columbia |
Each of the Company’s operations has developed site-specific screening, education and modifications to work procedures to limit and identify COVID-19 exposure and transmission. Operational readiness is routinely being assessed as the situation continues to evolve and each site has scenario plans in place, should the need arise. Coeur is following guidance from the U.S. Centers for Disease Control and Prevention, Mexican and Canadian public health officials, World Health Organization as well as federal, state and local authorities to safeguard the health, safety and well-being of its employees, contractors and communities, and minimize business interruption.
Key initiatives that the Company has undertaken include:
Coeur has also evaluated its supply chain and metal sales risks at each operation and remains in close contact with critical vendors, customers and transportation providers, establishing back-up arrangements to mitigate the impact of any disruptions related to COVID-19. The Company has not experienced any material disruptions and has incurred minimal additional operating costs to date.
Liquidity Update
A key element of the Company’s strategy is prudent balance sheet management. At March 31, 2020, Coeur had $252.9 million of total liquidity, including $52.9 million of cash and cash equivalents and $200.0 million of availability under its RCF that is scheduled to mature in October 2022. The Company has completed various scenario planning analyses to consider potential impacts of COVID-19 on its business, including volatility in commodity prices, temporary disruptions and/or curtailments of operating activities (voluntary or involuntary).
To provide additional flexibility to respond to potential downside scenarios, Coeur drew an additional $100.0 million from its RCF shortly after the end of the first quarter as a precautionary measure. As of April 22, 2020, the Company had approximately $150.0 million drawn under its RCF. Additionally, as Coeur seeks to proactively maximize its financial flexibility during these unprecedented levels of volatility and uncertainty, the Company intends to take the prudent step of re-establishing an at-the-market equity facility.
Hedging Update
Building on the gold hedging program that commenced in 2019, Coeur continued to execute additional series of ZCC hedges on a portion of its gold production. The ZCC structure allows for downside protection against potential decreases in the price of gold, while enabling participation in the potential upside to a specified ceiling price. An overview of the hedges currently implemented is outlined below:
During the quarter, the Coeur also implemented a series of foreign currency hedges to further enhance its downside protection. The Company has secured rate protection on approximately 50% of its Mexican peso- and Canadian dollar-denominated expenses for 2020 at average rates of roughly 24.09 and 1.44, respectively, and approximately 50% of its Mexican peso-denominated expenses for 2021 at an average rate of roughly 24.99.
Rochester Expansion
With the receipt of the Record of Decision in March 2020, the Company received the key regulatory approval to begin advancing its work on POA 11 at Rochester. The expansion project contemplates the construction of a new leach pad, a new crushing facility equipped with a second high-pressure grinding roll unit and a new Merrill-Crowe process plant as well as additional infrastructure to support the extension of Rochester’s mine life.
The Company is nearing completion of its internal studies to support the expansion with the assistance of SNC-Lavalin who has been selected to provide engineering, procurement and overall project management services. Coeur intends to complete its internal review of the business case supporting the expansion during the second quarter of 2020.
The Company intends to file an updated technical report in accordance with Canadian National Instrument 43-101 in late 2020 further outlining the expansion, including an updated mine plan and proposed capital estimate as well as additional operational and financial information regarding the expected impacts of high-pressure grinding roll technology.
Operations
First quarter 2020 highlights for each of the Company’s operations are provided below.
Palmarejo, Mexico
(Dollars in millions, except per ounce amounts) |
1Q 2020 |
4Q 2019 |
3Q 2019 |
2Q 2019 |
1Q 2019 |
|||||
Tons milled |
479,562 |
|
486,779 |
|
442,464 |
|
447,727 |
|
378,987 |
|
Average gold grade (oz/t) |
0.07 |
|
0.07 |
|
0.09 |
|
0.07 |
|
0.07 |
|
Average silver grade (oz/t) |
4.69 |
|
5.11 |
|
4.88 |
|
4.74 |
|
4.64 |
|
Average recovery rate – Au |
91.6% |
|
84.9% |
|
81.7% |
|
87.7% |
|
83.4% |
|
Average recovery rate – Ag |
81.5% |
|
81.7% |
|
79.6% |
|
81.8% |
|
72.8% |
|
Gold ounces produced |
31,578 |
|
28,702 |
|
31,779 |
|
28,246 |
|
23,205 |
|
Silver ounces produced (000’s) |
1,835 |
|
2,029 |
|
1,720 |
|
1,735 |
|
1,278 |
|
Gold ounces sold |
31,287 |
|
27,952 |
|
32,731 |
|
28,027 |
|
27,394 |
|
Silver ounces sold (000’s) |
1,895 |
|
1,980 |
|
1,747 |
|
1,709 |
|
1,405 |
|
Average realized price per gold ounce |
$1,331 |
|
$1,238 |
|
$1,269 |
|
$1,210 |
|
$1,154 |
|
Average realized price per silver ounce |
$17.25 |
|
$17.28 |
|
$17.05 |
|
$14.86 |
|
$15.39 |
|
Metal sales |
$74.3 |
|
$68.9 |
|
$71.3 |
|
$59.3 |
|
$53.2 |
|
Costs applicable to sales2 |
$36.0 |
|
$34.8 |
|
$37.4 |
|
$36.5 |
|
$33.2 |
|
Adjusted CAS per AuOz1 |
$645 |
|
$622 |
|
$660 |
|
$741 |
|
$713 |
|
Adjusted CAS per AgOz1 |
$8.37 |
|
$8.79 |
|
$8.95 |
|
$9.17 |
|
$9.66 |
|
Exploration expense |
$1.5 |
|
$2.0 |
|
$1.6 |
|
$1.1 |
|
$1.0 |
|
Cash flow from operating activities |
$28.9 |
|
$41.4 |
|
$36.3 |
|
$15.6 |
|
$5.9 |
|
Sustaining capital expenditures (excludes capital lease payments) |
$7.1 |
|
$6.2 |
|
$4.7 |
|
$5.0 |
|
$6.0 |
|
Development capital expenditures |
$— |
|
$2.4 |
|
$3.1 |
|
$2.6 |
|
$2.7 |
|
Total capital expenditures |
$7.1 |
|
$8.6 |
|
$7.8 |
|
$7.6 |
|
$8.7 |
|
Free cash flow1 |
$21.8 |
|
$32.8 |
|
$28.5 |
|
$8.0 |
|
$(2.8) |
Operational
Financial
Exploration
Other
Rochester, Nevada
(Dollars in millions, except per ounce amounts) |
1Q 2020 |
4Q 2019 |
3Q 2019 |
2Q 2019 |
1Q 2019 |
|||||
Ore tons placed |
3,428,578 |
|
2,612,319 |
|
2,516,353 |
|
2,786,287 |
|
2,667,559 |
|
Average silver grade (oz/t) |
0.57 |
|
0.47 |
|
0.43 |
|
0.45 |
|
0.46 |
|
Average gold grade (oz/t) |
0.002 |
|
0.003 |
|
0.004 |
|
0.003 |
|
0.003 |
|
Silver ounces produced (000’s) |
687 |
|
848 |
|
982 |
|
971 |
|
960 |
|
Gold ounces produced |
5,936 |
|
10,634 |
|
7,901 |
|
8,609 |
|
8,256 |
|
Silver ounces sold (000’s) |
632 |
|
932 |
|
951 |
|
962 |
|
1,000 |
|
Gold ounces sold |
5,473 |
|
11,248 |
|
7,651 |
|
8,642 |
|
8,511 |
|
Average realized price per silver ounce |
$16.99 |
|
$17.22 |
|
$17.02 |
|
$14.83 |
|
$15.31 |
|
