Business
Largo Reports Third Quarter 2021 Financial Results with Net Income of $9.2 Million; Advances to Implement Largo’s Complementary Value Propositions
TORONTO / Nov 10, 2021 / Business Wire / Largo Inc. ("Largo" or the "Company") (TSX: LGO) (NASDAQ: LGO) today announces its third quarter 2021 financial results
About this update from Largo Inc.
[{"type":"text","content":"TORONTO / Nov 10, 2021 / Business Wire / Largo Inc. (\"Largo\" or the \"Company\") (TSX: LGO) (NASDAQ: LGO) today announces its third quarter 2021 financial results highlighted by revenues of $53.9 million and net income of $9.2 million. The Company recently announced results of a pre-feasibility study which forecasts materially increased profitability through enhanced access to vanadium and achieved important milestones in the development of its vanadium-based energy storage business. Ian Robertson, Co-Chair of Largo, commented: “We believe that our two distinct, but related value propositions are clear – our shareholders own both an experienced new-economy vanadium production business demonstrating clear value upside, together with an emerging energy transition business, which provides the opportunity for incremental earnings from the manufacture and sale of vanadium-based energy storage systems. Our recently announced pre-feasibility study results support both businesses through materially enhanced forecast profitability from our vanadium and TiO2 production business and improved market share for our energy storage products. We believe the updated Largo brand embodies our commitment to deliver shareholder value accretion through the vertical integration of our two business propositions.” Paulo Misk, President and CEO of Largo, stated: “The expansion of V2O5 production and incremental cash flows generated by the production and sale of TiO2 pigment provide clear upside to our shareholders. We were very pleased to report a 305%7 increase in Proven and Probable reserve tonnage and a 128%7 increase in Measured and Indicated resource tonnage for the Maracás Menchen Mine. We believe TiO2 production from the Company’s existing non-magnetic concentrate will enable Largo to enhance its operational competitiveness and together with its energy storage business transition, should lead to increased shareholder value for the Company. Strong vanadium prices in the third quarter resulted in the Company’s revenue and revenues per pound sold1 increasing 96% and 69%, respectively, over the same quarter in 2020. Despite lower sales results during Q3 2021 mainly due to global logistical delays, our operational results improved significantly over the prior quarter driven by improved recoveries and increased throughput.” Financial Results Thr...