Precious metals miner Hochschild reported a rise in full-year core earnings on Wednesday as production bounced back and silver prices increased.
In the year to the end of December 2021, adjusted earnings before interest, tax, depreciation and amortisation grew 41% to $382.8m, as revenues rose 30% to $811.4m. Hochschild put this down a rebound in production following operational stoppages in 2020 due to the Covid-19 crisis.
The company also noted a 12% increase in the silver price. These effects were partially offset by higher production costs and lower gold prices, it said.
Chairman Eduardo Hochschild said: “We were once again able to deliver on our annual production and cost targets despite our stringent Covid protocols remaining in place throughout the year.
“In addition, precious metal prices remained strong, and with our business continuing to generate robust free cashflow and the additional liquidity provided by our increased loan, we are in a comfortable position to finance the construction of the Posse project over the next two years and advance Snip through the development phase.”