2005 Annual Report – "Thriving" - Royal Canadian Mint
2005 Annual Report – "Thriving" - Royal Canadian Mint
2005 Annual Report – "Thriving" - Royal Canadian Mint
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
���<br />
�����<br />
������<br />
�<br />
�������������������������<br />
($ in millions)<br />
�����<br />
������<br />
�����<br />
������<br />
������<br />
������� �������<br />
�������<br />
�������<br />
������<br />
Corporate results<br />
Consolidated results and financial performance<br />
(in $ millions)<br />
<strong>2005</strong> 2004 % change 2003<br />
Revenue 435.9 329.4 32% 254.7<br />
Net income before tax 13.2 15.3 -13% 0.5<br />
Net income (loss) 8.7 10.6 -18% (3.0)<br />
Total assets* 195.9 168.1 17% 140.2<br />
Shareholder’s equity 104.2 96.6 8% 86.0<br />
Inventories* 33.0 18.0 83% 16.4<br />
* at December 31<br />
������������������<br />
������������������������<br />
����������������<br />
��������������������<br />
��������������������<br />
�����<br />
����<br />
�����<br />
���<br />
����� �����<br />
����<br />
���� ����<br />
�����<br />
�����<br />
����<br />
����<br />
���<br />
�� ��<br />
�� �� �� ��<br />
�<br />
��<br />
���������������������<br />
������������������������<br />
����������������<br />
��������������������<br />
�������������������<br />
�����������������<br />
�������������������<br />
�����������<br />
�����<br />
��������<br />
Consolidated financial performance<br />
The <strong>Mint</strong>’s net income for the year was $8.7 million compared to $10.6 million in 2004.<br />
The key factors ($ in millions) behind the year’s results include: ($ in millions)<br />
(millions of pieces)<br />
• Revenue increased by 32.3% to $435.9 million from $329.4 million in 2004. Revenue<br />
increased in every business line: <strong>Canadian</strong> circulation (61.9%), foreign circulation<br />
(80.2%), numismatics (7.4%) and bullion products, refinery and other (22.1%).<br />
• Operating costs, including cost of goods sold and the costs of marketing, administration<br />
and depreciation increased by 35.2% to $422.1 million from $312.1 million in 2004. Cost<br />
of goods sold, which represents 79% of total operating costs, increased by 35.9% to<br />
$342.7 million from $252.2 million in 2004. These increases reflect the increased volume<br />
in all major business lines.<br />
• Administrative costs increased by 22.2% to $26.9 million from $22.0 million in 2004,<br />
with administrative costs as a percentage of revenue decreasing to 6% from 7%.<br />
• Net income before income tax decreased by 13.5% to $13.2 million from $15.3 million<br />
in 2004. Gross profit margin decreased to 21% from 23% in 2004. The increase in the<br />
<strong>Mint</strong>’s operating income reflects the substantial increase in revenue and the<br />
determination ($ in millions) to restrain costs and improve (millions productivity. of pieces)<br />
• Interest income decreased to $393,000 from $618,000 in 2004. Interest expense was $1.1 million<br />
compared to $1.4 million in 2004. Interest expense relates primarily to the debt for the<br />
plating ($ facility. in millions)<br />
($ in millions)<br />
(millions of pieces)<br />
�� �� �� �� �� �� �� �� ��<br />
�� ��<br />
���������������������������<br />
��������($ in ����<br />
�����<br />
����<br />
millions)<br />
����<br />
����<br />
����<br />
�����<br />
���<br />
����<br />
�� �� ��<br />
�� �� �� ��<br />
�<br />
��<br />
��<br />
�����<br />
�����<br />
��<br />
��������������������<br />
($ in millions)<br />
���<br />
���<br />
���<br />
���<br />
�� �� �� �� �� �� �� ��<br />
�� �� ��<br />
�� ��<br />
�� ��<br />
�� ��<br />
��<br />
�����������������<br />
($ in millions)<br />
��������������������<br />
���������($ in millions)<br />
* excluding numismatic<br />
���<br />
�� ����<br />
����<br />
���<br />
��<br />
����<br />
���<br />
��<br />
���<br />
��<br />
����<br />
���<br />
����<br />
��<br />
�����<br />
��������������������<br />
�������������������<br />
����������������������<br />
�������� ($ in millions)<br />
���������<br />
(thousands of ounces)<br />
���������������������<br />
(US$ per ounce)<br />
����<br />
�����<br />
����<br />
����������<br />
����<br />
�����<br />
�����<br />
����<br />
�������������������<br />
����<br />
�����<br />
��������������������<br />
����<br />
�����<br />
����<br />
�����<br />
���<br />
�����<br />
�����<br />
����� �����<br />
����<br />
����<br />
����<br />
����<br />
����<br />
������������������������ �����<br />
($ in millions)<br />
�����<br />
�����<br />
�����<br />
����<br />
����� �� �� �� �� �� �� ��<br />
�� ��<br />
��<br />
�����<br />
��������������������<br />
����������<br />
�����<br />
�������������������<br />
�����<br />
��<br />
��������������������<br />
�����������<br />
(millions of pieces)<br />
���<br />
�����<br />
���<br />
���<br />
���<br />
��������������������<br />
�����<br />
��<br />
�����<br />
�����<br />
���<br />
���<br />
19<br />
���<br />
��<br />
�<br />
������������������<br />
(gross weight receiv<br />
in millions of troy ou<br />
���<br />
���<br />
���<br />
