Top Stories for Feb. 22, 2024:
1. Quarterly Results of Century Aluminum Company
Century Aluminum reported fourth-quarter net sales of $512.3 million, with a net income of $30 million ($0.30 per diluted share) and an adjusted net income of $40 million ($0.39 per share).
The quarter also saw an ending cash balance of $88.8 million and strong liquidity of $312.5 million. Additionally, the company received a significant $59.3 million credit from the Inflation Reduction Act.
For the full year, Century’s net sales reached $2.2 billion despite a net loss of $43.1 million ($0.47 per share). However, the company achieved an adjusted net income of $30.7 million ($0.33 per share).
In 2023, the company witnessed net cash from operating activities of $105.6 million, reinvestment in capital projects, debt reduction, the acquisition of a 55% stake in Jamalco, a new power agreement for Mt. Holly, and a five-year union labor contract for the Sebree smelter.
2. Gold Fields’ Financial Report
Gold Fields reported full-year 2023 financial results, meeting its original cost guidance despite inflation and operational challenges. The company achieved production at 2.244Moz (99.7% of the 2.250Moz – 2.300Moz target) and group all-in sustaining costs (AISC) at $1,295/oz, which was better than the forecasted $1,300/oz to $1,340/oz. All-in costs (AIC) were within the expected range at $1,512/oz.
Financially, favorable exchange rates and a strong gold price ($1,942/oz) led to steady normalized earnings of $900 million and free cash flow from operations of $1,002 million, maintaining dividends at R 7.45/share, in line with their policy.
Despite these financial achievements, the company reported three fatalities, underscoring a need for improved safety.
3. Coeur Mining, Inc.’s Performance Overview
Coeur Mining announced fourth-quarter and full-year 2023 financial results. A robust Q4 led to a 35% revenue increase and a more-than-doubling of adjusted EBITDA, driven by production boosts at Rochester, Kensington, and Wharf.
The company met its full-year gold and silver production guidance for 2023, with gold up 29% and silver up 34% quarter-over-quarter, totaling 317,671 ounces and 10.3 million ounces, respectively.
Rochester’s expansion is on track, expecting to triple throughput to 32 million tons annually by the first half of 2024, with a notable year-over-year production increase and significant cost reductions also anticipated. Wharf achieved a record annual free cash flow of $82 million, exceeding four times the initial investment since its 2015 acquisition.
At Silvertip, drilling in the Southern Silver Zone uncovered one of the highest-grade intercepts ever, marking a significant find in this expanding area.
4. Kaiser Aluminum Corporation’s Financial Results
Kaiser Aluminum Corporation reported fourth-quarter net sales of $722 million and net income of $8 million ($0.47 per diluted share). The adjusted net income stood at $10 million ($0.60 per diluted share) with adjusted EBITDA of $52 million (14.3% margin).
The Aerospace/High Strength sectors also achieved record net sales and conversion revenue during this period. For the full year, net sales reached $3.1 billion. The company reported net income of $47 million ($2.92 per diluted share) and adjusted net income of $44 million ($2.74 per diluted share).
Adjusted EBITDA was $210 million (14.3% margin), and strong liquidity was maintained with $599 million as of Dec. 31, 2023.
