Canadian coal miner Forbes & Manhattan Coal Corp (FMC)‚ which has operations in South Africa‚ on Tuesday reported an 11% growth in consolidated EBITDA to C$2.72 million for the second quarter of fiscal 2013 from C$2.45 million in the first quarter.
This was achieved on the back of a 12% growth in revenue quarter on quarter of 12% from C$20.8 million to C$23.39 million.
The group’s gross profit for the quarter ended August amounted to C$2.35 million compared with C$1.81 million the previous quarter.
The group’s South African subsidiary Forbes Coal Dundee reported a stand alone EBITDA of C$3.34 million compared to C$3.15 million in the first quarter.
“I am again pleased to report that Forbes Coal continues to grow production‚ revenue‚ and profit. On the back of these strong set of results in a challenging coal market environment and with the recent announcement of the ZAC acquisition‚ we believe that the company is going from strength to strength in terms of both performance and achieving its growth strategy‚” commented Stephan Theron‚ President and Chief Executive Officer.
He added that strong operations continued to support the financial position of the company‚ with continued increased production at both Magdalena and Aviemore. At Aviemore in particular‚ production levels indicated record run of mine (ROM) and saleable tonnes.
Operational highlights include total sales of bituminous coal and anthracite products for Q2 2013 of 286‚185 tonnes‚ a 22% increase quarter-over-quarter.
Operating expenses were $18.3 million (C$63.95 per tonne) for Q2 2013‚ up from C$16.2 million (C$68.86 per tonne) in Q1 2013‚ a decrease of 7% on a per ton basis.
Total ROM production from all operations for Q2 2013 was 414‚551 tonnes‚ a 7% increase compared to 387‚075 tonnes produced in Q1 2013.
Total saleable coal production for Q2 2013 increased 5% quarter-over-quarter. In addition‚ Forbes Coal bought in 32‚946 tonnes in Q2 2013‚ compared to 21‚873 tonnes in Q1 2013‚ resulting in total saleable tonnes of 289‚529 in Q2 2013‚ a 9% increase compared to 266‚478 total saleable tonnes in Q1 2013. - I-Net Bridge