Average realized price per gold ounce |
$1,583 |
|
$1,484 |
|
$1,476 |
|
$1,295 |
|
$1,299 |
|
Metal sales |
$19.4 |
|
$32.6 |
|
$27.5 |
|
$25.5 |
|
$26.4 |
|
Costs applicable to sales2 |
$17.0 |
|
$25.3 |
|
$27.7 |
|
$24.7 |
|
$22.5 |
|
Adjusted CAS per AgOz1 |
$14.38 |
|
$13.25 |
|
$14.24 |
|
$13.19 |
|
$12.83 |
|
Adjusted CAS per AuOz1 |
$1,359 |
|
$1,142 |
|
$1,230 |
|
$1,153 |
|
$1,092 |
|
Exploration expense |
$0.2 |
|
$0.4 |
|
$0.1 |
|
$0.1 |
|
$0.1 |
|
Cash flow from operating activities |
$(9.3) |
|
$6.9 |
|
$8.3 |
|
$1.6 |
|
$(1.0) |
|
Sustaining capital expenditures (excludes capital lease payments) |
$0.1 |
|
$0.9 |
|
$(1.0) |
|
$0.4 |
|
$1.8 |
|
Development capital expenditures |
$5.0 |
|
$4.1 |
|
$11.2 |
|
$2.4 |
|
$2.8 |
|
Total capital expenditures |
$5.1 |
|
$5.0 |
|
$10.2 |
|
$2.8 |
|
$4.6 |
|
Free cash flow1 |
$(14.4) |
|
$1.9 |
|
$(1.9) |
|
$(1.2) |
|
$(5.6) |
Operational
Financial
Exploration
Other
Kensington, Alaska
(Dollars in millions, except per ounce amounts) |
1Q 2020 |
4Q 2019 |
3Q 2019 |
2Q 2019 |
1Q 2019 |
|||||
Tons milled |
162,341 |
|
167,061 |
|
166,475 |
|
160,510 |
|
164,332 |
|
Average gold grade (oz/t) |
0.21 |
|
0.20 |
|
0.22 |
|
0.23 |
|
0.20 |
|
Average recovery rate |
93.5% |
|
87.2% |
|
93.2% |
|
93.0% |
|
90.2% |
|
Gold ounces produced |
32,022 |
|
29,736 |
|
34,156 |
|
34,049 |
|
29,973 |
|
Gold ounces sold |
32,781 |
|
29,293 |
|
35,452 |
|
34,415 |
|
31,335 |
|
Average realized price per gold ounce, gross |
$1,603 |
|
$1,493 |
|
$1,505 |
|
$1,332 |
|
$1,301 |
|
Treatment and refining charges per gold ounce |
$27 |
|
$24 |
|
$20 |
|
$20 |
|
$15 |
|
Average realized price per gold ounce, net |
$1,576 |
|
$1,469 |
|
$1,485 |
|
$1,312 |
|
$1,286 |
|
Metal sales |
$51.7 |
|
$43.0 |
|
$52.6 |
|
$45.2 |
|
$40.3 |
|
Costs applicable to sales2 |
$30.5 |
|
$28.8 |
|
$29.5 |
|
$29.1 |
|
$32.2 |
|
Adjusted CAS per AuOz1 |
$928 |
|
$976 |
|
$822 |
|
$842 |
|
$990 |
|
Prepayment, working capital cash flow |
$(7.0) |
|
$4.7 |
|
$(14.7) |
|
$25.0 |
|
$— |
|
Exploration expense |
$1.8 |
|
$1.6 |
|
$1.5 |
|
$2.0 |
|
$0.5 |
|
Cash flow from operating activities |
$11.9 |
|
$19.9 |
|
$4.5 |
|
$41.4 |
|
$6.2 |
|
Sustaining capital expenditures (excludes capital lease payments) |
$4.8 |
|
$4.3 |
|
$4.9 |
|
$4.9 |
|
$9.4 |
|
Development capital expenditures |
$— |
|
$— |
|
$— |
|
$— |
|
$— |
|
Total capital expenditures |
$4.8 |
|
$4.3 |
|
$4.9 |
|
$4.9 |
|
$9.4 |
|
Free cash flow1 |
$7.1 |
|
$15.6 |
|
$(0.4) |
|
$36.5 |
|
$(3.2) |
Operational
Financial
Exploration
Other
Wharf, South Dakota
(Dollars in millions, except per ounce amounts) |
1Q 2020 |
4Q 2019 |
3Q 2019 |
2Q 2019 |
1Q 2019 |
|||||
Ore tons placed |
946,449 |
|
1,100,393 |
|
1,503,021 |
|
919,435 |
|
1,090,510 |
|
Average gold grade (oz/t) |
0.025 |
|
0.023 |
|
0.027 |
|
0.023 |
|
0.020 |
|
Gold ounces produced |
15,541 |
|
25,644 |
|
25,946 |
|
15,680 |
|
16,902 |
|
Silver ounces produced (000’s) |
15 |
|
20 |
|
18 |
|
12 |
|
13 |
|
Gold ounces sold |
16,094 |
|
27,039 |
|
24,573 |
|
15,301 |
|
18,086 |
|
Silver ounces sold (000’s) |
15 |
|
21 |
|
17 |
|
12 |
|
14 |
|
Average realized price per gold ounce |
$1,592 |
|
$1,482 |
|
$1,481 |
|
$1,311 |
|
$1,317 |
|
Metal sales |
$25.9 |
|
$40.5 |
|
$36.7 |
|
$20.2 |
|
$24.0 |
|
Costs applicable to sales2 |
$17.8 |
|
$25.7 |
|
$22.1 |
|
$15.5 |
|
$17.4 |
|
Adjusted CAS per AuOz1 |
$1,090 |
|
$802 |
|
$887 |
|
$1,002 |
|
$949 |
|
Exploration expense |
$— |
|
$0.2 |
|
$0.1 |
|
$— |
|
$— |
|
Cash flow from operating activities |
$2.6 |
|
$17.0 |
|
$17.6 |
|
$0.5 |
|
$4.2 |
|
Sustaining capital expenditures (excludes capital lease payments) |
$0.4 |
|
$0.8 |
|
$0.8 |
|
$0.2 |
|
$0.4 |
|
Development capital expenditures |
$— |
|
$— |
|
$— |
|
$— |
|
$— |
|
Total capital expenditures |
$0.4 |
|
$0.8 |
|
$0.8 |
|
$0.2 |
|
$0.4 |
|
Free cash flow1 |
$2.2 |
|
$16.2 |
|
$16.8 |
|
$0.3 |
|
$3.8 |
Operational
Financial
Exploration
Other
Silvertip, British Columbia
(Dollars in millions, except per ounce and per pound amounts) |
1Q 2020 |
4Q 2019 |
3Q 2019 |
2Q 2019 |
1Q 2019 |
|||||
Tons milled |
29,240 |
|
61,662 |
|
53,145 |
|
59,689 |
|
62,051 |
|
Average silver grade (oz/t) |
7.03 |
|
6.97 |
|
7.54 |
|
7.48 |
|
5.50 |
|
Average zinc grade (%) |
7.1% |
|
7.5% |
|
7.6% |
|
7.5% |
|
5.9% |
|
Average lead grade (%) |
5.2% |
|
4.9% |
|
5.4% |
|
5.4% |
|
3.7% |
|
Average recovery rate – Ag |
67.7% |
|
65.1% |
|
74.8% |
|
77.0% |
|
69.9% |
|
Average recovery rate – Zn |
59.3% |
|
42.0% |
|
51.7% |
|
59.1% |
|
50.5% |
|
Average recovery rate – Pb |
71.2% |
|
66.4% |
|
78.4% |
|
77.3% |
|
66.8% |
|
Silver ounces produced (000's) |
139 |
|
279 |
|
300 |
|
344 |
|
239 |
|
Zinc pounds produced (000's) |
2,460 |
|
3,865 |
|
4,197 |
|
5,322 |
|
3,719 |
|
Lead pounds produced (000's) |
2,177 |
|
4,021 |
|
4,478 |
|
4,980 |
|
3,077 |
|
Silver ounces sold (000's) |
159 |
|
294 |
|
290 |
|
365 |
|
215 |
|
Zinc pounds sold (000's) |
3,203 |
|
4,053 |
|
4,076 |
|
5,303 |
|
4,723 |
|
Lead pounds sold (000's) |
2,453 |
|
4,223 |
|
4,331 |
|
5,186 |
|
2,748 |
|
Average realized price per silver ounce, gross |
$10.10 |
|
$16.61 |
|
$19.94 |
|
$15.18 |
|
$14.98 |
|
Treatment and refining charges per silver ounce |
$2.36 |
|
$2.34 |
|
$1.63 |
|
$1.18 |
|
$1.24 |
|
Average realized price per silver ounce, net |
$7.74 |
|
$14.27 |
|
$18.31 |
|
$14.00 |
|
$13.74 |
|
Average realized price per zinc pound, gross |
$0.15 |
|
$1.04 |
|
$0.86 |
|
$0.83 |
|
$1.50 |
|
Treatment and refining charges per zinc pound |
$0.36 |
|
$0.42 |
|
$0.36 |
|
$0.34 |
|
$0.31 |
|
Average realized price per zinc pound, net |
$(0.21) |
|
$0.62 |
|
$0.50 |
|
$0.49 |
|
$1.19 |
|
Average realized price per lead pound, gross |
$0.65 |
|
$0.89 |
|
$0.98 |
|
$0.87 |
|
$0.92 |
|
Treatment and refining charges per lead pound |
$0.11 |
|
$0.11 |
|
$0.06 |
|
$0.05 |
|
$0.06 |
|
Average realized price per lead pound, net |
$0.54 |
|
$0.78 |
|
$0.92 |
|
$0.82 |
|
$0.86 |
|
Metal sales |
$1.9 |
|
$10.2 |
|
$11.3 |
|
$11.9 |
|
$10.9 |
|
Costs applicable to sales2 |
$17.7 |
|
$32.0 |
|
$24.2 |
|
$26.2 |
|
$26.4 |
|
Adjusted CAS per AgOz1 |
$11.79 |
|
$11.22 |
|
$14.14 |
|
$13.31 |
|
$13.73 |
|
Adjusted CAS per ZnLb1 |
$1.12 |
|
$0.69 |
|
$0.75 |
|
$1.02 |
|
$1.18 |
|
Adjusted CAS per PbLb1 |
$0.74 |
|
$0.62 |
|
$0.71 |
|
$0.77 |
|
$0.88 |
|
Exploration expense |
$0.3 |
|
$0.9 |
|
$0.8 |
|
$0.7 |
|
$0.1 |
|
Cash flow from operating activities |
$(27.1) |
|
$(28.6) |
|
$(15.3) |
|
$(11.6) |
|
$(13.9) |
|
Sustaining capital expenditures (excludes capital lease payments) |
$4.6 |
|
$2.0 |
|
$6.4 |
|
$5.0 |
|
$4.1 |
|
Development capital expenditures |
$— |
|
$— |
|
$— |
|
$— |
|
$— |
|
Total capital expenditures |
$4.6 |
|
$2.0 |
|
$6.4 |
|
$5.0 |
|
$4.1 |
|
Free cash flow1 |
$(31.7) |
|
$(30.6) |
|
$(21.7) |
|
$(16.6) |
|
$(18.0) |
Operational
Financial
Exploration
Other
Exploration
