Agnico’s Meadowbank complex in the Kivalliq region of west-central Nunavut. Credit: Agnico Eagle Mines.
Agnico Eagle Mines (TSX, NYSE: AEM) shares rose after the Canadian miner reported record quarterly profit and free cash flow on the strength of rising gold prices.
Adjusted net income for the second quarter jumped 82% to a record $976 million, or $1.94 a share, topping analyst expectations. Free cash flow more than doubled to $1.31 billion, or $2.60 a share, Toronto-based Agnico said Wednesday after the close of stock market trading.
The company’s operating margin – which is calculated by deducting production costs from mining operations revenue – jumped 55% to a record $2.03 billion.
“The better financial results are mainly due to stronger operating results,” Scotia Capital mining analyst Tanya Jakusconek said in a note.
Cost control
Agnico “continues to demonstrate strong…
