African Barrick Gold (LON:ABG) - Forecasting change
Jan 21st 2013 - Edison Investment Research today published a report on African Barrick Gold (ABG.L, LSE:ABG, LON:ABG) entitled "Forecasting Change". In summary, the report says:
African Barrick Gold’s Q412 production results demonstrated a 9.3% quarter-on-quarter increase in gold production, compared to Q3, driven by a 12.3% increase in average grades and a 9.3% increase in mill throughput. Compared to Edison’s prior expectations, production was 2.6% lower. However, there was a 21,099oz shortfall in gold sold compared to gold produced (owing to timing issues), which cost the company an estimated US$35.9m of FY12 revenues. The shortfall will be made up in Q113, but we have revised down earnings expectations for Q412 and FY12 by 47.2% and 20.7% respectively. By contrast, Q113 will benefit by an estimated 6.6c per share. Without the shortfall, Edison’s downgrade would have been a mere 1.8c per share.
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