Pan American Silver generates record operating cash flow, announces dividend
(Kitco News) - Pan American Silver (NASDAQ: PAAS) (TSX: PAAS) today reported record revenue of $430.5 million in Q4 2020 and $1.3 billion for FY 2020, as well as record net cash generated from operating activities of $170.6 million in Q4 2020 and $462.3 million for FY 2020.
The company said that the rise in realized precious metal prices over 2020 helped mitigate the impact of COVID-19 related mine suspensions and throughput reductions on quantities of metal sold.
Net earnings were $169.0 million ($0.80 basic earnings per share) and $176.5 million ($0.85 basic earnings per share) in Q4 2020 and FY 2020, respectively.
The company’s Board has approved a cash dividend of $0.07 per common share, or approximately $14.7 million in aggregate cash dividends, payable on or about March 11, 2021, to holders of record of Pan American's common shares as of the close on March 1, 2021.
"Pan American delivered strong financial performance in 2020, generating a record $462.3 million in operating cash flow, which enabled us to fully repay all bank debt, double our quarterly dividend to shareholders, and grow our cash balance at year end," commented President and CEO Michael Steinmann.
Pan American owns and operates silver and gold mines located in Mexico, Peru, Canada, Argentina and Bolivia. The company is the world's second largest primary silver producer with the largest silver reserve base globally.