SAM:CC - Starcore Reports Q3 Results

March, 17 2022 06:20 PM Starcore International Mines Ltd.

Vancouver, British Columbia--(Newsfile Corp. - March 17, 2022) - Starcore International Mines Ltd. (TSX: SAM) ("Starcore" or the "Company") has filed the results for the third quarter ended January 31, 2022 for the Company and its mining operations in Queretaro, Mexico. The full version of the Company's Financial Statements and Management's Discussion and Analysis can be viewed on the Company's website at www.starcore.com, or SEDAR at www.sedar.com. All financial information is prepared in accordance with IFRS and all dollar amounts are expressed in thousands of Canadian dollars unless otherwise indicated.

"As reported last month, exploration is continuing at the mine and we are achieving positive results," reported Robert Eadie, CEO of the Company.

Financial Highlights for the three-month period ended January 31, 2022 (unaudited):

Cash and short-term investments on hand is $5.5 million at January 31, 2022;
Gold and silver sales of $5.4 million;
Earnings from mining operations of $0.4 million;
Loss of $0.4 million, or ($0.01) per share;
EBITDA⁽¹⁾ of $3.2 million for the nine month period ended January 31, 2022.

The following table contains selected highlights from the Company's unaudited consolidated statement of operations for the three and nine months ended January 31, 2022 and 2021:

(in thousands of Canadian dollars) (Unaudited)

Three Months ended January 31,


Nine Months ended January 31,



2022


2021


2022


2021

Revenues
$
5,387

$
6,614

$
18,220

$
21,676

Cost of Sales

(4,967
)

(5,378
)

(14,870
)

(15,289
)
Earnings from mining operations

420


1,236


3,350


6,387

Administrative expenses, interest and foreign exchange

(880
)

(703
)

(2,630
)

(2,883
)
Unrealized loss on investment

(41
)

-


(246
)

-

Loss on sale of Toiyabe

(1
)

-


(40
)

-

Income tax - deferred (expense) recovery

111


118


(208
)

263

Net income (Loss)
$
(391
)
$
651

$
226

$
3,767

(i) Income (Loss) per share - basic
$
(0.01
)
$
0.01

$
0.00

$
0.08

(ii) Income (Loss) per share - diluted
$
(0.01
)
$
0.01

$
0.00

$
0.08

Reconciliation of Net income to EBITDA⁽¹⁾




For the nine months ended January 31,

2022


2021

Net income (loss)
$
226

$
3,767

Loss on sale of exploration property

40


-

Unrealized loss on investment

246


-

Income tax expense (recovery)

208


(263
)
Interest

-


24

Depreciation and depletion

2,515


2,942

EBITDA
$
3,235

$
6,470

EBITDA MARGIN⁽²⁾

17.8%


29.8%

(1) EBITDA ("Earnings before Interest, Taxes, Depreciation and Amortization") is a non-GAAP financial performance measure with no standard definition under IFRS. It is therefore possible that this measure could not be comparable with a similar measure of another Corporation. The Corporation uses this non-GAAP measure which can also be helpful to investors as it provides a result which can be compared with the Corporation's market share price.

(2) EBITDA MARGIN is a measurement of a company's operating profitability calculated as EBITDA divided by total revenue. EBITDA MARGIN is a non-GAAP financial performance measure with no standard definition under IFRS. It is therefore possible that this measure could not be comparable with a similar measure of another Corporation. The Corporation uses this non-GAAP measure which can also be helpful to investors as it provides a result which can be compared with the Corporation's market share price.

Production Highlights for the three month period ended January 31, 2022:

Equivalent gold production of 2,588 ounces;
Mine operating cash cost of US$1,328/EqOz;
All-in sustaining costs of US$1,623/EqOz for the nine months ended January 31, 2022.

The following table is a summary of mine production statistics for the San Martin mine for the three and nine months ended January 31, 2022 and for the previous year ended April 30, 2021:



Actual Results for

Unit of measure
3 months ended January 31, 2022
9 months ended January 31, 2022
12 months ended April 30, 2021
Mine Production of Gold in Dore
thousand ounces
2.4
7.4
10.5
Mine Production of Silver in Dore
thousand ounces
17.8
60.1
103.4
Gold equivalent ounces
thousand ounces
2.6
8.3
11.8





Silver to Gold equivalency ratio

77.9
73.8
78.3
Mine Gold grade
grams/tonne
1.46
1.55
1.63
Mine Silver grade
grams/tonne
21.1
21.6
24.7
Mine Gold recovery
percent
88.1%
88.1%
88.4%
Mine Silver recovery
percent
45.8%
51.0%
57.0%
Milled
thousands of tonnes
56.7
169.1
225.5
Mine operating cash cost per tonne milled
US dollars/tonne
61
61
55
Mine operating cash cost per equivalent ounce
US dollars/ounce
1,328
1,240
1,056

Salvador Garcia, P. Eng., a director of the Company and Chief Operating Officer, is the Company's qualified person on the project as required under NI 43-101 and has prepared the technical information contained in this press release.

About Starcore

Starcore International Mines is engaged in precious metals production with focus and experience in Mexico. This base of producing assets is complemented by exploration and development projects throughout North America. The company is a leader in Corporate Social Responsibility and advocates value driven decisions that will increase long term shareholder value. You can find more information on the investor friendly website here: www.starcore.com.

ON BEHALF OF STARCORE INTERNATIONAL
MINES LTD.

Signed "Gary Arca"
Gary Arca, Chief Financial Officer and Director

FOR FURTHER INFORMATION PLEASE CONTACT:

GARY ARCA
Telephone: (604) 602-493
Facsimile: 1-604-602-4936

EVAN EADIE
Investor Relations
Telephone: (604) 602-4935 x 203

The Toronto Stock Exchange has not reviewed nor does it accept responsibility
for the adequacy or accuracy of this press release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/117239

Company Name:	Starcore International Mines Ltd.
Stock Symbol:	SAM:CC
Market:	TSXC
Website:	starcore.com

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