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Eldorado Gold reports in-line quarterly earnings

Eldorado Gold Corporation (TSX: ELD) (NYSE: EGO) reported in-line second-quarter earnings Thursday, with higher gold sales volumes offsetting lower prices for the precious metal but net income down $0.01 per share from a year earlier.

Gold revenue grew 2% to $247.6 million on the year while gross profit from gold mining operations shrank 14% from a year earlier due to higher production costs and depreciation expense as a result of higher sales volumes, Eldorado said in a release.

Net income for the quarter came to $37.6 million, or $0.05 a share, down from $43.3 million, or $0.06 per share, in the second quarter of 2013, the Vancouver-based miner said.

Changes to its exploration program in response to lower gold prices reduced the company’s exploration expenses by $6.4 million year over year, with total cash cost per ounce up 2% on the year.

“The Company has finished the second quarter ahead of our expectations and the operations are now on track to deliver production at the high end of the initial full year range our teams had established,” said CEO Paul Wright.

Read the Unaudited Condensed Consolidated Financial Statements for the quarter ended June 30 here.