IAMGOLD (TSX: T.IMG, Stock Forum) late Tuesday reported a 56% jump in third-quarter earnings to $78 million, or 21 cents per share, from $50 million, or 13 cents per share, during the same period last year, this according to a company news release. The gold miner attributed the increase mainly to one-time items, including higher derivative gains on commodity and foreign exchange contracts, lower income taxes and lower foreign exchange losses.
Revenue for the quarter fell 10% to $386.8 million from $431.9 million due to lower gold sales and higher exploration expenses.
The company added that total cash costs rose 5% to $710 per ounce as a result of lower grades.
"We are performing well at the mines we own and operate. Year-to-date production and cash costs at these operations, which account for 85% of our production, are on target. In contrast, the performance of the mines not operated by us was disappointing and places us at the lower end of our production guidance. This clearly demonstrates the benefits of re-positioning our company to better leverage our expertise as operators. With gold production commencing at our Westwood project in the first quarter of next year, a pre-feasibility study at Côté Gold underway and expansion projects in West Africa, South America and Canada, we expect to nearly double production within five years," said IAMGOLD President and CEO Steve Letwin.