Business
Jaguar Mining Reports Financial Results for the Second Quarter 2021
Announces Quarterly Dividend of C$0.04 per share TORONTO, ON / ACCESSWIRE / August 10, 2...
About this update from Jaguar Mining Inc.
[{"type":"text","content":"Jaguar Mining Reports Financial Results for the Second Quarter 2021Announces Quarterly Dividend of C$0.04 per shareTORONTO, ON / ACCESSWIRE / August 10, 2021 / Jaguar Mining Inc. (\"Jaguar\" or the \"Company\") (TSX:JAG, OTCQX:JAGGF) today announced financial results for the second quarter (\"Q2 2021\") ended June 30. 2021. All figures are in US Dollars, unless otherwise expressed.Q2 2021 Financial HighlightsRevenue for Q2 2021 decreased 15% to $36.3 million, compared with $42.5 million in Q2 2020, mainly due to a reduction in gold sales by 19% to the comparison period, this was partially offset by 5% increase in the average realized gold price of $1,795/oz. in Q2 2021 as compared to $1,703/oz. for Q2 2020.Operating production costs of $17.4 million in Q2 2021 compared to $14.6M in Q2 2020. The increase in operating production cost is due to inflation and operational adjustments for the pandemic. The adjustments were based on the COVID-19 protocols put in place for the pandemic, as well as efforts to increase capacity as the mines worked to ramp production up to sustainable levels. Jaguar expects that easing of protocols in the second half of the year will allow operations to return to normal operating conditions.Cash operating costs increased 46% to $858 per ounce sold with the reduced ounces and increased costs, while All-in Sustaining Costs increased to $1,281 per ounce per ounce of sold for Q2 2021, compared to $586 and $882 respectively per ounce of gold sold for the same period in 2020. During the first half of the year 2021, the Company has seen significant inflation in labour costs, mining materials, plant consumables, diesel fuel, and explosives. These items have seen an increase on average of around 20% as compared to the same period last year. The Company believes that some of these increases will remain in place for the balance of the year.Net income for Q2 2021 decreased to $2.9 million, compared with $19.2 million in Q2 2020. Major differences were a $6.2 million decline in revenue, $1.6 million increase in depreciation expense, $1.2 million increase in exploration expenditures, and a foreign exchange loss of $3.3 million. The average exchange rate during Q2 2021 was R$5.29 per US dollar compared to R$5.39 per US dollar in Q2 2020.Free cash flow was $5.8 million for Q2 2021 based on operating cash flow minus capita...