During the first quarter, the Company drilled 169,680 feet (51,719 meters) at a total investment of approximately $8.1 million ($6.4 million expensed and $1.7 million), compared to 142,385 feet (43,400 meters) at a total investment of roughly $9.1 million ($7.2 million expensed and $1.9 million capitalized) in the fourth quarter of 2019. Total feet drilled during the first quarter was approximately 19% higher compared to the prior period and 58% higher than the first quarter of 2019. The increase in drilling activity was due primarily to an accelerated ramp up in drill rigs at Palmarejo and the Sterling and Crown exploration properties in southern Nevada.
At Sterling and Crown, up to three reverse circulation rigs and a surface geology mapping program were active during the first quarter. A total of 48,090 feet (14,658 meters) were drilled during the quarter, compared to 35,610 feet (10,854 meters) in the prior period. One smaller, track-mounted rig focused on expansion drilling at the Secret Pass deposit, while a second, larger truck rig focused on testing the new C-Horst geophysical target, located approximately two miles north of the SNA deposit. Both the Secret Pass and SNA deposits are contained within the Crown Block.
At Sterling, a third rig continued drilling both infill and expansion holes in an effort to expand mineralization estimates by the end of the year. The drilling is specifically targeting higher-grade faults that controlled oxide gold mineralization in historical mining areas as well as shallow horizontal mineralized zones.
Both the infill and expansion drilling programs at Sterling and Crown are expected to continue throughout 2020. As part of the infill exploration, a core drilling program is scheduled to begin early in the second quarter with the objective of collecting core samples for density, metallurgy and engineering.
At the La Preciosa project located in Durango, Mexico, work on updating a scoping study progressed using the new geological and resource model. The scoping study is expected to be completed during the second quarter. Geological mapping, sampling and trenching continued during the quarter, while work commenced to independently audit the location of historic drillhole collars.
Financial Results and Conference Call
Coeur will host a conference call to discuss its first quarter 2020 financial results on April 23, 2020 at 11:00 a.m. Eastern Time.
Dial-In Numbers: |
|
(855) 560-2581 (U.S.) |
|||
|
|
(855) 669-9657 (Canada) |
|||
|
|
(412) 542-4166 (International) |
|||
Conference ID: |
|
Coeur Mining |
Hosting the call will be Mitchell J. Krebs, President and Chief Executive Officer of Coeur, who will be joined by Thomas S. Whelan, Senior Vice President and Chief Financial Officer, Terry F. D. Smith, Senior Vice President of Operations, Hans J. Rasmussen, Senior Vice President of Exploration, and other members of management. A replay of the call will be available through May 7, 2020.
Replay numbers: |
|
(877) 344-7529 (U.S.) |
|||
|
|
(855) 669-9658 (Canada) |
|||
|
|
(412) 317-0088 (International) |
|||
Conference ID: |
|
101 40 059 |
About Coeur
Coeur Mining, Inc. is a U.S.-based, well-diversified, growing precious metals producer with five wholly-owned operations: the Palmarejo gold-silver complex in Mexico, the Rochester silver-gold mine in Nevada, the Kensington gold mine in Alaska, the Wharf gold mine in South Dakota, and the Silvertip silver-zinc-lead mine in British Columbia. In addition, the Company has interests in several precious metals exploration projects throughout North America.
Cautionary Statements
This news release contains forward-looking statements within the meaning of securities legislation in the United States and Canada, including statements regarding exploration and development efforts and plans, the pre-feasibility study regarding an expansion of the mill at Silvertip, the impact of the new crushing circuit, expansion project and technical report preparation at Rochester, our hedging strategies, priorities, returns, growth, financial flexibility, crushing, anticipated production, COVID-19 mitigation efforts, strategic initiatives and operations at Palmarejo, Rochester, Wharf, Kensington and Silvertip. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause Coeur’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the risk that anticipated production levels are not attained, the risks and hazards inherent in the mining business (including risks inherent in developing large-scale mining projects, environmental hazards, industrial accidents, weather or geologically-related conditions), changes in the market prices of gold, silver, zinc and lead and a sustained lower price or higher treatment and refining charge environment, the uncertainties inherent in Coeur’s production, exploratory and developmental activities, including risks relating to permitting and regulatory delays (including the impact of government shutdowns), ground conditions and, grade variability, any future labor disputes or work stoppages (involving the Company and its subsidiaries or third parties), the uncertainties inherent in the estimation of mineral reserves, changes that could result from Coeur’s future acquisition of new mining properties or businesses, the loss of access or insolvency of any third-party refiner or smelter to which Coeur markets its production, the potential effects of the COVID-19 pandemic, including impacts to the availability of our workforce, continued access to financing sources, government orders that may require temporary suspension of operations at one or more of our sites and effects on our suppliers or the refiners and smelters to whom the Company markets its production, the effects of environmental and other governmental regulations and government shut-downs, the risks inherent in the ownership or operation of or investment in mining properties or businesses in foreign countries, Coeur’s ability to raise additional financing necessary to conduct its business, make payments or refinance its debt, as well as other uncertainties and risk factors set out in filings made from time to time with the United States Securities and Exchange Commission, and the Canadian securities regulators, including, without limitation, Coeur’s most recent reports on Form 10-K and Form 10-Q. Actual results, developments and timetables could vary significantly from the estimates presented. Readers are cautioned not to put undue reliance on forward-looking statements. Coeur disclaims any intent or obligation to update publicly such forward-looking statements, whether as a result of new information, future events or otherwise. Additionally, Coeur undertakes no obligation to comment on analyses, expectations or statements made by third parties in respect of Coeur, its financial or operating results or its securities. This does not constitute an offer of any securities for sale.
