Pan American Silver Q4 Profit Drops

(RTTNews) - Pan American Silver Corp. (PAAS, PAAS.TO) reported that its fourth quarter net earnings of 2021 dropped to $14.66 million or $0.07 per share from $169.02 million or $0.80 per share in the same quarter last year.

2021 net earnings included mark-to-market losses on short-term investments of $59.7 million, primarily for our interest in New Pacific Metals Corp. and an income tax expense of $146.4 million. The high effective tax rate primarily reflects a significant number of expenses in the year with no corresponding tax benefit, largely the Escobal care and maintenance expenditures and the non-cash investment losses related to New Pacific.

Adjusted earnings per basic share were $0.19 compared to $0.43 in the previous year.

Revenue declined to $422.17 million from $430.46 million in the prior year. Revenue in the latest quarter was impacted by timing of sales, with a 13.3 thousand ounce build in gold finished goods Inventory.

Pan American said that it has appointed Ignacio Couturier to succeed Rob Doyle, who is retiring as Chief Financial Officer of Pan American. Ignacio has been with Pan American for 20 years in progressively more senior roles, most recently as VP Finance. He will assume the position of CFO effective March 1, 2022, and will be based in our Head Office in Vancouver.