Submitted by SD Contributor SRSrocco
US SILVER CORP NET INCOME DECLINES Q1 2012
Just like I mentioned in my 2011 COMPLETE COST post, if the price of silver keeps falling, these silver miners are going to start to lose money. US Silver Corp produced more silver in the first 3 months of 2012 then they did in same period in 2011. Just look at their COST OF SALES. They actually made almost $4 million more in total revenue, but the NET INCOME has now fallen 32% over the first 3 months of 2011.
Look at this GEM from their Q1 2012 REPORT:
- Realized silver price decreased to $33.29 in Q1 2012 compared to $37.60 in Q1-2011
- Cash Costs increased to $21.06 in Q1-2012 from $17.97 in Q1-2011 due to increased operating costs including rehabilitation work and lower than targeted production in the quarter.
Can you imagine going forward?? They will START GIVING SILVER AWAY FOR FREE if the prices of silver keep declining. If their CASH COSTS are now $21.06, their COMPLETE COSTS are almost $30 bucks.