Goldcorp Q3 Profit Falls - Quick Facts

(RTTNews) - Goldcorp Inc. (GG, G.TO) reported a plunge in third-quarter of 2013 net earnings attributable to shareholders to $5 million from $498 million in the third quarter of 2012. Earnings per basic share plunged to $0.01 from last year's $0.61.

Earnings from operations and associates for the quarter slipped to $4 million from the previous year's $696 million.

Adjusted net earnings of $190 million, or $0.23 per basic share, compared to $441 million, or $0.54 per basic share, in the third quarter of 2012. Analysts polled by Thomson Reuters expected the company to report earnings of $0.20 per share for the quarter. Analysts' estimates typically exclude special items.

Adjusted net earnings in the third quarter of 2013 primarily exclude the retroactive impacts of the Pueblo Viejo SLA amendments, losses from the foreign exchange translation of deferred income tax liabilities, and foreign exchange losses on capital projects, but include the impact of non-cash stock-based compensation expenses which amounted to approximately $24 million, or $0.03 per share, for the quarter.

Quarterly revenues declined to $929 million from $1.28 billion last year. Adjusted revenues for the latest-quarter were $1.2 billion. Six analysts estimated revenues of $1.11 billion for the quarter.

Gold sales in the third quarter were 652,100 ounces on production of 637,100 ounces. This compares to sales of 617,800 ounces on production of 592,500 ounces in the third quarter of 2012. Silver production totaled 7.7 million ounces compared to silver production of 8.5 million ounces in the prior year's third quarter. Costs were $992 per ounce of gold on an all-in sustaining basis, $551 per ounce on a by-product basis and $706 per ounce on a co-product basis.

The average realized gold price for the quarter was $1,339 per ounce compared to $1,685 per ounce during the year-ago quarter.

Effective January 1, 2013, the Company's 37.5% interest in Alumbrera, which was previously proportionately consolidated in the Company's consolidated financial statements, has been classified as an investment in associate and is accounted for using the equity method. The Company has accounted for this change in consolidation retrospectively and has restated the 2012 comparative periods accordingly, the company said.

The Company provided updated guidance for 2013 within a narrower range of between 2.6 and 2.7 million ounces at an all-in sustaining cost of between $1,050 and $1,100 per ounce; $550 and $575 per ounce on a by-product basis; and $700 to $725 per ounce on a co-product basis. Capital spending remains on track with guidance of $2.6 billion, a reduction from the original guidance of $2.8 billion for the year.

With respect to 2014, the Company said it is in the midst of its annual planning and budgeting process. Previous 2014 gold production guidance of between 3.2 and 3.5 million ounces included approximately 400,000 ounces of gold from Cerro Negro.