BNC released an ‘indifferent set of results

There was no exciting news from the results which were released by Bindura Nickel Corporation last week, analysts have said.

BNC released an ‘indifferent set of results’ as, though they recovered from a loss position in the same period last year.

As they were operating under care and maintenance, they managed to cut operating expenses as well as produce nothing for the first half. They therefore produced no nickel; neither did they produce for third parties. However, they made sales of a meagre 297 Tonnes (T) for the half, a 76% drop from last year’s 1,228T. Turnover resultantly fell by 69% from $37,7m for the first half ended 30 September 2008 to $11,5m this year. They resultantly posted a gross profit of $3,3m, which was higher than the loss of $27,321 posted last year.

The group managed to tame their operating expenses as a result of the care and maintenance, cutting them from $4,9m to $3m, which represented an expense ratio of 13% Consequently, they made an operating profit of $288,093 against last year’s loss of $5m.