(Adds production and more financial data)
May 7 Kinross Gold Corp reported a sharp
drop in first-quarter net earnings on Wednesday due to weaker
bullion prices but its production increased and costs edged
The Canadian miner said its net earnings fell to $31.8
million, or 3 cents a share, in the three months to the end of
March from $162.4 million, or 14 cents a share, a year earlier.
Adjusted for one-time items, Kinross' earnings dropped to
$34.1 million, or 3 cents a share, from $172.4 million, or 15
cents a share, a year earlier.
Revenue dropped to $817.4 million from $1.06 billion as
realized gold prices fell to $1,299 an ounce in the quarter from
$1,624 per ounce a year earlier.
Analysts, on average, had expected earnings of 4 cents a
share on revenue of $821 million, according to Thomson Reuters
The company, which is the world's fifth-biggest gold
producer and has mines in North and South America as well as
Africa and Russia, said its production was 664,690 of gold
equivalent ounces in the first quarter, up from 648,897 ounces
in the same period in 2013.
Gold equivalent ounces include silver ounces produced and
sold, converted to a gold equivalent based on a ratio of the
average spot market price for the commodities for each year.
Kinross' all-in sustaining costs for gold were $1,001 an
ounce in the quarter, down from $1,030 per ounce in the same
quarter a year ago.
Kinross repeated its 2014 production, cost and capital
(Reporting by Nicole Mordant in Vancouver; Editing by David
Gregorio and Dan Grebler)