<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
F O R M 6 - K
[X] Pursuant to Rule 13a-16 or 15d-16 of the SECURITIES EXCHANGE ACT OF 1934
For the three month period ended March 31, 1997.
GOLDCORP INC.
----------------------------------------------------------
(Exact name of registrant as specified in its charter)
COMMISSION FILE NUMBER 1-12970
PROVINCE OF ONTARIO 98770100
------------------------------- ------------------------------------
(State of other jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization)
SUITE 2700, 145 KING STREET WEST
TORONTO, ONTARIO, CANADA M5H 1J9
(416) 865-0326
(Registrant's telephone number, including area code)
Indicate by check mark whether the Registrant files or will file annual reports
under cover Form 20-F or Form 40-F.
Form 20 - F [ ] Form 40-F [ X ]
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
commission pursuant to Rule 12g3-(b) under the Securities Exchange Act of 1934.
Yes [ ] No [ X ]
<PAGE>
Goldcorp Inc. - 1997 First Quarter Results Page 2
- --------------------------------------------------------------------------------
1997 FIRST QUARTER RESULTS
(ALL AMOUNTS IN THIS NEWS RELEASE ARE EXPRESSED IN UNITED STATES DOLLARS, UNLESS
OTHERWISE INDICATED.)
FINANCIAL RESULTS
Three months ended
March 31,
1997 1996
-------- --------
(IN MILLIONS OF U.S. DOLLARS, EXCEPT
PER SHARE AND PER OUNCE AMOUNTS)
Revenues $ 14.1 $ 22.1
Earnings 1.5 3.6
Earnings per share (fully diluted) 0.02 0.05
Cash flow (deficiency) from operations (5.1) 4.3
Cash flow (deficiency) from operations per share
(fully diluted) (0.07) 0.07
Gold sales (OUNCES) 21,300 41,513
Average realized gold price per ounce 340 385
The Red Lake Mine continues to incur certain operating costs during the ongoing
labour strike.
LIQUIDITY AND CAPITAL RESOURCES
As at As at
March 31, December 31,
1997 1996
--------- ------------
(IN MILLIONS OF U.S. DOLLARS, EXCEPT RATIOS)
Cash and short-term investments $ 29.8 $ 30.0
Marketable securities
-book value 15.7 26.6
-market value 15.9 40.0
Working capital 44.8 43.7
Total debt 3.3 7.2
Debt-to-equity ratio 0.02:1 0.04:1
Goldcorp realized pre-tax gains of $3.8 million on the sale of marketable
securities ($2.1 million after-tax).
<PAGE>
Goldcorp Inc. - 1997 First Quarter Results Page 3
- --------------------------------------------------------------------------------
GOLD MINING OPERATIONS
Three months ended
March 31,
1997 1996
--------- --------
(IN MILLION OF U.S. DOLLARS,
EXCEPT AS NOTED OTHERWISE)
Operating profit (loss) $ (2.0) $ 0.8
Operating cash flow 0.4 4.3
Gold production (OUNCES) 20,876 42,140
Average operating cost per ounce (US $)
Cash production cost 238 286
Royalties and severance taxes 15 14
Non-cash costs 96 65
-------- --------
Total operating cost 349 365
-------- --------
-------- --------
The decrease in the operating results from gold mining operations compared to a
year ago, was mainly as a result of lower total gold production, a lower
realized gold price and ongoing operating costs incurred at Red Lake during the
labour strike.
The improvement in the cash production cost per ounce was mainly the result of
an improvement in the cash production cost per ounce at the Wharf Mine, as well
as from the lack of high cost production at both the Red Lake and Golden Reward
mines.
RED LAKE MINE
Three months ended
March 31,
1997 1996
-------- --------
(IN MILLION S OF U.S. DOLLARS,
EXCEPT AS NOTED OTHERWISE)
Operating profit (loss) $ (1.8) $ 0.3
Operating cash flow (deficiency) (1.6) 1.3
Gold production (OUNCES) 14,702
Operating cost per ounce (US $)
Cash production cost 309
Non-cash costs 32
-------- --------
Total operating cost 341
-------- --------
-------- --------
The exploration program at the Red Lake Mine continues to expand the high grade
discovery zones. Projected annual production has been raised to 200,000 ounces
based on the exploration success to date. Gold production was interrupted by a
labour strike, however, in June 1996. Exploration and development work have
continued. Ongoing operating costs incurred during the labour stoppage have
resulted in an operating loss and an operating cash deficiency being recorded
during the first quarter of 1997.
