Business
Altius Minerals Reports Q2 2019 Royalty Revenue of $19.5M and Adjusted EBITDA Of $16.3M
ST. JOHN’S, Newfoundland and Labrador--(BUSINESS WIRE)--Altius Minerals Corporation (“Altius” or the “Corporation”) reports attributable royalty revenue(Note 1)
About this update from Altius Minerals Corporation
[{"type":"text","content":"ST. JOHN’S, Newfoundland and Labrador--(BUSINESS WIRE)--Altius Minerals Corporation (“Altius” or the “Corporation”) reports attributable royalty revenue(Note 1) of $19.5 million or $0.46 per share for the quarter ended June 30, 2019, which compares to Q2 2018 royalty revenue of $16.5 million or $0.38 per share and record Q1 2019 revenues of $21.8 million or $0.51 per share. Adjusted EBITDA(Note 1) of $16.3 million or $0.38 per share for the three months represents a margin of 84% of royalty revenue and compares to Adjusted EBITDA of $13.0 million or $0.30 per share in Q2 2018 and $17.4 million or $0.41 per share in Q1 2019. A Q2 2019 net loss per share of ($0.05) compares to net earnings per share of $0.12 in Q2 2018 and $0.15 for Q1 2019. Current quarter adjusted net earnings(Note 2) were $0.15 per share after adjusting for various non-cash items that totaled ($0.20) per share. Royalty revenue summary: Base metal revenue of $6.4 million in Q2 2019 was down 16% from Q1 2019 and 17% relative to the comparable year ago period. This mainly reflects lower copper prices and the timing of sales at Chapada. Lundin Mining Corporation completed the purchase of the Chapada Mine from Yamana Gold Inc. subsequent to quarter end and has stated that it will evaluate the potential for future copper focused expansion and optimization at the Chapada Mine while also highlighting that it has sufficient available capital to grow and optimize the asset as warranted. Hudbay Minerals Inc. reported the extension of 777 mine life to the second quarter of 2022, from the end of 2021 based on the most recent estimate of mineral reserves. Voisey’s Bay production levels continued at subdued levels while construction is underway to facilitate the transition from open pit to underground mining operations. Potash royalty revenue of $5.2 million is up 7% from Q1 2019 and 36% from the second quarter of 2018. This reflects stronger year over year potash prices and the continued steady improvement of attributable production volumes. Nutrien Ltd. (“Nutrien”), our largest potash counterparty, in its annual Investor Day held in June reiterated their expectation for potash sales to grow from the current level of 13 million tonnes annually to 15-17 million tonnes expected by 2023. Nutrien also addressed capacity growth capability beyond 2023, with an outline of its poten...