Yamana Gold reports strong Q4 and FY 2020 results, declares dividend
(Kitco News) - Yamana Gold (TSX:YRI; NYSE:AUY; LSE:AUY) announced Thursday that its Q4 2020 net earnings were $103.0 million or $0.11 per share basic and diluted, compared to net earnings of $14.6 million or $0.02 per share basic and diluted a year earlier.
Fourth quarter cash flows from operating activities were $181.5 million and net free cash flow was $118.9 million, exceeding the averages of the preceding three quarters by 25% and 6%, respectively.
Yamana said that the company’s net debt decreased by an additional $53.4 million in the fourth quarter as a result of increased cash balances largely due the significant increase in free cash flow. For the full year, net debt fell by $323.4 million to $565.7 million.
During the fourth quarter, the company announced a further 50% increase to its annual dividend to $0.105 per share, driven by strong free cash flow generation. The company also declared a first quarter dividend of $0.02625 per share (annual $0.105 per share) and noted that shareholders of record at the close of business on March 31, 2021, will be entitled to receive payment of this dividend on April 14, 2021.
The company produced 901,155 GEO in 2020, including 779,810 ounces of gold and 10.37 million ounces of silver, which exceeded original guidance for the year of 890,000 GEO, and was within the plus or minus three per cent variance range of the company's revised guidance.
Yamana is a Canadian-based precious metals producer with significant gold and silver production, development stage properties, exploration properties, and land positions throughout the Americas, including Canada, Brazil, Chile and Argentina.