LONDON (Alliance News) - Rambler Metals & Mining PLC on Wednesday said it swung back into profit for its third quarter, from the loss seen in its second quarter, noting it managed to offset falls in the price of copper by ramping up production.
Rambler is a development, mining and exploration company with copper and gold projects in Newfoundland and Labrador, Canada.
For the quarter to end-April the company posted a pretax profit of CAD1.6 million, down from CAD1.9 million a year before, as revenue rose to CAD10.5 million, up from the CAD9.2 million a year earlier, but production and finance costs rose.
This was a stronger performance than in the second quarter when revenue came in at CAD8.3 million and the company posted a pretax loss of CAD2.5 million.
The revenue rise from both the previous period and year earlier came despite a fall in the average price of copper achieved, of CAD2.67 per metric tonnes, down from CAD2.89 per metric tonne in the second quarter and down from CAD3.36 per metric tonne the third quarter of a year earlier.
This was because it ramped up production in the three months to April, and production costs rose to CAD7.2 million from CAD6.3 million for the same period a year earlier, Rambler said.
During the quarter the company produced a total of 4,595 dry tonnes milled of copper concentrate, up from 3,770 dry metric tonnes milled in the previous quarter, and 4,080 dry metric tonnes in the third quarter a year earlier.
Rambler said it was on target to meet forecasted guidance for its full year.
"Revenue and operating profit is up compared to the previous quarter. With a continued focus on cost control and production success we look to finish the year with a strong financial and operational performance, despite continued weakness in the price of copper," President and Chief Executive Norman Williams said.
Shares in Rambler were up 3.7% at 3.50 pence on Wednesday.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
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