Apex Mining profit up 9.1% on higher metal prices

APEX MINING Co., Inc. recorded a 9.1% year-on-year increase in its second-quarter net income attributable to parent firm equity holders to P210.05 million due to higher metal prices.

The listed mining firm said in a stock exchange disclosure on Friday that its revenues for the quarter reached P1.54 billion, up 86.4%. Gold revenues accounted for P1.43 billion of the total while silver revenues took up the remaining P111.46 million.

Gold sales volume for the quarter rose 79.1% to 16,285 ounces while silver sales were up 0.3% to 47,908 ounces.

Further, the company said realized gold and silver prices for the quarter rose 5.3% and 55.2% to $1,800 per ounce and $26.38 per ounce, respectively.

Due to higher sales, cost of production for the period also rose 157.2% to P1.05 billion from P407.28 million.

For the first six months of the year, Apex Mining registered a 56.6% increase in its attributable net income to P488.86 million. Consolidated revenues in the first half rose 53.7% to P3.09 billion. Gold revenues contributed P2.87 billion of the total while silver revenues shared P214.47 million.

Prices of gold for the first half rose 8.7% to $1,776 per ounce while silver prices climbed 52.8% to $25.63 per ounce.

Gold sales volume reached 33,336 ounces while silver sales totalled 172,662 ounces in the first half of 2021, an improvement from the 23,008 ounces of gold and 125,635 ounces of silver sold last year, due to the availability of logistics amid the pandemic.

The company’s total cost of production for the January-June period rose 64.8% to P2.11 billion from P1.28 billion the previous year due to higher costs for materials used in mining and milling.

Shares of Apex Mining at the stock exchange fell 2.94% or five centavos to end at

P1.65 apiece on Friday. — Revin Mikhael D. Ochave