Teck Resources Limited announced Q3 profit attributable to shareholders of USD 814 million or USD 1.38 per share an increase of 158% from USD 316 million or USD 0.54 per share in the Q3 of 2010.
Mr Don Lindsay president and CEO of Teck Resources said that “We had a very strong third quarter. We set new records for each of revenue, gross profit and cash flow and our cash balance has grown to USD 4.5 billion today. Our coal division accomplished an important milestone that clearly demonstrates the benefits of the capital we are investing. We reached a new record in the quarter for total material moved, a critical step towards achieving our production growth targets.”
Highlights and Significant Items;
1. Record revenue of USD 3.4 billion in the Q3 was up 40% from USD 2.4 billion in the same period a year ago.
2. Record gross profit before depreciation and amortization of USD 1.8 billion in the Q3 was 58% higher than USD 1.1 billion in the Q3 of 2010 primarily due to higher copper and steelmaking coal prices and increased sales volumes of copper and coal.
3. Record cash flow from operations of USD 1.4 billion in the Q3 was 79% higher than USD 771 million a year ago.
4. Quarterly profit attributable to shareholders was USD 814 million or USD 1.38 per share. Adjusted quarterly profit was USD 742 million or USD 1.26 per share compared with USD 452 million or USD 0.77 per share in the Q3 of 2010.
5. At October 26th 2011 our cash and short-term investments were USD 4.5 billion.
6. In our sales efforts to date, we have reached agreement with our coal customers to sell 5.6 million tonnes of coal in the Q4 at an approximate average price of USD 255 per tonne. We continue to discuss further sales with our customers.
7. As part of our expansion plans we moved a record amount of waste burden at our coal operations in the Q3 which was 11% higher than our previous record set in the Q2 of 2011 and 30% higher than our historic average since 2008.
8. Union employees at the Highland Valley Copper operation ratified a new 5 year labor agreement in mid October.
9. On October 26th 2011 we announced that we will pay an eligible dividend of USD 0.40 per share on our outstanding Class A common shares and Class B subordinate voting shares on January 3rd 2012 to shareholders of record at the close of business on December 15th 2011. This represents 33% increase from the previous dividend.
