OTTAWA, May 26, 2015 /CNW/ - In releasing its 2015 First Quarter Financial Report, the Royal Canadian Mint announced consolidated revenues of $640.1 million in the 13 weeks ended March 28, 2015, and consolidated profit before taxes of $15.7 million. These results represent a modest decline from the same period in 2014, when $17.0 million in pre-tax profits were achieved on $669.4 million in revenues. While the expected conclusion of a major South American coinage contract and revisions to the profit mandate of the Mint's Canadian circulation coin business have influenced financial performance in some areas, robust sales of bullion and numismatic products continue to support the overall profitability of the Mint.
"I am pleased that the Mint remains on a strong financial footing as it continues to face the challenges of a dynamic business environment," said Sandra L. Hanington, President and CEO of the Royal Canadian Mint. "As we continue to build tomorrow's Mint , we will maintain a strong focus on business results so that we may better serve our customers and improve our return on capital for the Government of Canada."
While Canadian circulation coin production volumes climbed to 61.7 million in Q1 2015, compared to 13.9 million in Q1 2014, revenues declined 18.8% to $21.1 million since domestic circulation coinage is no longer sold at a profit under an amendment to the Royal Canadian Mint Act. Though circulation coins and blanks were delivered to more foreign customers compared to the same period in 2014, revenues declined 63.9% to $10.4 million due to the scheduled conclusion of a major contract. The Mint will continue to pursue opportunities worldwide as it markets its extensive capabilities, including its Winnipeg facility's new high speed colouring process, which made its international debut in February 2015 when the Reserve Bank of New Zealeand launched a coloured 50-cent circulation coin commemorating the centennial of the Australian and New Zealand Army Corps (ANZAC).
Bullion sales remain strong at $559.6 million in Q1 2015, showing only a modest 0.5% decline from the prior year. Robust volumes for both Gold Maple Leaf and Silver Maple Leaf bullion coins have offset lower precious metal prices and softer refining demand.
Numismatics and collectibles revenues maintained solid volumes in Q1 2015 at $45 million, compared to $47.4 million over the same 2014 period, while the Mint continues to expand its customer base thanks to the popularity of its face value program.
To read more of the Mint's third quarter financial report, please visit www.mint.ca.
About the Royal Canadian Mint
The Royal Canadian Mint is the Crown Corporation responsible for the minting and distribution of Canada's circulation coins. An ISO 9001-2008 certified company, the Mint is recognized as one of the largest and most versatile mints in the world, offering a wide range of specialized, high quality coinage products and related services on an international scale. For more information on the Mint, its products and services, visit www.mint.ca.
SOURCE Royal Canadian Mint