Russian precious metals miner Polymetal posted a 170 percent year-on-year jump in its 2010 US GAAP net profit to $249.8 million, Polymetal said on Thursday.
That exceeded analysts’ forecast of $234.6 million.
“We are satisfied with our 2010 financial results as Polymetal managed to exercise effective cost control while significantly expanding the scale of the company and investing heavily in growth,” Vitaly Nesis, Polymetal Chief Executive said in a statement.
The results were driven by the expansion of the company’s activities which resulted in a 43 percent increase in gold production and by rising gold and silver prices. Adjusted EBITDA in 2010 grew 77 percent to $429 million from $242 million in 2009, driven by a 65 percent increase in revenues while adjusted EBITDA margin expanded from 43 percent to 46 percent, the company said.
Polymetal’s capital expenditure nearly doubled to $420 million in 2010 as the miner proceeded to implement several large-scale investment projects and expanded its exploration efforts.
Net debt rose 38 percent to $785 million as of the end of 2010, up from $569 million in 2009.
MOSCOW, April 28 (RIA Novosti)