<PAGE>
Goldcorp Inc. - 1997 First Quarter Results Page 4
- --------------------------------------------------------------------------------
WHARF MINE
Three months ended
March 31,
1997 1996
-------- --------
(IN MILLIONS OF U.S. DOLLARS,
EXCEPT AS NOTED OTHERWISE)
Operating profit (loss) $(0.024) $ 1.1
Operating cash flow 2.1 2.7
Gold production (OUNCES) 20,876 22,143
Operating cost per ounce (US$)
Cash production cost 238 250
Royalties and severance taxes 15 23
Non-cash costs 96 73
-------- --------
Total operating cost 349 346
-------- --------
-------- --------
The decrease in gold production compared to a year ago was mainly due to
problems experienced with the crusher in March, that kept it out of production
for part of the month. The problem has been resolved and it is expected that
production targets and cash production costs per ounce will be maintained.
The decrease in the cash production cost per ounce was mainly due to a higher
grade of ore leached, while the increase in non-cash costs per ounce was mainly
due to the acquisition of the remaining minority interest in Wharf Resources
Ltd. in December 1996, and the resulting amortization of that purchase price
discrepancy.
The Wharf Mine's lower operating results were mainly the result of lower gold
production and a lower realized gold price per ounce.
GOLDEN REWARD MINE
(GOLDCORP'S 60% CONSOLIDATED SHARE)
Three months ended
March 31,
-------- --------
1997 1996
(IN MILLIONS OF U.S. DOLLARS,
EXCEPT AS NOTED OTHERWISE)
Operating loss $ (0.1) $ (0.6)
Operating cash flow (deficiency) (0.1) 0.3
Gold production (OUNCES)
-100% 8,825
-Goldcorp's 60% share 5,295
Operating cost per ounce (US$)
Cash production cost 358
Royalties and severance taxes 13
--------
Non-cash costs 119
--------
Total operating cost 490
-------- --------
-------- --------
<PAGE>
Goldcorp Inc. - 1997 First Quarter Results Page 5
- --------------------------------------------------------------------------------
Gold production at the Golden Reward Mine was suspended in June 1996. The mine
is on a care and maintenance basis.
INDUSTRIAL MINERAL OPERATIONS - SASKATCHEWAN MINERALS AND HAVELOCK LIME
Three months ended
March 31,
1997 1996
------------- -------------
(IN MILLION S OF U.S. DOLLARS)
Revenues $ 6.9 $ 6.1
Operating profit 2.3 1.9
Operating cash flow 2.6 2.3
The improvement in operating results from industrial mineral operations was
mainly due to an increase in revenues from sodium sulphate as a result of strong
market conditions (both increased tonnage and increased prices). Havelock
Lime's operations have remained relatively consistent compared to the prior
year.
FINANCIAL AND STATISTICAL INFORMATION
Attached are the Production Statistics and the Consolidated Financial Statements
of Goldcorp Inc. for the three months ended March 31, 1997.
<PAGE>
Goldcorp Inc. - 1997 First Quarter Results Page 6
- --------------------------------------------------------------------------------
GOLDCORP INC.
