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Noranda Income Fund Unit NNDIF

Noranda Income Fund is a Canadian based income trust. The fund owns the electrolytic zinc processing facility and ancillary assets located in Salaberry-de-Valleyfield, Quebec. It produces refined zinc metal and by-products from sourced zinc concentrates. The fund's long-term objective is to maximize unitholder value and provide monthly distributions to unitholders.


OTCPK:NNDIF - Post by User

Post by Scotch12on May 13, 2020 8:36pm
156 Views
Post# 31025249

earnings out

earnings outhttps://www.stockwatch.com/News/Item?bid=Z-C%3aNIF-2905628&symbol=NIF&region=C

First Quarter 2020 Highlights

  • At the outset of the COVID-19 pandemic, the Fund’s processing facility was recognized as an essential service due to its priority manufacturing activities and continued operations during the quarter. Numerous precautions to curb the spread of COVID19 and to protect the health of its workforce and contractors have been implemented onsite, in accordance with the directives of public health officials.
  • Earnings before income taxes were $11.5 million in Q1 2020 compared to a loss before income taxes of $23.1 million in Q1 2019.
  • Adjusted EBITDA1 was $17.2 million in Q1 2020 compared to Adjusted EBITDA of $(0.8) million in Q1 2019.
  • Zinc metal production increased 4% to 67,425 tonnes compared to 64,654 tonnes in Q1 2019.
  • Zinc metal sales increased 5% to a total of 68,059 tonnes, compared to 64,646 tonnes in Q1 2019.
  • Sulphuric acid sales increased to 97,880 tonnes in Q1 2020, compared to 90,929 tonnes in Q1 2019.
  • On March 12, 2020, the Fund reported the terms with Glencore Canada under which zinc concentrate will be purchased and zinc metal will be sold for the period of May 1, 2020 to April 30, 2021.
  • Subsequent to quarter-end, the Fund agreed to an amendment of its asset-based revolving credit facility (“ABL”) for a term to maturity of July 20, 2023 or February 1, 2022 if the Supply and Processing Agreement (“SPA”) with Glencore Canada is not renewed past May 1, 2022. The ABL limit remains at $180 million, with improved terms surrounding the borrowing base calculation.
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