Christopher Pascoe, Coeur’s Director, Technical Services and a qualified person under Canadian National Instrument 43-101, approved the scientific and technical information concerning Coeur’s mineral projects in this news release. For a description of the key assumptions, parameters and methods used to estimate mineral reserves and resources, as well as data verification procedures and a general discussion of the extent to which the estimates may be affected by any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant factors, Canadian investors should refer to the Technical Reports for each of Coeur’s properties as filed on SEDAR at www.sedar.com.
Non-U.S. GAAP Measures
We supplement the reporting of our financial information determined under United States generally accepted accounting principles (U.S. GAAP) with certain non-U.S. GAAP financial measures, including EBITDA, adjusted EBITDA, adjusted EBITDA margin, free cash flow, adjusted net income (loss) and adjusted costs applicable to sales per ounce (gold and silver) or pound (zinc or lead). We believe that these adjusted measures provide meaningful information to assist management, investors and analysts in understanding our financial results and assessing our prospects for future performance. We believe these adjusted financial measures are important indicators of our recurring operations because they exclude items that may not be indicative of, or are unrelated to our core operating results, and provide a better baseline for analyzing trends in our underlying businesses. We believe EBITDA, adjusted EBITDA, adjusted EBITDA margin, free cash flow, adjusted net income (loss) and adjusted costs applicable to sales per ounce (gold and silver) and pound (zinc and lead) are important measures in assessing the Company’s overall financial performance. For additional explanation regarding our use of non-U.S. GAAP financial measures, please refer to our Form 10-K for the year ended December 31, 2019 and our Form 10-Q for the quarter ended March 31, 2020.
Notes
Average Spot Prices |
||||||||||||||||||||
|
1Q 2020 |
4Q 2019 |
3Q 2019 |
2Q 2019 |
1Q 2019 |
|||||||||||||||
Average Gold Spot Price Per Ounce |
$ |
1,583 |
|
$ |
1,481 |
|
$ |
1,472 |
|
$ |
1,309 |
|
$ |
1,304 |
|
|||||
Average Silver Spot Price Per Ounce |
$ |
16.90 |
|
$ |
17.32 |
|
$ |
16.98 |
|
$ |
14.88 |
|
$ |
15.57 |
|
|||||
Average Zinc Spot Price Per Pound |
$ |
0.96 |
|
$ |
1.08 |
|
$ |
1.07 |
|
$ |
1.25 |
|
$ |
1.23 |
|
|||||
Average Lead Spot Price Per Pound |
$ |
0.84 |
|
$ |
0.93 |
|
$ |
0.92 |
|
$ |
0.85 |
|
$ |
0.92 |
|
CONDENSED COEUR MINING, INC. AND SUBSIDIARIES |
||||||||
CONSOLIDATED BALANCE SHEETS (UNAUDITED) |
||||||||
|
March 31, 2019 |
|
December 31, 2019 |
|||||
ASSETS |
In thousands, except share data |
|||||||
CURRENT ASSETS |
|
|
|
|||||
Cash and cash equivalents |
$ |
52,895 |
|
|
$ |
55,645 |
|
|
Receivables |
19,722 |
|
|
18,666 |
|
|||
Inventory |
51,857 |
|
|
55,886 |
|
|||
Ore on leach pads |
83,035 |
|
|
66,192 |
|
|||
Prepaid expenses and other |
14,150 |
|
|
14,047 |
|
|||
|
221,659 |
|
|
210,436 |
|
|||
NON-CURRENT ASSETS |
|
|
|
|||||
Property, plant and equipment, net |
242,018 |
|
|
248,789 |
|
|||
Mining properties, net |
702,960 |
|
|
711,955 |
|
|||
Ore on leach pads |
66,703 |
|
|
71,539 |
|
|||
Restricted assets |
8,123 |
|
|
8,752 |
|
|||
Equity and debt securities |
26,826 |
|
|
35,646 |
|
|||
Receivables |
23,149 |
|
|
28,709 |
|
|||
Other |
57,659 |
|
|
62,810 |
|
|||
TOTAL ASSETS |
$ |
1,349,097 |
|
|
$ |
1,378,636 |
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|||||
CURRENT LIABILITIES |
|
|
|
|||||
Accounts payable |
$ |
61,519 |
|
|
$ |
69,176 |
|
|
Accrued liabilities and other |
49,935 |
|
|
95,616 |
|
|||
Debt |
23,588 |
|
|
22,746 |
|
|||
Reclamation |
3,094 |
|
|
3,114 |
|
|||
|
138,136 |
|
|
190,652 |
|
|||
NON-CURRENT LIABILITIES |
|
|
|
|||||
Debt |
319,521 |
|
|
272,751 |
|
|||
Reclamation |
135,436 |
|
|
133,417 |
|
|||
Deferred tax liabilities |
36,472 |
|
|
41,976 |
|
|||
Other long-term liabilities |
58,888 |
|
|
72,836 |
|
|||
|
550,317 |
|
|
520,980 |
|
|||
COMMITMENTS AND CONTINGENCIES |
|
|
|
|||||
STOCKHOLDERS’ EQUITY |
|
|
|
|||||
Common stock, par value $0.01 per share; authorized 300,000,000 shares, 243,586,226 issued and outstanding at March 31, 2020 and 241,529,021 at December 31, 2019 |
2,436 |
|
|
2,415 |
|
|||
Additional paid-in capital |
3,603,785 |
|
|
3,598,472 |
|
|||
Accumulated other comprehensive income (loss) |
70 |
|
|
(136 |
) |
|||
Accumulated deficit |
(2,945,647 |
) |
|
(2,933,747 |
) |
|||
|
660,644 |
|
|
667,004 |
|
|||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY |
$ |
1,349,097 |
|
|
$ |
1,378,636 |
|
COEUR MINING, INC. AND SUBSIDIARIES |
||||||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (UNAUDITED) |
||||||||
|
|
Three Months Ended March 31, |
||||||
|
|
2020 |
|
2019 |
||||
|
|
In thousands, except share data |
||||||
Revenue |
$ |
173,167 |
|
|
$ |
154,870 |
|
|
COSTS AND EXPENSES |
|
|
|
|
||||
Costs applicable to sales(1) |
118,917 |
|
|
131,650 |
|
|||
Amortization |
|
36,162 |
|
|
41,876 |
|
||
General and administrative |
|
8,920 |
|
|
9,474 |
|
||
Exploration |
|
6,386 |
|
|
3,714 |
|
||
Pre-development, reclamation, and other |
|
6,555 |
|
|
4,434 |
|
||
Total costs and expenses |
|
176,940 |
|
|
191,148 |
|
||
OTHER INCOME (EXPENSE), NET |
|
|
|
|
||||
Fair value adjustments, net |
(8,819 |
) |
|
9,120 |
|
|||
Interest expense, net of capitalized interest |
(5,128 |
) |
|
(6,454 |
) |
|||
Other, net |
1,881 |
|
|
60 |
|
|||
Total other income (expense), net |
|
(12,066 |
) |
|
2,726 |
|
||
Income (loss) before income and mining taxes |
|
(15,839 |
) |
|
(33,552 |
) |
||
Income and mining tax (expense) benefit |
3,939 |
|
|
8,658 |
|
|||
Income (loss) from continuing operations |
|
$ |
(11,900 |
) |
|
$ |
(24,894 |
) |
Income (loss) from discontinued operations |
— |
|
|
5,693 |
|
|||
NET INCOME (LOSS) |
|
$ |
(11,900 |
) |
|
$ |
(19,201 |
) |
OTHER COMPREHENSIVE INCOME (LOSS), net of tax: |
|
|
|
|
||||
Unrealized gain (loss) on cash flow hedges, net of tax of $22 for the three months ended March 31, 2020 |
|
206 |
|
|
— |
|
||
Unrealized gain (loss) on debt and equity securities |
|
— |
|
|
59 |
|
||
Other comprehensive income (loss) |
|
206 |
|
|
59 |
|
||
COMPREHENSIVE INCOME (LOSS) |
|
$ |
(11,694 |
) |
|
$ |
(19,142 |
) |
|
|
|
|
|
||||
NET INCOME (LOSS) PER SHARE |
|
|
|
|||||
Basic income (loss) per share: |
|
|
|
|
||||
Net income (loss) from continuing operations |
|
$ |
(0.05 |
) |
|
$ |
(0.12 |
) |
Net income (loss) from discontinued operations |
|
0.00 |
|
|
0.03 |
|
||
Basic(2) |
|
$ |
(0.05 |
) |
|
$ |
(0.09 |
) |
Diluted income (loss) per share: |
|
|
|
|
||||
Net income (loss) from continuing operations |
|
$ |
(0.05 |
) |
|
$ |
(0.12 |
) |
Net income (loss) from discontinued operations |
|
0.00 |
|
|
0.03 |
|
||
Diluted(2) |
|
$ |
(0.05 |
) |
|
$ |
(0.09 |
) |
(1) |
Excludes amortization. |
|
(2) |
Due to rounding, the sum of net income per share from continuing operations and discontinued operations may not equal net income per share. |
.
