Acquisitive gold miner Focus Minerals has announced a net profit of $7.6 million, down on the previous year’s $10.6 million due to an increase in costs of production and an uptick in mine development expenditure, despite raking in a record annual revenue.
Focus announced to the market late Friday that its revenue was up 39 per cent over FY2011 to $102.8 million, while gold production was up by 17 per cent.
It was a busy year for the Perth-based gold miner, which commenced production at its Tindals and The Mount operations and acquired Crescent Gold, significantly increasing its scale of operations.
“FY11 was a transformational year for Focus Minerals,” chief executive Campbell Baird said.
“We will now go about capitalising on our production capability after establishing a very solid platform for growth.
“At the start of FY11 we had just one operating mine; by the end of FY11 we had three mines with production commencing at the The Mount underground and the Tindals open pit operations.
“With the recent addition of Crescent’s Laverton Gold Project open pit operations, we now have four operating gold mines.”
Mr Baird said following the acquisition of Crescent, Focus held a combined JORC resource base of 4.4 million ounces of gold and is targeting production of 200,000 ounces over calendar 2012.
At 10:00AM (WST) Focus stocks had gained 1.6 per cent, to trade at 6.2 cents.