Earnings Results to Track: B2Gold Corp. (NYSE: BTG)

Jorge Malinowski

I am Jorge Malinowski and I’m passionate about business and finance news with over 4 years in the industry starting as a writer working my way up into senior positions.

I am the driving force behind Seeking Review with a vision to broaden the company’s readership throughout 2016. I am an editor and reporter of “Basic Materials” category.

Address: 4316 Victoria Street, Baton Rouge, LA 70806, USA
Phone: (+1) 225-263-7957
Email: jorge.malinowski@seekingreview.com
Jorge Malinowski

VANCOUVER, British Columbia, August 10, 2019 – Shares of B2Gold Corp. (NYSE: BTG) showed the bearish trend with a lower momentum of -2.91% to $3.67. The company traded total volume of 9.547M shares as contrast to its average volume of 5.60M shares. The company has a market value of $3.70B and about 1.01B shares outstanding.

B2Gold Corp. (BTG) reported first-quarter earnings of $22.30M. On a per-share basis, the Vancouver, British Columbia-based company said it had net income of 2 cents. Earnings, adjusted for non-recurring costs, came to 4 cents per share. The results matched Wall Street expectations. The average estimate of five analysts surveyed by Zacks Investment Research was also for earnings of 4 cents per share.

2019 First Quarter Financial Results:

Consolidated gold revenue in the first quarter of 2019 was $302.0M on sales of 232,076 ounces at an average price of $1,300 per ounce contrast to $344.0M on sales of 259,837 ounces at an average price of $1,325 per ounce in the first quarter of 2018. Gold sales of 232,076 ounces in the first quarter of 2019 were 6% (13,564 ounces) above budget. Contrast to the prior-year quarter, the decrease in revenue related mainly to the timing of gold shipments (as the prior-year quarter benefitted from additional sales of 20,153 ounces generated from the net drawdown of opening January 1, 2018 gold inventories, built-up in late 2017 in part as a result of Fekola ramping up to full steady state production).

Cash flow offered by operating activities was $86.0M ($0.09 per share) in the first quarter of 2019 contrast to $147.0M ($0.15 per share) in the first quarter of 2018. The decrease mainly reflects lower gold revenue as the comparative quarter benefitted from the sale of its opening gold inventories. For full-year 2019, if a gold price assumption of $1,300 per ounce is used, the Company anticipates to generate cash flows from operations of about $400.0M for the year.

For the first quarter of 2019, the Company generated net income of $27.0M ($0.02 per share) contrast to net income of $57.0M ($0.06 per share) in the first quarter of 2018. Adjusted net income for the first quarter of 2019 was $38.0M ($0.04 per share) contrast to adjusted net income of $57.0M ($0.06 per share) in the first quarter of 2018.

Liquidity and Capital Resources:

At March 31, 2019, the Company had cash and cash equivalents of $142.0M contrast to cash and cash equivalents of $103.0M at December 31, 2018. Working capital at March 31, 2019 was $206.0M contrast to $156.0M at December 31, 2018.

At March 31, 2019, the Company had drawn $400.0M under the $500.0M RCF, leaving an undrawn and available balance under the existing facility of $100.0M. In May 2019, the Company received commitments from its existing syndicate of banks plus one new lender, to upsize its RCF capacity from $500.0M to $600.0M and to increase the accordion feature from $100.0M to $200.0M. In addition, as a reflection of B2Gold’s financial strength, the upsized RCF is expected to include increased flexibility for permitted borrowings and equipment financings, coupled with less onerous financial covenants and lower pricing. The upsized RCF is expected to close by mid-May 2019 and will be for a term of four years to mid-2023. Final closing of the facility and the availability of funds under it remains subject to completion of customary closing conditions. The upsized RCF, coupled with strong operating cash flows from the Company’s existing mine operations, is expected to provide the Company with continued financial flexibility to advance existing assets and pursue exploration opportunities.

The stock, as of recent close, has shown the weekly upbeat performance of 11.89% which was maintained at 25.68% in this year.

Jorge Malinowski

Jorge Malinowski

I am Jorge Malinowski and I’m passionate about business and finance news with over 4 years in the industry starting as a writer working my way up into senior positions. I am the driving force behind Seeking Review with a vision to broaden the company’s readership throughout 2016. I am an editor and reporter of “Basic Materials” category. Address: 4316 Victoria Street, Baton Rouge, LA 70806, USA Phone: (+1) 225-263-7957 Email: jorge.malinowski@seekingreview.com