Despite a high production output, Apex Mining Co., Inc. posted a 53 percent slip on its 2018 net income or P 257 million.
In a press release posted in the stock exchange, it was revealed that Apex Mining is no longer benefitting from a tax shield from previous years’ carry over losses which it had until 2017. Full application of the company’s income tax for 2018 is worth P 149 million versus the tax credit of P 9 million in 2017.
Apex Mining’s 53 percent decline in net income is mirrored in its parent company’s net income decline of 40 percent to P 332 million in 2018 from P 503 million in 2017.
The mining firm reported that its Maco Mine located in Compostella Valley reached its highest annual level of metal production last year with gold production of 70,564 ounces, surpassing the previous record of 60,185 ounces in 2017 by 17 percent.
Maco Mine’s silver production for 2018 was also on its all-time high having 328,797 ounces, an increase of four percent, compared to 315,525 ounces in 2017.
Gold was relatively on the lower side of price rates in 2018, falling by 9.4 percent at $1,260 per ounce. Silver share the same story priced at $15.49 from $17.10.
Better sales last year resulted in Apex Mining’s revenue to increase by 13 percent to P 4.7 billion compared to 2017’s P 4.1 billion.
“We are pleased to report that these accomplishments of the Company were made possible by the continued collective efforts in the implementation of cost savings initiatives and productivity efficiency in our Maco operations,” said Walter W. Brown, President and CEO in Apex Mining’s year-end press release.
Meanwhile, the Sangilo Mine rehabilitation is still in progress at Apex Mining’s wholly owned subsidiary Itogon-Suyoc Resources Inc. with a long-term program in five years’ time of installing a 1,900 metric-ton per day capacity.
