First Majestic Silver reports Q4 loss

First Majestic Silver (NYSE:AG) said a non-cash impairment charge and recently enacted Mexican Tax Reforms resulted in a net loss of $81.2 million in Q4 2013.

The Mexican-focused miner reported its Q4 and year end results for 2013 on Wednesday.

The company was off 3.77% to $11.24 at today's close in a generally down day for miners.

The company highlighted the following:

  • Silver equivalent production of 3.4 million ounces in Q4 2013, representing a 33% increase from Q4 2012; Full-year silver equivalent production of 12.8 million ounces, representing a 40% increase compared to 2012.
  • Silver production of 2.7 million ounces in Q4 2013, representing a 19% increase from Q4 2012; Full-year silver production of 10.6 million ounces, representing a 29% increase compared to 2012.
  • Achieved "Senior Silver Producer" status by exceeding the production threshold of 10 million ounces of pure silver.
  • Revenues after smelting and refining costs amounted to $59.0 million in Q4 2013; Full-year revenues were $251.3 million representing a 2% increase compared to 2012 despite a 26% decline in average realized silver price.
  • Adjusted net earnings (non-GAAP) normalized for non-cash or unusual items was $6.3 million or $0.05 per share in Q4 2013; Full-year adjusted net earnings was $65.1 million or $0.56 per share in 2013.
  • Reported net loss of $81.2 million in Q4 2013 after a non-cash impairment charge of $28.8 million and a deferred tax accounting adjustment of $38.8 million as a result of the recently enacted Mexican Tax Reforms.
  • Cash flow of $0.17 per share (non-GAAP) in Q4 2013; Full-year cash flow per share of $1.17 in 2013.
  • Total cash cost of $9.66 per payable silver ounce in Q4 2013; Full-year cash cost of $9.35 per payable silver ounce.
  • Successfully completed three separate expansion projects in 2013 ensuring future production growth plans remain intact.