Search
Investors

News Releases

Vista Gold Corp. Announces Third Quarter Financial Results
PRNewswire-FirstCall
DENVER

Vista Gold Corp. (Amex: VGZ; TSX) announced today its financial results for the quarter and nine months ended September 30, 2005, as filed on November 14, 2005, with the US Securities and Exchange Commission in the Corporation's Quarterly Report on Form 10-Q. Vista reported a consolidated net loss for the three-month period ended September 30, 2005, of US$1.0 million or US$0.05 per share compared to a consolidated net loss of US$1.0 million or US$0.07 per share for the same period in 2004. The Corporation's consolidated net loss for the nine-month period ended September 30, 2005, was US$3.4 million or US$0.19 per share compared to a consolidated net loss of US$3.6 million or US$0.23 per share for the same period in 2004. The net losses for the three-month and nine-month periods were minimally different from those for the prior-year periods, primarily reflecting slight decreases in exploration, property evaluation and holding costs, and slight increases in corporate administration and investor relations costs in each of the three-month and nine-month periods.

Net cash used for operations was US$957,000 for the three-month period ended September 30, 2005, compared to US$1,122,000 for the same period in 2004. Cash used in operations was US$2,776,000 for the nine-month period ended September 30, 2005, compared to US$2,777,000 for the same period in 2004. The decrease of US$165,000 for the three-month period can be attributed to reduction in accounts receivable of US$181,000 from the same period in 2004.

Net cash used for investing activities decreased to US$533,000 for the three-month period ended September 30, 2005, compared to US$1,618,000 for the same period in 2004. The decrease of US$1,085,000 in 2005 reflected the restricted cash payment of US$1,104,000 in 2004. For the nine-month period ended September 30, 2005, net cash used for investing activities decreased by US$1,364,000 to US$2,761,000 compared to US$4,125,000 for the same period in 2004. Overall expenditures were higher during the 2004 period, primarily reflecting the restricted cash payment of US$3.4 million made by the Corporation in the first nine-months of 2004, in connection with bonding requirements for the Hycroft Mine. Cash invested for the nine-month period ended September 30, 2005 was US$2,761,000 which included net additions to mining properties of US$1,057,000 and the acquisition of the Awak Mas project, net of cash acquired, of US$1,613,000.

Net cash provided by financing activities was US$7,245,000 in the three-month period ended September 30, 2005 compared to US$6,427,000 for the same period in 2004. In each of these periods, the Corporation raised funds through private placements of equity units, with net proceeds of US$7,245,000 from the 2005 private placement and US$6,112,000 from the 2004 private placement. Net cash provided by financing activities was US$7,643,000 for the nine-month period ended September 30, 2005, compared to US$9,483,000 for the same period in 2004. The amounts raised in the 2005 nine-month period were primarily from the US$7,245,000 raised in the private placement and the remainder from the exercise of warrants in the amount of US$373,000 and stock options in the amount of US$25,000. The aggregate US$9,483,000 proceeds in the 2004 nine-month period were primarily from the US$6,112,000 raised in the private placement and from the exercise of warrants in the amount of US$3,039,000 and stock options in the amount of US$332,000.

The financial position of the Corporation included current assets at September 30, 2005, of US$8.9 million compared to US$6.8 million at December 31, 2004, and total assets at September 30, 2005, of US$37.3 million compared to US$32.8 million at December 31, 2004.

Current liabilities were US$0.2 million at September 30, 2005, approximately the same as at December 31, 2004. Total liabilities at September 30, 2005, were US$4.5 million, compared to US4.4 million at December 31, 2004. Shareholders' equity at September 30, 2005, was US$32.9 million compared to US$28.3 million at December 31, 2004.

The Corporation's working capital as of September 30, 2005, was US$8.6 million compared to US$6.6 million at December 31, 2004.

The selected financial data including the results of operations for the three-month and nine-month periods ended September 30, 2005 compared to 2004, and the financial positions as at September 30, 2005 compared to December 31, 2004, is summarized in the following table:

  Selected Financial Data       Three Months Ended,     Nine Months Ended
                                  September 30,           September 30,
                                2005         2004       2005        2004
   U.S. $000's, except
   loss per share

   Results of operations
   Net loss                    $(970)      $(1,047)   $(3,378)   $(3,584)
   Basic and diluted
    loss per share             (0.05)        (0.07)     (0.19)     (0.23)

   Net cash used in operations  (957)       (1,122)    (2,776)    (2,777)
   Net cash used in
    investing activities        (533)       (1,618)    (2,761)    (4,125)
   Net cash provided by
    financing activities      (7,245)        6,427      7,643      9,483


   Financial position     September 30,   December 31,
                               2005          2004

   Current assets             $8,846        $6,826
   Total assets               37,328        32,788
   Current liabilities           238           256
   Total liabilities           4,469         4,444
   Shareholders' equity       32,859        28,344

   Working capital             8,608         6,570



The statements that are not historical facts are forward-looking statements involving known and unknown risks and uncertainties that could cause actual results to vary materially from targeted results. Such risks and uncertainties include those described from time to time in the Corporation's periodic reports, including its latest annual report on Form 10-K filed with the U.S. Securities and Exchange Commission. The Corporation assumes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.

For further information, please contact Greg Marlier at (720) 981-1185, or visit the Vista Gold Corp. website at www.vistagold.com

SOURCE: Vista Gold Corp.

CONTACT: Greg Marlier of Vista Gold Corp., +1-720-981-1185

Web site: http://www.vistagold.com/


Print Email RSS
print email rss
About
Projects
Investors
Contact Us
Legal