This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Teck Resources Limited Management Discusses Q2 2012 Results - Earnings Call Transcript

Before we start, I'd like to draw your attention to the forward-looking information slides on Pages 2 and 3 of our presentation package. This presentation contains forward-looking information regarding our business. Various risks and uncertainties may cause actual results to vary. Teck does not assume the obligation to update any forward-looking statement.

And at this point, I'd like to turn the call over to Don Lindsay.

Donald R. Lindsay

Thanks, Greg, and good morning, everyone and thank you for joining us. I will start with the review of the results for the quarter, and then turn the presentation over to Ron Millos, our CFO, to address the more in-depth financial topics. And I should say that a number of the other members of the management team are on the call this morning and available to answer your questions.

Starting on Slide 5. This quarter, we achieved record copper production of 90,000 tonnes, thanks, in part to the completion of Antamina's expansion which is now up and running at a slightly better than its nameplate capacity. In coal, our sales during the quarter were over 6.7 million tonnes or at an annualized rate of almost 27 million tonnes. We ended the quarter with a cash balance of about the $3.6 billion and we have new 5-year labor agreements that were ratified of at our Trail operation in June and our Cardinal River operation in July.

Turning to Slide 6. Our second quarter revenues were over $2.5 billion and gross profit before depreciation and amortization was approximately $992 million and profit attributable to shareholders was $268 million. EBITDA was $790 million and adjusted profit, which removes the effect of onetime items and derivatives and exchange gains and losses was $312 million. I'll discuss these items on the next slide.

This quarter, the most significant adjustment is related to the onetime labor settlement at Trail, which resulted in a $38 million after tax charge. Other adjusted items were for asset sales, foreign-exchange and derivative gains. Adjusting for these items, profit was $312 million for the quarter or $0.53 per share.

2 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
FB $118.00 -0.48%
GOOG $696.27 -0.28%
TSLA $234.24 -3.10%
YHOO $36.14 -1.10%
AAPL $94.02 0.41%


Chart of I:DJI
DOW 17,706.84 -184.32 -1.03%
S&P 500 2,060.81 -20.62 -0.99%
NASDAQ 4,767.9820 -49.6120 -1.03%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs