TSX:AEM - Post Discussion
Post by
retiredcf on Apr 26, 2024 9:01am
RBC
April 25, 2024
Agnico Eagle Mines Limited
1Q23 results; first impressions slightly positive
Sentiment: Positive
Our view: Slightly positive. Operating results were ahead of expectations (production +2% vs. cons, AISC -3% cons), supported by upside at Malartic (open pit grade and throughput upside), and partially offset by Detour (low grade sequencing, lower recoveries). AISC also benefited from lighter capital spending, which AEM guided to increase over the balance of the year. Higher production and sales primarily supported better FCF of $396m (RBCe and cons $300m), while earnings of $0.76 (RBCe $0.67, cons $0.61) were supported by lower depreciation. AEM reiterated annual guidance, project updates were largely in line, and Odyssey exploration continued to demonstrate meaningful potential resource upside. AEM reiterated targets for a Detour Lake update in 2Q evaluating underground mining and mill optimization, and revised its Abitibi regional update to include an Upper Beaver processing trade-off analysis at mid-year (vs. previously a Wasamac and Upper Beaver update in 1H).
Conference call: Friday, April 26, 8:30 am ET, Dial in: +1-(888) 664-6392
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