The Successful Investor Hotline – Friday, April 21, 2011

Article Excerpt

PLEASE NOTE: Our next Hotline will go out on Friday, April 29, 2011. TECK RESOURCES LTD., $53.83, Toronto symbol TCK.B, rose 8% this week after the company reported better-than-expected first-quarter earnings. In the three months ended March 31, 2011, Teck’s earnings jumped 123.5%, to $0.76 a share from $0.34 a year earlier. These figures exclude several unusual items, such as gains on asset sales. On this basis, the latest earnings beat the consensus forecast of $0.75 a share. Revenue rose 24.9%, to $2.4 billion from $1.9 billion. Metallurgical coal prices rose 47.9% to $207 U.S. a tonne from $140 U.S. a year earlier. That was the main reason for the higher results. Higher coal prices helped Teck offset a 6% drop in coal volumes caused by a 10-week strike at its Elkview coal mine in B.C. Severe winter weather also hindered the company’s ability to transport coal to the port in Vancouver. Teck negotiates coal prices with its major customers, mainly steelmakers in…