Silver Wheaton Records Higher Silver Equivalent Production, Lower Revenue in Q1

Silver Wheaton Corp. (TSX:SLW,NYSE:SLW) announced yesterday its unaudited results for the first quarter of 2014, commenting that its attributable silver equivalent production came to 9 million ounces, up from 8.3 million ounces in the year-ago quarter.

The company recorded revenue of $165.4 million, lower than the $205.8 million it brought in during Q1 2013.

Other highlights include:

• Attributable silver equivalent sales volume in Q1 2014 of 8.1 million ounces (6.2 million ounces of silver and 30,100 ounces of gold), compared to 6.9 million ounces in Q1 2013, representing an increase of 17%.
• Average realized sale price per silver equivalent ounce sold in Q1 2014 of $20.38 ($20.36 per ounce of silver and$1,283 per ounce of gold), representing a decrease of 31% as compared to Q1 2013.
• Net earnings of $79.8 million ($0.22 per share) in Q1 2014 compared with $133.4 million ($0.38 per share) in Q1 2013, representing a decrease of 40%.
• Operating cash flows of $114.8 million ($0.32 per share¹) in Q1 2014 compared with $165.6 million ($0.47 per share¹) in Q1 2013, representing a decrease of 31%.
• Cash operating margin¹ Q1 2014 of $15.81 per silver equivalent ounce compared with $25.33 in Q1 2013.
• Average cash costs¹ in Q1 2014 were $4.12 and $381 per ounce of silver and gold, respectively. On a silver equivalent basis, average cash costs¹ rose to $4.57 compared with $4.39 in Q1 2013.
• Declared quarterly dividend of $0.07 per common share. On March 20, 2014, the Company announced that it will be implementing a dividend reinvestment plan whereby shareholders can elect to have dividends reinvested directly into additional Silver Wheaton common shares.  The plan will be effective commencing with this quarter’s dividend, which will be distributed on or about May 30, 2014.
• On March 26, 2014, the Company paid $125 million to Hudbay Minerals Inc. (‘Hudbay’) in satisfaction of the final upfront payment relative to the silver stream on the Constancia project.

Click here to read the full Silver Wheaton Corp. (TSX:SLW) press release.