Hecla Mining Turns To Profit In Q3, Tops Estimates; Declares Dividend

(RTTNews) - Hecla Mining Co. (HL), a low-cost U.S. silver producer, reported Tuesday that its third-quarter net income applicable to common shareholders was $25.79 million or $0.07 per share. compared to a net loss of $9.89 million, or $0.03 per share a year ago.

On average, en analysts polled by Thomson Reuters expected earnings of $0.06 per share for the quarter. Analysts' estimates typically exclude special items.

Adjusted EBITDA, a key earnings metric, was $75.2 million, 323 percent higher than the prior year.

Sales of $179.4 million were 71 percent higher than last year's $104.94 million, mainly due to higher silver and gold production, as well as higher silver and gold prices. Analysts expected sales of $163.48 million.

Total silver production of 4.3 million ounces increased 67 percent from last year. Gold production of 52,126 ounces grew 19 percent. Silver equivalent production was 10.3 million ounces, up 17 percent.

The average realized silver price was $19.53 per ounce, 34 percent higher than last year. The average realized gold price was $1,341 per ounce, 20 percent higher than the prior year period.

Realized lead and zinc prices also increased by 10 percent, and 22 percent, respectively.

Further, the company said it has reduced estimate for 2016 cash cost, after by-product credits, per silver ounce to $4.00 and increased estimate for 2016 cash cost, after by-product credits, per gold ounce to $750.

The Board of Directors declared a quarterly cash dividend of $0.0025 per share of common stock, payable on or about December 2, to stockholders of record on November 21.

The Board also declared the regular quarterly dividend of $0.875 per share on the 157,816 outstanding shares of Series B Cumulative Convertible Preferred Stock.

In pre-Market activity, Hecla shares were gaining 1.21 percent to $6.70.