clarinews@clarinet.com (02/01/90)
SAN MANUEL, Ariz. (UPI) -- Magma Copper Co. on Wednesday announced a record net income of $58.5 million, or $1.43 per share, for 1989. In 1988, Magma's net income was $56.3 million, or $1.47 per share. For the fourth quarter of 1989, net income was $5.9 million or 14 cents per share, compared to $15.5 million or 40 cents a share for the fourth quarter of 1988. Net cash provided by operating activities in 1989 was $92.8 million compared to $69.8 million in 1988, resulting in a year-end cash balance of nearly $50 million. Total revenues were $650 million, up from $607.1 million in 1988. J. Burgess Winter, Magma president and chief executive officer, said the record profits were achieved despite difficulties in reaching full capacity in the company's new smelter. That resulted in electrorefined cathode production of only 73 percent of capacity. The company sold 461.1 million pounds of refined copper in 1989, slightly below the 1988 figure of 464.7 million pounds. Magma Copper operates mines, concentrators and solvent extraction-electrowinning plants at San Manuel and Miami, Ariz., as well as a smelter, electrolytic refinery and rod plant at San Manuel.