March 16, 2011 / 10:37 AM / 7 years ago

UPDATE 1-Kirkland Q3 profit trails view; cuts FY output view

* Q3 EPS C$0.06 vs est C$0.09

* Q3 rev 25.4 mln vs 27.5 mln

* Cuts 2011 gold output view to 80,000-85,000 ounces

March 16 (Reuters) - Gold miner Kirkland Lake posted a quarterly profit that trailed estimates, hurt by higher expenses and lower-than-expected production, and cut its full-year production view.

The company lowered its fiscal 2011 production view to 80,000-85,000 ounces of gold from 90,000-100,000 ounces.

Kirkland, which expects to reach gold production of 180,000-200,000 ounces per year by November, forecast fiscal 2012 production at 120,000-140,000 ounces of gold.

November-January profit was C$4.2 million or 6 Canadian cents a share, compared with a loss of C$4.9 million, or 8 Canadian cents a share, a year earlier.

Analysts, on average, were expecting the company to earn 9 Canadian cents a share, according to Thomson Reuters I/B/E/S.

Revenue rose more than four times to C$25.4 million, but trailed consensus estimates of C$27.5 million.

The Ontario-based company’s third-quarter production was 20,231 ounces of gold, lower than its earlier forecast of 24,000 to 30,000 ounces.

Operating and exploration expenses more than doubled to C$18 million and C$2.7 million, respectively.

Shares of the company closed at C$13.44 on Tuesday on the Toronto Stock Exchange. (Reporting by Aftab Ahmed in Bangalore; Editing by Joyjeet Das)

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