- Cameco (TSX:CCO) has reported its Q3 financial results for the quarter ended Sept. 30
- Highlights include the company increasing its consolidated revenue outlook for 2023 driven by higher prices resulting from an increase in uranium spot price
- Gross profits also improved for the company as its uranium average unit cost of sale decreased from last year
- Shares of Cameco are up 9.09 per cent to C$57.12 as of 12:06 pm ET
Cameco (TSX:CCO) stock jumped Tuesday after the uranium company reported 2023 financial results for the quarter ended Sept. 30 that featured an increased consolidated revenue outlook for the year.
In a news release, the company stated the increase comes as a result from higher prices thanks to an increase in the uranium spot price.
The company said its gross profits also improved as its uranium average unit cost of sale decreased from last year.
“The world’s desire for clean, secure and low-cost energy is creating a foundation of support for nuclear energy from across the public and political spectrum,” Tim Gitzel, CEO of Cameco, said in a statement. “This increase in support, coupled with the geopolitical uncertainty brought on by Russia’s invasion of Ukraine and a coup in Niger, has intensified supply concerns as future uranium supply and downstream processing is needed to balance the market.”
In terms of the company’s revenue, its adjusted net earnings totaled $137 million. The first three quarters of the year reflected the impact of higher sales volumes and average realized prices for both uranium and fuel services under the company’s long-term contract portfolio.
When it comes to uranium, the company delivered 2.2 million pounds at an average realized price of 13 per cent higher than the same quarter last year.
Fuel services sales were seven per cent higher than in the first nine months of 2022 at an average realized price of nine per cent higher.
Moving forward, the company said it has made commitments to deliver an average of 29 million pounds of uranium per year between 2023 and 2027, an increase from an average of 28 million pounds at the end of June.
Cameco’s total industry long-term contracting volumes so far in 2023 have also exceeded the volume of each of the last 10 years, the company said.
Cameco is one of the largest global providers of uranium.
Shares of Cameco are up 9.09 per cent to C$57.12 as of 12:06 pm ET.
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