SASKATOON – Cameco Corp. (TSX:CCO) posted a $146-million net loss in the third quarter on Wednesday as the company wrote down the value of two investments.
The larger of the writedowns was a $184-million impairment of its investment in GE-Hitachi Global Laser Enrichment in North Carolina.
Cameco had warned in July that it may need to write down the investment after GLE’s majority partner decided to reduce funding to the operation, which was being developed to process fuel for commercial nuclear reactors.
The company also took a $12-million charge related to its investment in GoviEx Uranium Inc.
The loss amounted to 37 cents per share for the quarter ended Sept. 30 compared with a profit of $211 million or 53 cents per share a year ago.
Excluding the writedowns, the impact of foreign exchange and other one-time items, the Saskatoon-based company earned an adjusted profit of $93 million, or 23 cents per share, down from an adjusted profit of $208 million or 53 cents per share a year ago.
Analysts on average had expected a profit of 21 cents per share, according to Thomson Reuters.
However, revenue for the uranium producer totalled $587 million, down from $597 million a year ago. Analysts on average had expected $628 million, according to Thomson Reuters.
Cameco’s third-quarter didn’t include revenue contributions from its stake in the Bruce Power partnership, which the company sold at a profit earlier this year.
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