Nickel miner Panoramic Resources has reported a slump in net profit, after being hit by hedging losses, lower nickel production, the high dollar and an investment write-down.
The company posted a net profit of $22.3 million for the year to June 2011, compared with $56.2 million in 2009-10 and just $5.6 million in 2008-09.
Total revenue was $249.6 million, down from $287.8 million.
The company said that after two years of very strong hedging gains, it incurred a hedging loss of $13.8 million.
Its nickel production was down eight per cent, while its investment in Magma Metals was written down by $5.5 million.
The company said its balance sheet was in a very strong position, with cash and receivables of $126.4 million.
