Dallas, Texas 02/05/2014 (FINANCIALSTRENDS) – Royal Gold, Inc USA) (NASDAQ:RGLD) generated net-income that is attributable to the company’s stockholders of $10.7M, or $0.16/ basic share, on the revenue of $52.8M for the 2014 Q2 in comparison to the net income of $27.2M, or $0.42/ basic share, on revenue of $79.9M for the second-quarter of fiscal 2013. The average price of gold was $1,276/ ounce in the second quarter, which was a drop of 26% from the previous year quarter. The company reported adjusted EBITDA1 of $0.70/ basic share or 86% of the revenue. The company had 1st revenue of $2.6M from its Mt. Milligan on the sale of 2,149 ounces. It had cash dividends of $13.0M, which represented a payout-ratio of 38% of the company’s operating cash-flow
Recently, the company acquired a 1.0% royalty on the southern-end of Goldrush deposit which belongs to Barrick Gold Corporation and is located in Nevada. The company also upped its ownership in the NVR1-royalty at Cortez and took it up from 0.39% to 1.01% outside the Crossroad Claims & from 0.00% up to 0.62% in the Crossroad Claims. The company’s credit facility was also expanded from $350M to $450M. The President and Chief Executive Officer of the company, Tony Jensen said that the company’s 2nd quarter results include certain new contributions from the Mt. Milligan property and much stronger production at the Peñasquito property.
He said that in early 2014, the company expanded its business in Nevada and also enhanced its flexibility by increasing their credit facility. These changes now bring Royal Gold, Inc USA) (NASDAQ:RGLD)’s available liquidity up to $1.1B and provides a solid platform for the future growth of the company’s businesses. The company’s Q2 revenue has affected by the 26% lower-average metal prices and a production volume that was 11% lower in comparison to the company’s interests in the same quarter of the previous year.