Show latest data and financial comment on big three coppers discussing and analyzing the third quarterly reports of nevada consolidated and utah copper and tying thern them up with the activities and present enviable position of copper the big holding and operating concern of the porphyry copper family the boston financial news article of the lath by J F carey contains the following nevada consolidated reports for the quarter ended september 30 net profit of after ordinary taxes and depreciation but before depletion and federal taxes this amount was equivalent to 96 cents a share on the shares of stock outstanding net income similarly figured in the preceding quarter was and for the third quarter of 1927 the latter being equal to 32 cents a share on the stock which is of no par value 0 operations P orations erat ions of nevada consolidated during 6 the first nine months of 1928 resulted in profit of before federal taxes and depletion as compared with in the first nine months of 1927 the increase in the first nine months this year over the same period of 1927 was more than reflecting the advantages accruing from reduced costs of operations and the better metal market now prevailing vai ling first nine months earnings this year of were equivalent to a share and earnings for the same period of 1927 at were equivalent to 99 cents a share during the third quarter nevada produced at its three principal properties in nevada arizona and new mexico a total of pounds of copper in the second quarter production was pounds and in the first quarter 52 pounds each quarter of the year to date therefore has shown a decided increase in copper output the expansion program being made possible by the sustained demand for the metal both in this country and in europe copper output for the first nine months was pounds or at the annual rate of very close to pounds president jackling in a statement accompanying the third quarterly report says in part total quantity of company ores milled and smelted smelter luring during the quarter was tons of this total 2969 tons was vas concentrating ore averaging and tons was vas direct smelting smelling sm elting ore shipped to smelters shelters sm elters in addition to company ores tons of custom ore was milled or smelted smelter at the nevada plants the average daily tonnage of company ores milled at all concentrators was compared with tons per day for the preceding quarter the average recovery in the form of concentrates from all coni company pany material milled during the period was of the total copper contained therein corresponding to 2421 pounds of copper per tons treated and compared with a recovery of and 2320 pounds per ton for the previous quarter the net cost per pound of copper produced after crediting revenue from gold and silver and other miscellaneous earnings and income from subsidiaries was cents compared with cents for the second quarter of 1928 these costs include all operating and general charges of every kind except depreciation and reserve for federal taxes the position of utah copper utah copper reports for the third quarter of 1928 net profit of after compared with net profit of in the corresponding 1927 period earnings in the third quarter this thin year were equivalent to a share on the shares of 10 par value stock outstanding stan standing dincy tn whereas third quarter 1927 earnings were equivalent to a share on the basis of its quarterly reports thus far in 1928 utah copper shows for the first nine months net profit of or 1059 a share on the outstanding stock this compares with net profit of or a share in the same period of 1927 in the first nine months of 1926 net profits were and in the same period of 1925 during the third quarter utah produced 71 pounds of copper compared with pounds in the second quarter and pounds in the first quarter production for the nine months totaled 8 77 pounds or very slightly in excess of nevada consol output for the same period president jackling of utah in a statement accompanying the third quarter report says during the quarter the arthur plant treated dry tons of ore and the magna plant dry tons a total of tons the avera average e grade of ore treated at the mills was copper and the average mill recovery of copper in in the form of concentrates was of that contained in in the ore as compared with 97 copper and re covery respectively for the previous quarter average cost per pound of net copper produced produce ds in i eluding clouding depreciation of plant and equipment and all fied fi K and general expenses and after crediting gold silver and anc miscellaneous earnings earning s was 61 cents compared with seven cents cent s for the preceding quarter computed on the anie same basis it will be noted that utah also affected a reduction of nearly a full cent a pound in the matter of producing costs cos s in the third quarter as compared with the preceding quarter with utah operating on ores which now run less than 1 copper content it was considered by many that fur u of ther reductions in the cost basis yere were beyond the possibility indeed with operations now proceeding oil such a lo 10 low w grade of ore there would appear to be but senall sm leeway for further cost reduction nevertheless improvement in ill the figure has been scored in ill recent years per pound costs were cents in 1926 and cents in 1927 the figure may average e under seven cents a pound for the current year the explanation of these low costs is to be found in the high degree 6 of efficiency prevailing b not only y in the companas comp cotil pany anys s mining b but also in its treatment methods ineth the power shovel has been applied to utah operations on oil a scale never previously witnessed in another mining camp not content with the advantages derived from steam power shovel operations the management has recently begun to substitute electrical energy not only in its power shovel operations but also in rail transportation at the mine both the magna and arthur plants are operating at a very efficient pitch further helping to reduce costs at the close of 1927 utah reported ore reserves of tons averaging 11 copper and it is reasonably certain that further additions to this tonnage will be developed lev eloped and mined As a matter of fact utah may almost be considered self perpetuating as regards ore reserves As operations affect utah operations and profits are today most important as effecting the income of which has a 98 ownership of utah stock Kenti ecott derives a substantial income in the form of dividends on its holdings of utah but the operating and earning 6 position of the former is being built up tip on oil the basis of remarkable results achieved by 1 other units in which it has a large b interest as well as on oil the basis of the utah showing braden is among other units within the organization which are contributing on oil a large scale to total profits this south american producer shows ore reserves of approximately tons averaging copper while such reserves are less than one half the total shown by 1 utah the grade of ore is approximately twice as rich has in these two properties alone more than tons of developed ore reserves this of course make no allowance for nevada which at the end of 1927 reported over tons of reserves averaging copper these properties constitute the three largest porphyry copper producers in the world and are today producing on the most efficient basis ever achieved achieve d for similar operations shares are currently quoted at 1374 high tor for the year to date is and low 80 the stock is pay ing ig dividends at the rate of 6 a share annually only a little over a month ago was quoted below a share although that level has been the ruling rt iliner g quotation during ilir alg the past several months in a matter of five or six weeks therefore the stock has experienced an all advance totaling 40 of its former market price this is an una tina usual sual procedure even for one of the pop popular ular industrial favorites favor ites and during the postwar post war market would have I 1 been possible for a metal issue until recently naturally on oil the basis of proved improved aln I 1 copper illegal detal market larket il stands to report a sizable increase in ea earnings this year as compared with 1927 when it showed a share on oil the outstanding shares of stock no par value in 1926 net income on the same basis was a share and in 1925 earnings this year will undoubtedly approach 10 a share and in view of the increase it is presumed that an upward revision of the dividend rate is in order is a substantial gainer by reason of the advance in ill inasmuch as it owns ns more than shares of the outstanding stock at the recent high new monts lionts holdings of had a market value of approximately understood to be at more than the cost price of all New monts other investments the rapidity and extent of the advance in shares has given rise also to rumors that an important transaction which will furnish further ammunition for the bulls is in the ing both Newil lont and american smelting smelling Sm elting refining are mentioned as possible factors in ill the deal although thus far such reports have no higher status than pure gossip |