COEUR MINING, INC. AND SUBSIDIARIES |
||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) |
||||||||
|
Three Months Ended March 31, |
|||||||
|
2020 |
|
2019 |
|||||
|
In thousands |
|||||||
CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
|
|||||
Net income (loss) |
$ |
(11,900 |
) |
|
$ |
(19,201 |
) |
|
(Income) loss from discontinued operations |
— |
|
|
(5,693 |
) |
|||
Adjustments: |
|
|
|
|||||
Amortization |
36,162 |
|
|
41,876 |
|
|||
Accretion |
2,847 |
|
|
2,943 |
|
|||
Deferred taxes |
(5,487 |
) |
|
(8,259 |
) |
|||
Fair value adjustments, net |
8,819 |
|
|
(9,120 |
) |
|||
Stock-based compensation |
2,013 |
|
|
2,223 |
|
|||
Gain on modification of right of use lease |
(4,051 |
) |
|
— |
|
|||
Write-downs |
10,381 |
|
|
15,447 |
|
|||
Deferred revenue recognition |
(7,548 |
) |
|
(445 |
) |
|||
Other |
(1,092 |
) |
|
1,695 |
|
|||
Changes in operating assets and liabilities: |
|
|
|
|||||
Receivables |
(813 |
) |
|
(9,735 |
) |
|||
Prepaid expenses and other current assets |
(346 |
) |
|
(2,684 |
) |
|||
Inventory and ore on leach pads |
(21,925 |
) |
|
(18,821 |
) |
|||
Accounts payable and accrued liabilities |
(15,051 |
) |
|
(6,072 |
) |
|||
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES OF CONTINUING OPERATIONS |
(7,991 |
) |
|
(15,846 |
) |
|||
CASH PROVIDED BY (USED IN )OPERATING ACTIVITIES OF DISCONTINUED OPERATIONS |
— |
|
|
— |
|
|||
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES |
(7,991 |
) |
|
(15,846 |
) |
|||
CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
|
|||||
Capital expenditures |
(22,208 |
) |
|
(27,438 |
) |
|||
Proceeds from the sale of assets |
4,506 |
|
|
847 |
|
|||
Proceeds from notes receivable |
— |
|
|
5,168 |
|
|||
Other |
(17 |
) |
|
1,741 |
|
|||
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES OF CONTINUING OPERATIONS |
(17,719 |
) |
|
(19,682 |
) |
|||
CASH USED IN INVESTING ACTIVITIES OF DISCONTINUED OPERATIONS |
— |
|
|
— |
|
|||
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES |
(17,719 |
) |
|
(19,682 |
) |
|||
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
|||||
Issuance of notes and bank borrowings, net of issuance costs |
50,000 |
|
|
15,000 |
|
|||
Payments on debt, finance leases, and associated costs |
(5,901 |
) |
|
(22,356 |
) |
|||
Silvertip contingent consideration |
(18,750 |
) |
|
— |
|
|||
Other |
(1,973 |
) |
|
(3,364 |
) |
|||
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES OF CONTINUING OPERATIONS |
23,376 |
|
|
(10,720 |
) |
|||
CASH USED IN FINANCING ACTIVITIES OF DISCONTINUED OPERATIONS |
— |
|
|
— |
|
|||
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES |
23,376 |
|
|
(10,720 |
) |
|||
Effect of exchange rate changes on cash and cash equivalents |
(626 |
) |
|
201 |
|
|||
INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH |
(2,960 |
) |
|
(46,047 |
) |
|||
Less net cash used in discontinued operations(1) |
— |
|
|
— |
|
|||
|
(2,960 |
) |
|
(46,047 |
) |
|||
Cash, cash equivalents and restricted cash at beginning of period |
57,018 |
|
|
118,069 |
|
|||
Cash, cash equivalents and restricted cash at end of period |
$ |
54,058 |
|
|
$ |
72,022 |
|
Adjusted EBITDA Reconciliation |
||||||||||||||||||||||||
(Dollars in thousands except per share amounts) |
LTM 1Q
|
|
1Q 2020 |
|
4Q 2019 |
|
3Q 2019 |
|
2Q 2019 |
|
1Q 2019 |
|||||||||||||
Net income (loss) |
$ |
(333,902 |
) |
|
$ |
(11,900 |
) |
|
$ |
(270,961 |
) |
|
$ |
(14,277 |
) |
|
$ |
(36,764 |
) |
|
$ |
(19,201 |
) |
|
(Income) loss from discontinued operations, net of tax |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(5,693 |
) |
|||||||
Interest expense, net of capitalized interest |
23,445 |
|
|
5,128 |
|
|
5,512 |
|
|
5,980 |
|
|
6,825 |
|
|
6,454 |
|
|||||||
Income tax provision (benefit) |
(6,410 |
) |
|
(3,939 |
) |
|
2,857 |
|
|
218 |
|
|
(5,546 |
) |
|
(8,658 |
) |
|||||||
Amortization |
173,162 |
|
|
36,162 |
|
|
48,118 |
|
|
45,678 |
|
|
43,204 |
|
|
41,876 |
|
|||||||
EBITDA |
(143,705 |
) |
|
25,451 |
|
|
(214,474 |
) |
|
37,599 |
|
|
7,719 |
|
|
14,778 |
|
|||||||
Fair value adjustments, net |
1,909 |
|
|
8,819 |
|
|
(7,829 |
) |
|
(4,377 |
) |
|
5,296 |
|
|
(9,120 |
) |
|||||||
Foreign exchange (gain) loss |
3,757 |
|
|
76 |
|
|
268 |
|
|
2,945 |
|
|
468 |
|
|
665 |
|
|||||||
Asset retirement obligation accretion |
12,058 |
|
|
2,847 |
|
|
3,124 |
|
|
3,080 |
|
|
3,007 |
|
|
2,943 |
|
|||||||
Inventory adjustments and write-downs |
5,747 |
|
|
476 |
|
|
363 |
|
|
5,371 |
|
|
2,193 |
|
|
1,623 |
|
|||||||
(Gain) loss on sale of assets and securities |
392 |
|
|
(374 |
) |
|
594 |
|
|
100 |
|
|
72 |
|
|
(52 |
) |
|||||||
Impairment of long-lived assets |
250,814 |
|
|
— |
|
|
250,814 |
|
|
— |
|
|
— |
|
|
— |
|
|||||||
Silvertip inventory write-down |
59,544 |
|
|
10,381 |
|
|
23,325 |
|
|
13,966 |
|
|
11,872 |
|
|
15,447 |
|
|||||||
Silvertip one-time costs |
3,659 |
|
|
3,659 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||||
Silvertip lease modification |
(4,051 |
) |
|
(4,051 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||||
Silvertip gain on contingent consideration |
(955 |
) |
|
(955 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||||
COVID-19 one-time costs |
272 |
