Listed firm Atlas Consolidated Mining and Development Corp. said its net income slumped by almost half in 2013 partly due to lower metal prices abroad.
In a disclosure to the Philippine Stock Exchange on Wednesday, Atlas said its net income reached P1.90 billion last year, or 45 percent lower than the P3.4 billion recorded the previous year.
Last year, the company’s core income rose 4 percent to P 2.62 billion last year from P2.53 billion in 2012 despite lower metal prices.
The realized price of copper last year was $3.30 per pound while the price of gold was at $ 1,543 per ounce, down from $3.61 and $ 1,663, respectively, in 2012.
Revenues dropped 7 percent from P 15.5 billion in 2012 to P 14.45 billion last year. Atlas, however, said the drop in revenue was offset by an 8 percent fall in the company’s total operating cash costs, which reached P9.05 billion in 2013 compared with P9.80 billion in 2012.
Atlas’ wholly-owned subsidiary Carmen Copper Corp. (CCC) produced 91.51 million pounds of copper metal concentrate, up by 3 percent from 89.92 million pounds in 2012.
The average daily milling capacity last year increased by 4 percent to 43,010 tons per day from 41,503 tons per day previously.
The listed miner said its total volume of copper shipment reached 90.56 million pounds while shipment of gold metal concentrate stood at 19,555 ounces.
“Our strategy to optimize production and reduce cost is paying off as we were able to grow our core income in 2013 despite weaker metal prices,” said Atlas Mining Executive Vice President Adrian Ramos.
Last year, Atlas announced a plan to expand CCC’s capacity by 50 percent from the existing capacity of 40,000 tons per day to 60,000 tons per day.
“We are very excited as we get nearer the completion of our expansion project. With a higher production capacity, we will achieve economies of scale that will position us to be even more competitive in the future,” Ramos said.