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Franco-Nevada Reports Record Financial Results in Q3 2020
(in U.S. dollars unless otherwise noted) Record earnings margin and strong organic growth TORONTO, Nov. 4, 2020 /CNW/ - Franco-Nevada delivered record
About this update from Franco-nevada Corporation
[{"type":"text","content":" (in U.S. dollars unless otherwise noted) Record earnings margin and strong organic growth TORONTO, Nov. 4, 2020 /CNW/ - Franco-Nevada delivered record revenue, EBITDA and net earnings in the third quarter with all material Mining assets having returned to normal operations through the quarter. The Company continued to lead its royalty and streaming peers with the highest EBITDA margins and, in particular, with a record earnings margin of 55% in the quarter. \"It is exciting for the future to see the level of organic growth across our portfolio of producing, advanced and exploration assets,\" stated Paul Brink, CEO. During the third quarter, 25 new royalties were added to the portfolio bringing the number of mining related assets to 316. The Company's Energy assets also benefitted from a rebound in oil and gas prices. Franco-Nevada expects to be near the high end of its previously announced guidance ranges for 2020, assuming that the recent strike action at Candelaria is resolved and operations resume in the near term. Financial Highlights – Q3/2020 vs Q3/2019 134,817 Gold Equivalent Ounces1 (\"GEOs\") sold (+1%) $279.8 million in revenue – a new record (+19%) $153.9 million of Net Income, or $0.81 per share – a new record (+51%) $39.1 million in Cash Costs3, or $290 per GEO sold $235.1 million of Adjusted EBITDA4, or $1.23 per share – a new record (+22%) Debt free Revenue and GEO Sales by Asset Categories Q3/2020 Q3/2019 GEO Sales Revenue GEO Sales Revenue # (in millions) # (in millions) Gold 108,709 $ 206.1 101,781 $ 151.1 Silver 13,691 26.1 15,903 23.8 PGMs 10,630 21.3 11,373 17.2 Other Mining Assets 1,787 3.5 4,162 6.1 Mining 134,817 $ 257.0 133,219 $ 198.2 Energy — 22.8 — 37.5 134,817 $ 279.8 133,219 $ 235.7 For Q3/2020, revenue was sourced 91.9% from gold and gold equivalents (73.7% gold, 9.3% silver, 7.6% PGM and 1.3% other Mining assets) and 8.1% from energy (oil, gas and NGLs). The focus of the portfolio is on precious metals (gold, silver and PGM) with a target of no more than 20% in revenue from energy. Geographically, revenue was sourced 85.3% from the Americas (48.9% Latin America, 16.0% U.S. and 20.4% Canada). Corporate Updates Amendment of Sabodala Gold Stream Agreement: On September 25, 2020, ...