|
|
272 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||||
Wharf inventory write-down |
3,596 |
|
|
— |
|
|
3,596 |
|
|
— |
|
|
— |
|
|
— |
|
|||||||
Loss on debt extinguishment |
1,282 |
|
|
— |
|
|
— |
|
|
1,282 |
|
|
— |
|
|
— |
|
|||||||
Receivable write-down |
1,040 |
|
|
— |
|
|
— |
|
|
1,040 |
|
|
— |
|
|
— |
|
|||||||
Interest income on notes receivables |
(18 |
) |
|
— |
|
|
— |
|
|
— |
|
|
(18 |
) |
|
(180 |
) |
|||||||
Adjusted EBITDA |
$ |
195,341 |
|
|
$ |
46,601 |
|
|
$ |
59,781 |
|
|
$ |
61,006 |
|
|
$ |
30,609 |
|
|
$ |
26,104 |
|
|
Revenue |
$ |
729,799 |
|
|
$ |
173,167 |
|
|
$ |
195,040 |
|
|
$ |
199,469 |
|
|
$ |
162,123 |
|
|
$ |
154,870 |
|
|
Adjusted EBITDA Margin |
27 |
% |
|
27 |
% |
|
31 |
% |
|
31 |
% |
|
19 |
% |
|
17 |
% |
Adjusted Net Income (Loss) Reconciliation |
||||||||||||||||||||
(Dollars in thousands except per share amounts) |
1Q 2020 |
|
4Q 2019 |
|
3Q 2019 |
|
2Q 2019 |
|
1Q 2019 |
|||||||||||
Net income (loss) |
$ |
(11,900 |
) |
|
$ |
(270,961 |
) |
|
$ |
(14,277 |
) |
|
$ |
(36,764 |
) |
|
$ |
(19,201 |
) |
|
Income loss from discontinued operations, net of tax |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(5,693 |
) |
||||||
Fair value adjustments, net |
8,819 |
|
|
(7,829 |
) |
|
(4,377 |
) |
|
5,296 |
|
|
(9,120 |
) |
||||||
Foreign exchange loss (gain) |
(6,620 |
) |
|
1,733 |
|
|
2,022 |
|
|
889 |
|
|
1,256 |
|
||||||
(Gain) loss on sale of assets and securities |
(374 |
) |
|
594 |
|
|
100 |
|
|
72 |
|
|
(52 |
) |
||||||
Impairment of long-lived assets |
— |
|
|
250,814 |
|
|
— |
|
|
— |
|
|
— |
|
||||||
Silvertip inventory write-down |
10,381 |
|
|
23,325 |
|
|
13,966 |
|
|
11,872 |
|
|
15,447 |
|
||||||
Silvertip one-time costs |
3,659 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
||||||
Silvertip lease modification |
(4,051 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
||||||
Silvertip gain on contingent consideration |
(955 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
||||||
COVID-19 one-time costs |
272 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
||||||
Wharf inventory write-down |
— |
|
|
3,596 |
|
|
— |
|
|
— |
|
|
— |
|
||||||
Loss on debt extinguishment |
— |
|
|
— |
|
|
1,282 |
|
|
— |
|
|
— |
|
||||||
Receivable write-down |
— |
|
|
— |
|
|
1,040 |
|
|
— |
|
|
— |
|
||||||
Interest income on notes receivables |
— |
|
|
— |
|
|
— |
|
|
(18 |
) |
|
(180 |
) |
||||||
Tax effect of adjustments |
— |
|
|
(4,572 |
) |
|
(5,096 |
) |
|
(4,332 |
) |
|
(5,415 |
) |
||||||
Adjusted net income (loss) |
$ |
(769 |
) |
|
$ |
(3,300 |
) |
|
$ |
(5,340 |
) |
|
$ |
(22,985 |
) |
|
$ |
(22,958 |
) |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Adjusted net income (loss) per share - Basic |
$ |
0.00 |
|
|
$ |
(0.01 |
) |
|
$ |
(0.02 |
) |
|
$ |
(0.11 |
) |
|
$ |
(0.11 |
) |
|
Adjusted net income (loss) per share - Diluted |
$ |
0.00 |
|
|
$ |
(0.01 |
) |
|
$ |
(0.02 |
) |
|
$ |
(0.11 |
) |
|
$ |
(0.11 |
) |
Consolidated Free Cash Flow Reconciliation |
||||||||||||||||||||
(Dollars in thousands) |
1Q 2020 |
|
4Q 2019 |
|
3Q 2019 |
|
2Q 2019 |
|
1Q 2019 |
|||||||||||
Cash flow from continuing operations |
$ |
(7,991 |
) |
|
$ |
39,295 |
|
|
$ |
41,996 |
|
|
$ |
26,435 |
|
|
$ |
(15,846 |
) |
|
Capital expenditures from continuing operations |
22,208 |
|
|
20,907 |
|
|
30,678 |
|
|
20,749 |
|
|
27,438 |
|
||||||
Free cash flow |
$ |
(30,199 |
) |
|
$ |
18,388 |
|
|
$ |
11,318 |
|
|
$ |
5,686 |
|
|
$ |
(43,284 |
) |
Consolidated Operating Cash Flow |
||||||||||||||||||||
Before Working Capital Changes Reconciliation |
||||||||||||||||||||
(Dollars in thousands) |
1Q 2020 |
|
4Q 2019 |
|
3Q 2019 |
|
2Q 2019 |
|
1Q 2019 |
|||||||||||
Cash provided by (used in) continuing operating activities |
$ |
(7,991 |
) |
|
$ |
39,295 |
|
|
$ |
41,996 |
|
|
$ |
26,435 |
|
|
$ |
(15,846 |
) |
|
Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
|
|
|||||||||||
Receivables |
813 |
|
|
(17,970 |
) |
|
3,350 |
|
|
7,624 |
|
|
9,735 |
|
||||||
Prepaid expenses and other |
346 |
|
|
(2,423 |
) |
|
(1,375 |
) |
|
834 |
|
|
2,684 |
|
||||||
Inventories |
21,925 |
|
|
20,397 |
|
|
9,389 |
|
|
14,391 |
|
|
18,821 |
|
||||||
Accounts payable and accrued liabilities |
15,051 |
|
|
18,318 |
|
|
(22,384 |
) |
|
(25,109 |
) |
|
6,072 |
|
||||||
Cash flow before changes in operating assets and liabilities |
$ |
30,144 |
|
|
$ |
57,617 |
|
|
$ |
30,976 |
|
|
$ |
24,175 |
|
|
$ |
21,466 |
|
Reconciliation of Costs Applicable to Sales |
||||||||||||||||||||||||
for Three Months Ended March 31, 2020 |
||||||||||||||||||||||||
In thousands except per ounce or per pound amounts |
Palmarejo |
|
Rochester |
|
Kensington |
|
Wharf |
|
Silvertip |
|
Total |
|||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP) |
$ |
49,149 |
|
|
$ |
19,860 |
|
|
$ |
42,429 |
|
|
$ |
20,267 |
|
|
$ |
23,002 |
|
|
$ |
154,707 |
|
|
Amortization |
(13,175 |
) |
|
(2,904 |
) |
|
(11,922 |
) |
|
(2,444 |
) |
|
(5,345 |
) |
|
(35,790 |
) |
|||||||
Costs applicable to sales |
$ |
35,974 |
|
|
$ |
16,956 |
|
|
$ |
30,507 |
|
|
$ |
17,823 |
|
|
$ |
17,657 |
|
|
$ |
118,917 |
|
|
Inventory Adjustments |
73 |
|
|
(422 |
) |
|
(101 |
) |
|
(25 |
) |
|
(10,381 |
) |
|
(10,856 |
) |
