Financial Year end submitted Nice drill results and now good looking end of year 2011 numbers. Wonder what the shorts are thinking at this point.
Funny how Stockwatch likes to put their own spin on things with their doom and gloom headlines but looks to me like the company had a great year from what I'm reading...
SILVERMEX REPORTS POSITIVE FINANCIAL PERFORMANCE FOR THE YEAR 2011
Silvermex Resources Inc. has released results for the fiscal year ended Dec. 31, 2011. Overall financial performance improved throughout the reporting period, compared to that of the previous year, attributed to the Company's mining operations at La Guitarra achieving full capacity of mill throughput and, in turn, increased sales.
Highlights, which should be read in conjunction with the audited financial statements and management's discussion and analysis available on www.sedar.com, include:
Financial
- Generated net income of $3.1 million in Q4 2011, the first quarter of full capacity production from the La Guitarra mill.
- Sales for 2011 were $16.8 million from the sale of 359,188 ounces of silver and 3,959 ounces of gold.
- Metal held in inventory at 2011 year-end included 14,112 ounces of silver and 126 ounces of gold.
- Net loss improved to $3.9 million from $42.2 million in 2010.
- Adjusted net income improved to $5.2 million (non-GAAP) compared to adjusted losses of $3.4 million (non-GAAP) in 2010.
- A total of $9.6 million was spent on capital expenditures and exploration, $3.5 million of which was spent on mine development at the La Guitarra mine and $2.4 million on exploration of the Temascaltepec district.
- Cash costs for the year were $8.67 per ounce (non-GAAP) of silver net of by-products.
- Realized prices were $34.88 per ounce of silver and $1,594.78 per ounce of gold.
- Working capital on December 31, 2011 was $19.1 million.
Operations
- Silver production rose 192% to 437,953 oz and gold production increased by 260% to 4,293 ounces due to limited production in 2010.
- Silver-equivalent production increased by 213% to 678,361 oz (at a 56:1 silver: gold ratio with no base metals) from 216,602 oz in 2010.
- La Guitarra mine and plant output was optimized to its maximum rate of 320 tonnes per day (“tpd”).
- Mining fleet was updated and extensive mine and mill upgrades were completed.