Atlas posts 139% profit growth

Atlas Consolidated Mining & Development Corp. reported a 139 percent surge in its net income for the first quarter of 2013 as reduced costs offset the negative impact of the slight decline in copper prices on the company’s bottom line.

During a stockholders’ briefing on Wednesday, Atlas executive vice president Adrian Ramos said the company posted a net income of P569 million in the first quarter, up from P238 million a year ago.

The significant increase in net income was attributed mainly to the 11 percent reduction in operating and financing costs to P2.786 billion from P3.137 billion in the first quarter of 2012.

Core income improved by 92 percent to P504 million from P263 million a year ago. Earnings before interest, taxes, depreciation and amortization (Ebitda) likewise posted an increase of 28 percent to P1.286 billion from P1.008 billion.

Atlas disclosed to the Philippine Stock Exchange that its wholly owned subsidiary, Carmen Copper Corp., shipped 19.9 million pounds of copper metal in concentrate in January to March this year, almost the same as the year-ago level.

Consolidated revenue dipped slightly to P3.291 billion from P3.4 billion as a result of the lower copper prices in the first quarter of the year. Production of copper metal in concentrate was slightly lower in the first quarter of 2013 at 20.8 million pounds compared to 21.7 million pounds during the same period last year. This was due to the mandatory maintenance work on one of the ball mills in Carmen Copper’s processing plant. The plant has seven ball mills that are the main drivers of throughput.

The maintenance work (required once in about 20 years of equipment use) was conducted and completed within February. Production in the month of March reached a new high of 8 million pounds of gross copper metal in concentrate.

Last year, Atlas Mining embarked on an expansion project for Carmen Copper that would increase its copper concentrate production capacity of 40,000 tons per day to 60,000. The project is expected to be completed within the second half of 2013, one year ahead of the original schedule.

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