Connect with us

Hi, what are you looking for?


Mining stock Hochschild ended 11% down today: explained here

Hochschild Mining Plc (LON: HOC) ended more than 10% down on Thursday after reporting a massive hit to its 2022 profit before tax due to lower production.

Hochschild stock down on production outlook

Investors also punished the U.K. stock because the mining company said weakness in terms of production will continue this year as well.

Hochschild expects to produce 301,000 to 314,000 gold equivalent ounces in 2023 at an all-in sustaining cost of $1,370 to $1,450 per gold equivalent ounce.

In comparison, it produced 358,826 gold equivalent ounces in the recent year at an all-in sustaining cost of $1,364 per gold equivalent ounce. Production was already down and cost was up in 2022 versus the prior year.

Year-to-date, Hochschild stock is still up roughly 8.0% at writing.

Hochschild had expected lower production

Lower production, however, did not come as a surprise. Hochschild had expected “scheduled grade reductions at Inmaculada and Pallancata” to weigh on production in 2022.

For the full year, the metals mining company reported $24.3 million of pre-tax profit excluding exceptional items – a sharp decline from $148.7 million in 2021. Revenue also slipped 9.0% to $735.6 million. In the press release, CEO Ignacio Bustamante said:

We’ve recently taken advantage of precious metal price strength to hedge a total of 29,250 ounces of gold at a forward price of $2,047 per ounce to realise cashflow certainty for the remainder of the year.

Hochschild stock currently pays a dividend yield of 4.44%.

The post Mining stock Hochschild ended 11% down today: explained here appeared first on Invezz.

    You May Also Like


    On the surface, index and stock options are very similar. Still, there are some differences that traders should be aware of. Understanding these differences...

    Latest News

    The FBI was not forthcoming with the Trump, Biden and Pence classified documents during a House Intelligence Committee briefing last week, and lawmakers still...

    Editor's Pick

    iBASIS and Sequans have been selected by Actility to meet its delivery schedule for eSIM and iSIM iBASIS and Sequans now considered frontrunners in...


    American Airlines is getting rid of its traditional frequent flyer award chart as the carrier moves toward dynamic pricing for mileage redemptions, the latest shift in its lucrative AAdvantage...

    Disclaimer:, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024