GREY:VITFF - Post by User
Comment by
MVargason Mar 23, 2021 4:53pm
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Post# 32860342
RE:RE:RE:big volume
RE:RE:RE:big volume2020 Annual financials won't be great because of accumulated losses of $40 million through the first 9 months, $38 million of which were derivative losses due to call options.
Since the price of gold didn't change much from Sept. 30 to Dec. 31, there shouldn't be much in the way of additional derivative losses in Q4 so Q4 financials with decent production should be pretty good. However not good enough to overcome the accumulated $40 million through the first 9 months so the Canada Stockwatch NR headline will probably be Victoria lost $XX million in 2020.
The market may give much more weight to Q4 performance and profitability than the total 2020 financial performance. Call options remaining will be down to 45,000 oz at the end of this month which, at current gold prices, represents a liability of C$10.7 million.
With the strengthening of the Canadian dollar in Q1, combined with lower gold prices, 2021 Q1 financials should show significant derivative gains and lower debt costs in Canadian dollars.