Hecla Mining Earnings: Here’s Why the Stock is Rising Now

Hecla Mining Co. (NYSE:HL) had a loss and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 5.07%.

Hecla Mining Co. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased to $-0.03 in the quarter versus EPS of $0.02 in the year-earlier quarter.

Revenue: Rose 27.28% to $85.3 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Hecla Mining Co. reported adjusted EPS loss of $0.03 per share. By that measure, the company missed the mean analyst estimate of $0.01. It missed the average revenue estimate of $110.24 million.

Quoting Management: Dean McDonald, P.Geo., Senior Vice President – Exploration of Hecla Mining Company, who serves as a Qualified Person under National Instrument 43-101, supervised the preparation of the scientific and technical information concerning Hecla’s mineral projects in this news release. Information regarding data verification, surveys and investigations, quality assurance program and quality control measures and a summary of analytical or testing procedures for the Greens Creek Mine are contained in a technical report titled “Technical Report for the Greens Creek Mine” dated March 28, 2013, for the Lucky Friday Mine are contained in a technical report titled “Technical Report for the Lucky Friday Mine Shoshone County, Idaho, USA” dated March 28, 2013, for Casa Berardi are contained in a technical report titled “Technical Report on the mineral resource and mineral reserve estimate for Casa Berardi Mine, Northwestern Quebec, Canada” dated March 28, 2013 and in a technical report titled “Feasibility Study of the Hosco deposit – Joanna Gold project” dated June 5, 2012. Also included in these four technical reports is a description of the key assumptions, parameters and methods used to estimate mineral reserves and resources and a general discussion of the extent to which the estimates may be affected by any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant factors. Copies of these technical reports are available under Hecla and Aurizon’s profiles on SEDAR at www.sedar.com.

Key Stats (on next page)…

Revenue increased 11.58% from $76.45 million in the previous quarter. EPS decreased to $-0.03 in the quarter versus EPS of $0.01 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.09 to a loss $0. For the current year, the average estimate has moved down from a profit of $0.24 to a profit of $0.02 over the last ninety days.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

More Articles About:   , , ,  

More from The Cheat Sheet