|||||||
By-product credit |
— |
|
|
— |
|
|
— |
|
|
(248 |
) |
|
— |
|
|
(248 |
) |
|||||||
Adjusted costs applicable to sales |
$ |
36,047 |
|
|
$ |
16,534 |
|
|
$ |
30,406 |
|
|
$ |
17,550 |
|
|
$ |
7,276 |
|
|
$ |
107,813 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Metal Sales |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold ounces |
31,287 |
|
|
5,473 |
|
|
32,781 |
|
|
16,094 |
|
|
|
|
85,635 |
|
||||||||
Silver ounces |
1,894,789 |
|
|
632,237 |
|
|
|
|
14,768 |
|
|
158,984 |
|
|
2,700,778 |
|
||||||||
Zinc pounds |
|
|
|
|
|
|
|
|
3,203,446 |
|
|
3,203,446 |
|
|||||||||||
Lead pounds |
|
|
|
|
|
|
|
|
2,453,485 |
|
|
2,453,485 |
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Revenue Split |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold |
56 |
% |
|
45 |
% |
|
100 |
% |
|
100 |
% |
|
|
|
|
|||||||||
Silver |
44 |
% |
|
55 |
% |
|
|
|
|
|
26 |
% |
|
|
||||||||||
Zinc |
|
|
|
|
|
|
|
|
48 |
% |
|
|
||||||||||||
Lead |
|
|
|
|
|
|
|
|
26 |
% |
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Adjusted costs applicable to sales |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold ($/oz) |
$ |
645 |
|
|
$ |
1,359 |
|
|
$ |
928 |
|
|
$ |
1,090 |
|
|
|
|
|
|||||
Silver ($/oz) |
$ |
8.37 |
|
|
$ |
14.38 |
|
|
|
|
|
|
$ |
11.79 |
|
|
|
|||||||
Zinc ($/lb) |
|
|
|
|
|
|
|
|
$ |
1.12 |
|
|
|
|||||||||||
Lead ($/lb) |
|
|
|
|
|
|
|
|
$ |
0.74 |
|
|
|
Reconciliation of Costs Applicable to Sales |
||||||||||||||||||||||||
for Three Months Ended December 31, 2019 |
||||||||||||||||||||||||
In thousands except per ounce or per pound amounts |
Palmarejo |
|
Rochester |
|
Kensington |
|
Wharf |
|
Silvertip |
|
Total |
|||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP) |
$ |
49,590 |
|
|
$ |
31,100 |
|
|
$ |
41,537 |
|
|
$ |
29,818 |
|
|
$ |
42,189 |
|
|
$ |
194,234 |
|
|
Amortization |
(14,799 |
) |
|
(5,791 |
) |
|
(12,776 |
) |
|
(4,072 |
) |
|
(10,166 |
) |
|
(47,604 |
) |
|||||||
Costs applicable to sales |
$ |
34,791 |
|
|
$ |
25,309 |
|
|
$ |
28,761 |
|
|
$ |
25,746 |
|
|
$ |
32,023 |
|
|
$ |
146,630 |
|
|
Inventory Adjustments |
(11 |
) |
|
(116 |
) |
|
(176 |
) |
|
(3,677 |
) |
|
(23,325 |
) |
|
(27,305 |
) |
|||||||
By-product credit |
— |
|
|
— |
|
|
— |
|
|
(373 |
) |
|
— |
|
|
(373 |
) |
|||||||
Adjusted costs applicable to sales |
$ |
34,780 |
|
|
$ |
25,193 |
|
|
$ |
28,585 |
|
|
$ |
21,696 |
|
|
$ |
8,698 |
|
|
$ |
118,952 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Metal Sales |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold ounces |
27,953 |
|
|
11,248 |
|
|
29,293 |
|
|
27,039 |
|
|
— |
|
|
95,533 |
|
|||||||
Silver ounces |
1,979,315 |
|
|
931,326 |
|
|
|
|
21,132 |
|
|
294,498 |
|
|
3,226,271 |
|
||||||||
Zinc pounds |
|
|
|
|
|
|
|
|
4,052,554 |
|
|
4,052,554 |
|
|||||||||||
Lead pounds |
|
|
|
|
|
|
|
|
4,223,504 |
|
|
4,223,504 |
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Revenue Split |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold |
50 |
% |
|
51 |
% |
|
100 |
% |
|
100 |
% |
|
|
|
|
|||||||||
Silver |
50 |
% |
|
49 |
% |
|
|
|
|
|
38 |
% |
|
|
||||||||||
Zinc |
|
|
|
|
|
|
|
|
32 |
% |
|
|
||||||||||||
Lead |
|
|
|
|
|
|
|
|
30 |
% |
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Adjusted costs applicable to sales |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold ($/oz) |
$ |
622 |
|
|
$ |
1,142 |
|
|
$ |
976 |
|
|
$ |
802 |
|
|
|
|
|
|||||
Silver ($/oz) |
$ |
8.79 |
|
|
$ |
13.25 |
|
|
|
|
|
|
$ |
11.22 |
|
|
|
|||||||
Zinc ($/lb) |
|
|
|
|
|
|
|
|
$ |
0.69 |
|
|
|
|||||||||||
Lead ($/lb) |
|
|
|
|
|
|
|
|
$ |
0.62 |
|
|
|
Reconciliation of Costs Applicable to Sales |
||||||||||||||||||||||||
for Three Months Ended September 30, 2019 |
||||||||||||||||||||||||
In thousands except per ounce or per pound amounts |
Palmarejo |
|
Rochester |
|
Kensington |
|
Wharf |
|
Silvertip |
|
Total |
|||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP) |
$ |
53,237 |
|
|
$ |
31,999 |
|
|
$ |
43,085 |
|
|
$ |
25,385 |
|
|
$ |
32,457 |
|
|
$ |
186,163 |
|
|
Amortization |
(15,840 |
) |
|
(4,250 |
) |
|
(13,552 |
) |
|
(3,301 |
) |
|
(8,268 |
) |
|
(45,211 |
) |
|||||||
Costs applicable to sales |
$ |
37,397 |
|
|
$ |
27,749 |
|
|
$ |
29,533 |
|
|
$ |
22,084 |
|
|
$ |
24,189 |
|
|
$ |
140,952 |
|
|
Inventory Adjustments |
(175 |
) |
|
(4,799 |
) |
|
(405 |
) |
|
(7 |
) |
|
(13,966 |
) |
|
(19,352 |
) |
|||||||
By-product credit |
— |
|
|
— |
|
|
— |
|
|
(293 |
) |
|
— |
|
|
(293 |
) |
|||||||
Adjusted costs applicable to sales |
$ |
37,222 |
|
|
$ |
22,950 |
|
|
$ |
29,128 |
|
|
$ |
21,784 |
|
|
$ |
10,223 |
|
|
$ |
121,307 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Metal Sales |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold ounces |
32,731 |
|
|
7,651 |
|
|
35,452 |
|
|
24,573 |
|
|
|
|
100,407 |
|
||||||||
Silver ounces |
1,747,250 |
|
|
951,043 |
|
|
|
|
16,612 |
|
|
289,910 |
|
|
3,004,815 |
|
||||||||
Zinc pounds |
|
|
|
|
|
|
|
|
4,076,390 |
|
|
4,076,390 |
|
|||||||||||
Lead pounds |
|
|
|
|
|
|
|
|
4,330,862 |
|
|
4,330,862 |
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Revenue Split |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold |
58 |
% |
|
41 |
% |
|
100 |
% |
|
100 |
