(Alliance News) - Highland Gold Mining Ltd on Wednesday posted a double-digit earnings rise
and added that it has benefitted from higher gold prices and a weaker rouble in the wake of the Covid-19 outbreak.
In 2019, revenue climbed 27% to USD395.4 million from USD311.2 million, with pretax profit up 47% to USD158.7 million from USD108.2 million.
The Russia-focused gold miner reported on its annual production back in January.
For the whole of 2019, output came in at 300,704 ounces of gold equivalent, a 12% annual rise from 269,500 ounces and slightly above Highland's production guidance range of 290,000 ounces and 300,000 ounces.
All-in sustaining costs rose by 16% to USD791 per ounce, partly due to the impairments at its Belaya Gora and Valunisty projects.
Highland edged its dividend 0.7% higher to GBP0.153 per share from GBP0.134.
"As we move forward in 2020, the Covid-19 pandemic is clearly an unpredictable factor that all businesses must take into account. At Highland Gold, we are taking the utmost precautions to protect the health of our employees and the small, remote communities in which we operate. Fortunately, we have not experienced any significant disruptions to our production or sales to date," the company said.
"Impacts to date have benefited the group's cash flows through higher gold prices and a weaker rouble."
Shares in the company were 5.7% lower at 232.20 pence each in London on Wednesday morning.
By Eric Cunha; ericcunha@alliancenews.com
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