Fortuna Reports Record Q3 Revenue Despite Low Silver Price

Fortuna Silver Mines Inc. (TSX:FVI,NYSE:FSM) announced its consolidated financial results for the third quarter of 2014, commenting that it achieved record revenue of $46.4 million and net income of $7.8 million, or $0.06 per share.

Other highlights include:

• Cash flow from operations before changes in non-cash working capital of $17.8 million, 135% increase over Q3 2013
• Cash position, including short term investments, as at September 30, 2014 was $72.3 million, 20% increase over Q2 2014
• Silver and gold production of 1.8 million ounces and 9,751 ounces, 63% and 116% increase over Q3 2013
• San Jose Mine AISCC was $9.12, Caylloma Mine AISCC was $13.31; 47% and 23% decrease over Q3 2013
• Consolidated AISCC was $11.85 for the third quarter 2014 and $15.12 for the nine months ended September 30, 2014; 39% and 34% decrease over the same period

Jorge A. Ganoza, president and CEO of Fortuna, commented:

We have reported record revenue with strong operating and net margins and a growing year-over-year cash balance in spite of the challenging metal price environment. For the first nine months of the year, the consolidated all-in sustaining cash cost per ounce of silver was $15.12, 12% below annual guidance. We continue to find opportunities to increase productivity and cost reductions that will materialize over the coming quarters. At San Jose, trade-off and feasibility studies are being completed to expand the San Jose Mine to 3,000 tonnes per day by mid-2016; allowing for a targeted annual consolidated production rate of approximately 9 million ounces of silver and 50,000 ounces of gold.

Click here to read the full Fortuna Silver Mines Inc. (TSX:FVI,NYSE:FSM) press release.