Atlas Mining income down 17%

MANILA, Philippines — Lower production volumes and high costs weighed down the net earnings of Atlas Consolidated Mining and Development Corp. last year.

In a disclosure to the Philippine Stock Exchange yesterday, Atlas Mining ended 2022 with a consolidated net income of P3.22 billion, 17 percent percent lower than the P3.86 billion recorded in 2021.

Excluding non-recurring gains, the company registered a core loss of P894 million last year, a reversal from the core income of P3.28 billion a year earlier.

“The lower NIAT was mainly due to the unprecedented spikes in fuel and energy prices that resulted in higher operating and production costs, as well as lower production levels brought about by significant heavy rainfall volumes experienced by its wholly owned operating mine, Carmen Copper Corp. (CCC),” Atlas Mining said.

Cash costs rose by 38 percent to P12.39 billion from P8.95 billion a year earlier.

CCC recorded an eight percent decline in milling tonnage to 16.86 million tonnes from 18.26 million tons.

Copper metal produced decreased by 10 percent to 74.45 million pounds while gold produced went down by 11 percent to 22,339 ounces.

Despite the higher second half production, year-on-year copper metal production decreased to 82.41 million pounds from 107.09 million pounds in 2020 mainly due to the decrease in copper grades by 19 percent to 0.247 percent.

In terms of shipments, copper metal content of concentrate shipped declined by two percent to 141 million pounds and gold content decreased by eight percent to 21,117 ounces.

Copper metal price stood at $4.02 per pound, lower by six percent while gold price was steady at $1,804 per ounce.

Earnings before interest, tax, depreciation and amortization (EBITDA) was P5.4 billion for the year, 45 percent lower.

Atlast Mining said CCC was able to pay its $97.6 million loan obligations.