Kinross ups net earnings in Q1 2021, declares quarterly dividend
(Kitco News) - Kinross Gold (TSX: K, NYSE: KGC) today announced that the company produced 558,777 Au eq. oz. in Q1 2021, a 2% decline compared with 567,327 Au eq. oz. in Q1 2020. The company said that this slight decrease was primarily due to lower production at Tasiast and at Round Mountain, partially offset by higher production at Bald Mountain.
Kinross’ revenue increased 12% to $986.5 million in Q1 2021 compared with $879.8 million during Q1 2020. Free cash flow was $75.6 million in Q1 2021, compared with $108.2 million for Q1 2020 due to increases in income taxes paid and capital expenditures, partially offset by increased margins.
Adjusted net earnings increased 51% to $192.8 million, or $0.15 per share, for Q1 2021, compared with $127.4 million, or $0.10 per share, for Q1 2020. Reported net earnings increased 22% to $149.5 million, or $0.12 per share, for Q1 2021, compared with $122.7 million, or $0.10 per share, for Q1 2020, primarily due to the increase in operating earnings, partially offset by the increase in income tax expense.
Kinross has also announced that the company’s board has declared a dividend of US$0.03 per common share for the first quarter of 2021. The dividend is payable on June 17, 2021 to shareholders of record as of the close of business on June 3, 2021.
The company said it is on track to meet its 2021 production guidance of 2.4 million Au eq. oz. (+/- 5%). Production is expected to increase quarter-over-quarter in 2021, largely driven by anticipated higher production at Paracatu, and expected higher production in the fourth quarter at Tasiast.
Kinross is a Canadian-based senior gold mining company with mines and projects in the United States, Brazil, Russia, Mauritania, Chile and Ghana.