Business
Royal Gold Reports Fiscal Third Quarter 2009 Results
- Record revenues of $20.8 million, an 11% increase over comparable quarter - Free cash flow(1) o...
About this update from Red Lake Gold Inc
[{"type":"text","content":"\n\n\n\n- Record revenues of $20.8 million, an 11% increase over comparable\nquarter\n\n- Free cash flow(1) of $17.5 million, representing 84% of revenues\n\n- Gold accounts for 89% of revenues\n\n- Transaction to acquire gold production from Teck Resources' Andacollo\nmine\n\n\n\nDENVER, May 7 /PRNewswire-FirstCall/ -- ROYAL GOLD, INC. (Nasdaq: RGLD;\nTSX: RGL), a leading precious metals royalty company, today announced record\nroyalty revenue of $20.8 million for the third quarter of fiscal 2009 and net\nincome of $4.1 million, or $0.12 per basic share. This compares to royalty\nrevenue of $18.7 million for the third quarter of fiscal 2008 and net income\nof $6.9 million, or $0.11 per basic share.(2)\n\n\nFor the nine-month period ended March 31, 2009, royalty revenue was $51.5\nmillion and net income was $31.3 million, or $0.92 per basic share. Nine-month\nnet income included the effects of a one-time, pre-tax gain of $31.5 million,\nor $0.60 per basic share after taxes, resulting from the Company's\nrestructuring of its GSR2, GSR3 and NVR1 royalties at the Cortez Pipeline\nMining Complex ("Cortez"). Excluding this one-time gain, the Company's net\nincome for the nine-month period was $10.8 million, or $0.32 per basic share. \nThis compares to royalty revenue of $45.9 million and net income of $17.0\nmillion, or $0.41 per basic share, for the nine-month period ended March 31,\n2008.\n\n\nIncreased royalty revenue for the third fiscal quarter was largely driven\nby stronger production at Taparko and contributions from various properties\nacquired in the Barrick transaction, partially offset by lower gold and copper\nprices and decreased contributions from Cortez and Robinson. Net income\ndecreased for the three month period ended March 31, 2009, due to an increase\nin depreciation, depletion and amortization charges of $4.0 million which was\nprimarily attributable to increased production from Taparko and new production\nfrom the Penasquito, Dolores and the Barrick royalties.\n\n\nFree cash flow for the current quarter was $17.5 million, representing\n84% of revenues. This compares to free cash flow for the third quarter of\nfiscal 2008 of approximately $15.5 million, or 83% of revenues. For the\nnine-month period ended March 31, 2009, free cash flow was $42.3 million,\nrepresenting 82% of revenues compared to free c...