GoldCorp Tops Targets on Rise in Gold Sales

Goldcorp(GG Quote) topped Wall Street targets with 27% profit growth in its first quarter, buoyed by increased production of its namesake mineral even as overall revenue slipped.

Before the market opened Thursday, the Canadian mining company reported net earnings of $291 million, or 40 cents a share.

Excluding items, which include lower taxes in the quarter, the company said its adjusted earnings were $169 million, or 23 cents a share, even with the year-earlier period. That's a dime better than what analysts' were expecting, according to Thomson Reuters.

Revenue fell slightly to $624.8 million from $626.7 million a year ago.

Goldcorp said an 18% jump in gold production helped offset declines in the company's silver and copper businesses, both of which have been hit by plummeting prices.

The company said it sold 607,900 ounces of gold in the first quarter at a total cash cost of $288 an ounce, compared with 517,800 ounces at $238 an ounce a year ago. About 90% of its most-recent top line came from sales of gold, the company added.

Looking ahead, Goldcorp reconfirmed its earlier forecasts for sales of about 2.3 million ounces of gold at $365 an ounce.

Goldcorp shares inched higher in afternoon trading Thursday, changing hands at $31.45, up about 4% on heavy volume.