PRODUCTION STATISTICS
Three months ended
March 31,
1997 1996
--------- --------
RED LAKE MINE PRODUCTION STATISTICS
Tons of ore milled (000'S) 54
Average mill head grade (OUNCES PER TON) 0.317
Average recovery rate (%) 85.30
Gold production (OUNCES) 14,702
Operating cost per ounce (US $)*
Cash production cost $ $ 309
Non-cash costs 32
-------- --------
Total operating cost $ $ 341
-------- --------
-------- --------
* excludes costs incurred during labour strike
WHARF MINE PRODUCTION STATISTICS
Tons of ore mined (000'S) 912 982
Tons of waste removed (000'S) 960 2,148
Ratio of waste to ore 1.05:1 2.19:1
Tons of ore processed (000'S) 901 976
Average grade of gold processed (OUNCES PER TON) 0.031 0.026
Gold production (OUNCES) 20,876 22,143
Operating cost per ounce (US$)
Cash production cost $ 238 $ 250
Royalties and severance taxes 15 23
Non-cash costs 96 73
-------- --------
Total operating cost $ 349 $ 346
-------- --------
-------- --------
GOLDEN REWARD MINE PRODUCTION STATISTICS (100%)
Tons of ore mined (000'S) 342
Tons of waste removed (000'S) 1,366
Ratio of waste to ore 3.99:1
Tons of ore processed (000'S) 353
Average grade of gold processed (OUNCES PER TON) 0.035
Gold production (OUNCES)
- 100% 8,825
- Goldcorp's 60% share 5,295
Goldcorp's proportionate operating cost
per ounce (US$)
Cash production cost $ $ 358
Royalties and severance taxes 13
Non-cash costs 119
-------- --------
Total operating cost $ $ 490
-------- --------
-------- --------
CONSOLIDATED PRODUCTION STATISTICS
Total gold production (OUNCES) 20,876 45,670
-------- --------
-------- --------
Goldcorp's consolidated share 20,876 42,140
-------- --------
-------- --------
Average operating cost per ounce (US$)
Cash production cost $ 238 $ 286
Royalties and severance taxes 15 14
Non-cash costs 96 65
-------- --------
Total operating cost $ 349 $ 365
-------- --------
-------- --------
<PAGE>
Goldcorp Inc. - 1997 First Quarter Results Page 7
- --------------------------------------------------------------------------------
GOLDCORP INC.
CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS OF UNITED STATES DOLLARS)
As at As at
March 31, December 31,
1997 1996
--------- ------------
ASSETS
CURRENT ASSETS
Cash and short-term investments $ 29,777 $ 30,007
Gold bullion inventory 633 714
Accounts receivable 11,543 9,960
Marketable securities 15,670 26,607
Inventories 9,006 8,079
Prepaid expenses and other 1,693 1,012
--------- ---------
68,322 76,379
MINING INTERESTS, NET 147,587 146,926
DEPOSITS FOR RECLAMATION COSTS 3,531 3,520
OTHER ASSETS 2,298 2,459
--------- ---------
$ 221,738 $ 229,284
--------- ---------
--------- ---------
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable and accrued liabilities $ 10,134 $ 14,357
Taxes payable 10,118 11,203
Current portion of long-term debt 3,279 7,128
--------- ---------
23,531 32,688
--------- ---------
LONG-TERM DEBT 50 60
--------- ---------
PROVISION FOR RECLAMATION COSTS
AND OTHER LIABILITIES 3,986 4,080
--------- ---------
DEFERRED INCOME TAXES 7,876 7,179
--------- ---------
SHAREHOLDERS' EQUITY
Capital stock 81,548 81,299
Contributed surplus 76,223 76,223
Cumulative translation adjustment 3,502 4,212
Retained earnings 25,022 23,543
--------- ---------
186,295 185,277
--------- ---------
$ 221,738 $ 229,284
--------- ---------
--------- ---------
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE CONSOLIDATED FINANCIAL
STATEMENTS.
