UPDATE 1-Poland's KGHM surprises with Q4 net, misses full-year guidance

viernes 28 de febrero de 2014 02:42 GYT
 

* Q4 net rose 8 pct y/y to PLN 813 mln vs 767 mln in analyst poll

* Missed full-year net target of PLN 3.2 bln with 3.06 bln reading

* To publish 2014 goals next month (Adds more detail, background)

WARSAW, Feb 28 (Reuters) - Europe's No.2 copper producer KGHM on Friday reported a larger-than-expected rise in its fourth-quarter net profit thanks to higher copper sales volumes, but coming in below its full-year guidance on lower metal prices.

The state-controlled company's bottom line rose by eight percent in the last three months of the year to 813 million zlotys ($267 million). Analysts polled by Reuters expected 767 million.

But lower copper prices throughout the year took their toll on the full-year net profit, as KGHM missed its 2013 target of 3.2 billion zlotys with a reading of 3.06 billion.

Analysts expect global copper price weakness to translate into a further fall for the company's bottom line in 2014, pegging their full-year net profit forecasts at a decade low of 2.26 billion zlotys.

KGHM, also the world's largest silver producer, forecasts for unconsolidated net profit - profit generated only by the parent company - because this is the basis for dividend payouts and its subsidiaries do not add much to the figure.

This may change this year, after KGHM's Chilean Sierra Gorda mine begins production. Sierra Gorda, one of the world's largest copper projects, is due to begin production by mid-2014.

The miner is to discuss its 2014 budget at the end of March. ($1 = 3.0475 Polish zlotys) (Reporting by Adrian Krajewski; Editing by Janet Lawrence)