Benguet Corp swings to net loss in 9 months

MANILA, Philippines — Listed miner Benguet Corp. incurred a net loss of P123.4 million in the first nine months of the year, a reversal from the P1.1 million income in 2017, on lower revenues and production.

In a disclosure to the local bourse, the company said net loss for the January to September 2018 period totalled to P123.4 million as revenues went down to P834 million.

The company shipped an aggregate volume of 218,635 metric tons (MT) of nickel ore, 33 percent lower than the 326,710 million MT shipped in 2017.

Total shipments decreased to four boatloads from six last year which was exacerbated by the decline in nickel ore prices to $20.50 per MT from $21.50 per MT in the comparative period.

The company said the continuous rains and typhoon that hit Benguet province affected gold output of the Acupan Gold Project.

AGP milled 33,943 MT, 14 percent lower than last year, which resulted in lower gold sales of 6,986 ounces versus 8,121 ounces in 2017.

Meanwhile, cost and operating expenses decreased eight percent to P928 million due to lower sales during the period.

The company expects improvement in its cash flow as it banks on better gold production and steady global market prices.

Aside from producing and marketing gold, nickel laterite ore, limestone, the company also provides logistics, port and shipping services, healthcare services, sells industrial equipment and supplies, and develops water resources and real estate projects.