EURO Ressources reports earnings for the third quarter and nine months ended September 30, 2018 - Seite 2

Under IFRS, EURO reported a net profit of €3.2 million (€0.052 per share) for the third quarter of 2018 compared to €4.3 million (€0.069 per share) for the third quarter of 2017.

Revenues were €5.4 million during the third quarter of 2018, lower compared to revenues of €6.4 million for the third quarter of 2017.  Revenues were mainly attributable to the Rosebel royalty of €5.3 million (third quarter of 2017: €6.3 million).  The decrease in revenues was due to the combination of two items: lower gold production of 70,803 ounces in the third quarter of 2018 compared to 78,951 ounces in the third quarter of 2017 (€0.6 million), and the impact of a lower average gold price in the third quarter of 2018 of US$1,213 per ounce of gold compared to US$1,278 per ounce of gold in the third quarter of 2017 (€0.4 million).  Royalties from third parties in French Guiana were €0.11 million during the third quarter of 2018 (third quarter of 2017: €0.15 million).

During the third quarter of 2018, the Company recorded operating expenses of €0.09 million compared to €0.12 million during the same period in 2017.  The decrease is mainly explained by lower administrative costs and other fees in 2018.

The amortization expense of €0.12 million during the third quarter of 2018 was lower than the amortization expense of €0.13 million recorded during the third quarter of 2017, mainly due to lower production.

EURO recorded an income tax expense of €2.0 million in the third quarter of 2018 compared to €1.9 million in the third quarter of 2017.  The increase was mainly due to translation adjustments.

Nine months ended September 30, 2018 compared to the same period in 2017 (IFRS)

Under IFRS, EURO reported a net profit of €10.9 million (€0.175 per share) for the nine months ended September 30, 2018 compared to €12.6 million (€0.201 per share) for the nine months ended September 30, 2017.

During the nine months ended September 30, 2018, EURO accounted for revenues of €17.0 million, a decrease compared to revenues of €19.4 million for the same period in 2017.  Revenues were mainly attributable to the Rosebel royalty of €16.7 million (nine months ended September 30, 2017: €19.1 million).  The decrease in revenues was due to the combination of three items: the impact of lower gold production of 213,174 ounces in the first nine months of 2018 compared to 234,523 ounces in the first nine months of 2017 (€1.7 million), and of a stronger euro (€1.3 million), partially offset by the impact of a higher average gold price in the first nine months of 2018 of US$1,283 per ounce of gold compared to US$1,251 per ounce of gold in the first nine months of 2017 (€0.6 million).  Royalties from third parties in French Guiana were €0.26 million during the first nine months of 2018 (first nine months of 2017: €0.30 million).