Vancouver-based gold mining giant Goldcorp (TSX:G) had a tough third quarter.
Before market open on October 24, the company announced third quarter net earnings of $5 million, down from $498 million in the same quarter in 2012.
Revenue also dropped to $929 million in the third quarter of 2013, down from $1.28 billion the previous year.
Volatile gold prices were a factor in the disappointing results, falling more than 21% in actual realized terms.
Goldcorp also suspended exploration activities in Argentina at its Cerro Negro site, citing permitting delays, “unsustainable” foreign exchange rates and “uncertain” provincial taxation demands as reasons for the halt.
The company’s production figures, however, improved in the third quarter. The company reported production of 637,100 ounces, up from 592,500 ounces over the same period last year.
Goldcorp is coming off a difficult 2013 second quarter as well, where it posted a loss of $2 billion due to a writedown at its Peñasquito property in Mexico. ñ
A budget and 2014 production forecast are currently being drafted by Goldcorp, which it expects to release in early January 2014.
