Dallas, Texas 02/28/2014 (FINANCIALSTRENDS) – Agnico Eagle Mines Ltd (USA)(NYSE:AEM) has had a host of analyst firms and trading agencies downgrade the stock post its 4Q and full year 2013 earnings call on 13th February.
Commenting about the strong finish to reporting fiscal years operational results, Agnico Eagle Mines Ltd (USA)(NYSE:AEM) Sean Boyd who performs multiple roles in the firm like that of “Vice Chairman, Chief Executive Officer, President and Chief Executive Officer” has been quoted to have said that, “We could control our operational costs for the second consecutive year, we had a record production year, producing 1.1 million ounces of gold, which exceeded the guidance that was revised upwards in Q3 of 1.06 million ounces. We also exceeded and beat our cash costs and all-in sustaining cost guidance due to the strong performance from all of our operations.
The big surge in production was achieved mainly thanks to the huge jump in production from its Meadowbank mining property which produced a record 430,000 ounces of gold at cost of less than $800 per ounce. The mining property has also shown potential to sustain the firm’s production for the next three to four years, allowing the firm the flexibility to time its future mine expansions accordingly.
On the back of such strong increase in production the firm has provided an aggressive guidance for its 2014 1H operations. Agnico Eagle Mines Ltd (USA) (NYSE:AEM) also disclosed that it is all set to restart mining and production activity at its Goldex mining property. It has also disclosed that it would be commencing mining operations in India mine later this quarter, which when coupled with increase in production in its Meadow bank should help attain record production for the first half of the year.
In spite of the increased production, the firm has decided to pay out less dividend for the quarter at 8 cents as against the 22 cents it had paid out last fiscal.