Hecla Mining Co (HL.N: Quote) reported a quarterly profit, helped in part by a surge in silver production, and said it had reached an agreement with its lenders to reschedule its 2009 term debt payments until 2010 and 2011.
For the latest first quarter, the precious metals company earned $3.9 million, or 2 cents a share, compared with $12.1 million, or 10 cents a share, last year. Revenue jumped 46 percent to $54.7 million.
The results include a $6.2 million gain on the sale of the company's Velardena mill in Mexico and a gain of $9.0 million from the curtailment of a corporate non-pension benefit plan, Hecla said.
Silver production for the first quarter came in at 2.86 million ounces, up 128 percent from the prior year period.
Excluding items, Hecla Mining, which competes with Pan American Silver Corp (PAAS.O: Quote) and Coeur d'Alene Mines Corp (CDE.N: Quote), earned $7.3 million, compared with $15.5 million, a year ago.
Analysts, on average, were looking for a loss of 6 cents a share, before items, on revenue of $48.03 million, according to Reuters Estimates.
Shares of the Coeur d'Alene, Idaho-based company closed at $2.60 Monday on the New York Stock Exchange. (Reporting by Adveith Nair in Bangalore; Editing by Jarshad Kakkrakandy)
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