<PAGE>
Goldcorp Inc. - 1997 First Quarter Results Page 8
- --------------------------------------------------------------------------------
CONSOLIDATED STATEMENTS OF EARNINGS
(IN THOUSANDS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
Three months ended
March 31,
1997 1996
-------- --------
Revenues
Gold bullion $ 7,273 $ 16,029
Industrial minerals 6,863 6,053
-------- --------
14,136 22,082
-------- --------
Expenses
Operating 11,543 16,263
Corporate administration 939 970
Depreciation and depletion 2,311 3,034
Exploration 49 77
-------- --------
14,842 20,344
-------- --------
Earnings (loss) from operations (706) 1,738
-------- --------
Other income (expense)
Interest and other income 625 694
Gain on marketable securities 3,764 4,863
Interest expense
Long-term debt (75) (244)
Other (4) (4)
-------- --------
4,310 5,309
-------- --------
Earnings before taxes
and minority interest 3,604 7,047
Income and mining taxes 2,125 3,171
-------- --------
Earnings before minority interest 1,479 3,876
Minority interest (290)
-------- --------
Earnings for the period $ 1,479 $ 3,586
-------- --------
-------- --------
Earnings per share
Basic $ 0.02 $ 0.06
-------- --------
-------- --------
Fully diluted $ 0.02 $ 0.05
-------- --------
-------- --------
Weighted average number of shares
outstanding (000's)
Basic 68,344 62,980
-------- --------
-------- --------
Fully diluted 73,156 67,288
-------- --------
-------- --------
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE CONSOLIDATED FINANCIAL
STATEMENTS.
<PAGE>
Goldcorp Inc. - 1997 First Quarter Results Page 9
- --------------------------------------------------------------------------------
CONSOLIDATED STATEMENTS OF CASH FLOWS
(IN THOUSANDS OF UNITED STATES DOLLARS)
Three months ended
March 31,
1997 1996
-------- --------
Cash provided by (used in)
Operating activities
Earnings for the period $ 1,479 $ 3,586
Items not affecting cash
Depreciation, depletion and amortization 2,696 3,625
Gain on marketable securities,
net of tax provision (2,085) (2,693)
Deferred income taxes 783 354
Minority interest 290
Other (37) 83
-------- --------
2,836 5,245
Change in non-cash operating
working capital (7,895) (959)
-------- --------
Net cash provided by (used in) operating activities (5,059) 4,286
-------- --------
Investing activities
Mining interests (3,726) (2,413)
Purchases of marketable securities (2,994) (4,936)
Proceeds from sale of marketable securities 17,724 8,806
Taxes paid on sale of marketable
securities, prior year (2,172)
Purchases of other assets (29)
Other (10) (319)
-------- --------
Net cash provided by investing activities 8,793 1,138
-------- --------
Financing activities
Repayment of long-term debt (4,053) (2,796)
Issue of capital stock, net 249 124
-------- --------
Net cash used in financing activities (3,804) (2,672)
-------- --------
Effect of exchange rate changes on cash (160) (91)
-------- --------
Increase (decrease) in cash and
short-term investments (230) 2,661
Cash and short-term investments
at beginning of period 30,007 40,398
-------- --------
Cash and short-term investments
at end of period $ 29,777 $ 43,059
-------- --------
-------- --------
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE CONSOLIDATED FINANCIAL
STATEMENTS.
<PAGE>
Goldcorp Inc. - 1997 First Quarter Results Page 10
- --------------------------------------------------------------------------------
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. GENERAL
The accompanying unaudited consolidated financial statements should be read
in conjunction with the notes to the Company's audited consolidated
financial statements for the year ended December 31, 1996. The unaudited
consolidated financial statements include the financial statements of the
Company and its subsidiaries. The Company accounts for its 60% undivided
interest in the Golden Reward Mining Company Limited Partnership using the
proportionate consolidation method of accounting.
These unaudited interim consolidated financial statements reflect all
normal and recurring adjustments which are, in the opinion of management,
necessary for a fair presentation of the respective interim periods
presented.
2. REPORTING CURRENCY
The Company has adopted the United States dollar as its reporting currency
for its financial statements, commencing January 1, 1997.
Comparative figures previously reported in Canadian dollars have been
translated at the exchange rate in effect on January 1, 1997.
<PAGE>
Goldcorp Inc. - 1997 First Quarter Results Page 11
- --------------------------------------------------------------------------------
SIGNATURE
Pursuant to the requirements of the SECURITIES EXCHANGE ACT OF 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
GOLDCORP INC.
By /s/ Abraham N. Rubinfeld
-------------------------------
Abraham N. Rubinfeld
Corporate Counsel and
Secretary
(Duly Authorized Officer)
Date: May 29, 1997.