% |
|
|
|
|
|||||||||
Silver |
42 |
% |
|
59 |
% |
|
|
|
|
|
39 |
% |
|
|
||||||||||
Zinc |
|
|
|
|
|
|
|
|
29 |
% |
|
|
||||||||||||
Lead |
|
|
|
|
|
|
|
|
32 |
% |
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Adjusted costs applicable to sales |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold ($/oz) |
$ |
660 |
|
|
$ |
1,230 |
|
|
$ |
822 |
|
|
$ |
887 |
|
|
|
|
|
|||||
Silver ($/oz) |
$ |
8.95 |
|
|
$ |
14.24 |
|
|
|
|
|
|
$ |
14.14 |
|
|
|
|||||||
Zinc ($/lb) |
|
|
|
|
|
|
|
|
$ |
0.75 |
|
|
|
|||||||||||
Lead ($/lb) |
|
|
|
|
|
|
|
|
$ |
0.71 |
|
|
|
Reconciliation of Costs Applicable to Sales |
||||||||||||||||||||||||
for Three Months Ended June 30, 2019 |
||||||||||||||||||||||||
In thousands except per ounce or per pound amounts |
Palmarejo |
|
Rochester |
|
Kensington |
|
Wharf |
|
Silvertip |
|
Total |
|||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP) |
$ |
50,708 |
|
|
$ |
28,656 |
|
|
$ |
41,670 |
|
|
$ |
17,691 |
|
|
$ |
36,038 |
|
|
$ |
174,763 |
|
|
Amortization |
(14,212 |
) |
|
(3,963 |
) |
|
(12,537 |
) |
|
(2,225 |
) |
|
(9,878 |
) |
|
(42,815 |
) |
|||||||
Costs applicable to sales |
$ |
36,496 |
|
|
$ |
24,693 |
|
|
$ |
29,133 |
|
|
$ |
15,466 |
|
|
$ |
26,160 |
|
|
$ |
131,948 |
|
|
Inventory Adjustments |
(39 |
) |
|
(2,045 |
) |
|
(156 |
) |
|
48 |
|
|
(11,872 |
) |
|
(14,064 |
) |
|||||||
By-product credit |
— |
|
|
— |
|
|
— |
|
|
(188 |
) |
|
— |
|
|
(188 |
) |
|||||||
Adjusted costs applicable to sales |
$ |
36,457 |
|
|
$ |
22,648 |
|
|
$ |
28,977 |
|
|
$ |
15,326 |
|
|
$ |
14,288 |
|
|
$ |
117,696 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Metal Sales |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold ounces |
28,027 |
|
|
8,642 |
|
|
34,415 |
|
|
15,301 |
|
|
— |
|
|
86,385 |
|
|||||||
Silver ounces |
1,709,406 |
|
|
961,634 |
|
|
|
|
12,364 |
|
|
364,961 |
|
|
3,048,365 |
|
||||||||
Zinc pounds |
|
|
|
|
|
|
|
|
5,302,508 |
|
|
5,302,508 |
|
|||||||||||
Lead pounds |
|
|
|
|
|
|
|
|
5,185,634 |
|
|
5,185,634 |
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Revenue Split |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold |
57 |
% |
|
44 |
% |
|
100 |
% |
|
100 |
% |
|
|
|
|
|||||||||
Silver |
43 |
% |
|
56 |
% |
|
|
|
|
|
34 |
% |
|
|
||||||||||
Zinc |
|
|
|
|
|
|
|
|
38 |
% |
|
|
||||||||||||
Lead |
|
|
|
|
|
|
|
|
28 |
% |
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Adjusted costs applicable to sales |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold ($/oz) |
$ |
741 |
|
|
$ |
1,153 |
|
|
$ |
842 |
|
|
$ |
1,002 |
|
|
|
|
|
|||||
Silver ($/oz) |
$ |
9.17 |
|
|
$ |
13.19 |
|
|
|
|
|
|
$ |
13.31 |
|
|
|
|||||||
Zinc ($/lb) |
|
|
|
|
|
|
|
|
$ |
1.02 |
|
|
|
|||||||||||
Lead ($/lb) |
|
|
|
|
|
|
|
|
$ |
0.77 |
|
|
|
Reconciliation of Costs Applicable to Sales |
||||||||||||||||||||||||
for Three Months Ended March 31, 2019 |
||||||||||||||||||||||||
In thousands except per ounce or per pound amounts |
Palmarejo |
|
Rochester |
|
Kensington |
|
Wharf |
|
Silvertip |
|
Total |
|||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP) |
$ |
47,772 |
|
|
$ |
26,491 |
|
|
$ |
43,902 |
|
|
$ |
20,073 |
|
|
$ |
34,811 |
|
|
$ |
173,049 |
|
|
Amortization |
(14,528 |
) |
|
(4,037 |
) |
|
(11,727 |
) |
|
(2,681 |
) |
|
(8,426 |
) |
|
(41,399 |
) |
|||||||
Costs applicable to sales |
$ |
33,244 |
|
|
$ |
22,454 |
|
|
$ |
32,175 |
|
|
$ |
17,392 |
|
|
$ |
26,385 |
|
|
$ |
131,650 |
|
|
Inventory Adjustments |
(141 |
) |
|
(323 |
) |
|
(1,164 |
) |
|
(5 |
) |
|
(15,447 |
) |
|
(17,080 |
) |
|||||||
By-product credit |
— |
|
|
— |
|
|
— |
|
|
(217 |
) |
|
— |
|
|
(217 |
) |
|||||||
Adjusted costs applicable to sales |
$ |
33,103 |
|
|
$ |
22,131 |
|
|
$ |
31,011 |
|
|
$ |
17,170 |
|
|
$ |
10,938 |
|
|
$ |
114,353 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Metal Sales |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold ounces |
27,394 |
|
|
8,511 |
|
|
31,335 |
|
|
18,086 |
|
|
|
|
85,326 |
|
||||||||
Silver ounces |
1,405,409 |
|
|
1,000,453 |
|
|
— |
|
|
14,052 |
|
|
215,101 |
|
|
2,635,015 |
|
|||||||
Zinc pounds |
|
|
|
|
|
|
|
|
4,723,069 |
|
|
4,723,069 |
|
|||||||||||
Lead pounds |
|
|
|
|
|
|
|
|
2,747,847 |
|
|
2,747,847 |
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Revenue Split |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold |
59 |
% |
|
42 |
% |
|
100 |
% |
|
100 |
% |
|
|
|
|
|||||||||
Silver |
41 |
% |
|
58 |
% |
|
|
|
|
|
27 |
% |
|
|
||||||||||
Zinc |
|
|
|
|
|
|
|
|
51 |
% |
|
|
||||||||||||
Lead |
|
|
|
|
|
|
|
|
22 |
% |
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Adjusted costs applicable to sales |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gold ($/oz) |
$ |
713 |
|
|
$ |
1,092 |
|
|
$ |
990 |
|
|
$ |
949 |
|
|
|
|
|
|||||
Silver ($/oz) |
$ |
9.66 |
|
|
$ |
12.83 |
|
|
|
|
|
|
$ |
13.73 |
|
|
|
|||||||
Zinc ($/lb) |
|
|
|
|
|
|
|
|
$ |
1.18 |
|
|
|
|||||||||||
Lead ($/lb) |
|
|
|
|
|
|
|
|
$ |
0.88 |
|
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20200422005876/en/
For Additional Information
Coeur Mining, Inc.
104 S. Michigan Avenue, Suite 900
Chicago, IL 60603
Attention: Paul DePartout, Director, Investor Relations
Phone: (312) 489-5800
www.coeur.com