Business
Amerigo Resources Announces Q2-2023 Results & Quarterly Dividend
Net loss of $3.8 million driven by lower copper production and prior quarter price settlement adjustments EBITDA1 of $1.7 million, ending quarter cash & restric
About this update from Amerigo Resources Ltd
[{"type":"text","content":" Net loss of $3.8 million driven by lower copper production and prior quarter price settlement adjustments EBITDA1 of $1.7 million, ending quarter cash & restricted cash of $35.9 million Quarterly dividend of Cdn$0.03 per share declared, representing a 7.79% yield2 VANCOUVER, British Columbia, Aug. 02, 2023 (GLOBE NEWSWIRE) -- Amerigo Resources Ltd. (TSX: ARG; OTCQX: ARREF) (“Amerigo” or the “Company”) announces financial results for the three months ended June 30, 2023 (“Q2-2023”). Dollar amounts in this news release are in U.S. dollars unless indicated otherwise. Amerigo’s quarterly financial results were impacted by reduced copper production from Minera Valle Central (“MVC”), the Company’s 100% owned operation near Rancagua, Chile, and $2.7 million in negative price settlement adjustments to prior quarter copper sales. Copper production was impacted by MVC’s scheduled 8-day annual maintenance shutdown and by an additional eight days of lost production in June 2023 due to flooding in Central Chile. Quarterly results included a net loss of $3.8 million, loss per share (“LPS”) of $0.02 (Cdn$0.03) and EBITDA1 of $1.7 million. Following year-to-date capital returns to shareholders of $10.0 million, Capex payments of $9.2 million and debt and lease repayments of $5.4 million, cash and restricted cash on June 30, 2023, were $35.9 million, compared to starting 2023 cash and restricted cash of $42.0 million. “Our second quarter production and financial results were impacted by a total operations shutdown at the end of June that will also be felt in the third quarter,” said Aurora Davidson, Amerigo’s President and CEO. “Prior to the flooding event, our copper production outperformed guidance by 4%. Because of that outperformance, although we adjusted our annual copper production guidance by 3% due to the flood, our financial health and outlook remain robust. Amerigo remains committed to its Capital Return Strategy. Despite the disruption, I am pleased to announce that the Company’s eighth consecutive dividend has been declared,” she added. On July 31, 2023, Amerigo’s Board of Directors declared a quarterly dividend of Cdn$0.03 per share, payable on September 20, 2023, to shareholders of record as of August 30, 20233. Amerigo designates the entire amount of this taxable dividend to be an “eligible dividend” for purposes of the Incom...