Polymetal posts FY 2010 net profit of $250 million

Russian precious metals producer, Polymetal, has posted a FY 2010 net profit of $250 million under US GAAP.

The net result is up 166% year on year from the FY 2009 net income of $94 million, with FY 2010 adjusted EBITDA rising 77% year on year to $429 million, as FY 2010 revenues rose 65% year on year to $925 million.Polymetal said the results reflected a 43% increase in gold production and major increases in gold and silver prices over the course of the year, offsetting a 19% year on year increase in cash costs per ounce of gold equivalent.The company also noted a major increase in capital expenditure from $213 million in 2009, to $420 million in 2010, with Polymetal CEO, Vitaly Nesis upbeat about the figures and outlook.“We are satisfied with our 2010 financial results as Polymetal managed to exercise effective cost control while significantly expanding the scale of the Company and investing heavily in growth.”