Gold Resource Corp., which produces gold in the southern Mexican state of Oaxaca, said Wednesday it swung to a profit in the second quarter on record output.
The Colorado Springs, Colo.-based company reported a profit of $3.06 million, or 6 cents per share, compared to a loss in the year-earlier period of $6.06 million, or 12 cents per share.
The number of shares outstanding increased during the period between the second quarter of last year and the second quarter of this year.
Sales in the three months ended June 30 were $20.66 million.
Gold Resource produced a record 13,457 ounces precious metal gold equivalent in the April to June period. During the quarter a severe storm flooded key facilities, cutting output. But after the storm's damage was cleaned up production levels reached an annualized run rate of 80,000 ounces.
"Having reached this level, we are targeting a similar run rate for the balance of 2011 which will revise our production target to 60,000 to 70,000 ounce precious metal gold equivalent range," Gold Resource said in a statement. "The company continues on a trajectory towards its long term target of 200,000 precious metal gold equivalent ounces in 2013."
Shares of Gold Resource fell 82 cents per share, or 3.2 percent, to $25.18 in morning trading.