Centerra swings back into profit

Centerra Gold (TSX: CG) posted a profit in the second quarter, amid a sea of red for gold miners hurt by lower commodity prices.

Quarterly earnings were US$21.9 million, or US9¢ per share, compared to a net loss of US$31.7 million, or US13¢ per share, a year ago. Analysts on average had estimated a net loss of US3¢ per share.

Revenue grew 23% to US$146.8 million.

The better than expected performance resulted from Centerra selling 32% more gold ounces than a year ago, and lower operating costs. This helped offset the 7% year-over-year drop in average realized gold prices of US$1,192 per oz.

Quarterly production from Centerra’s two gold mines – Kumtor in the Kyrgyz Republic and Boroo in Mongolia – grew 36% to 125,088 oz of gold.

Read the complete article at NorthernMiner.com/news/centerra