North American Palladium Ltd. reported consolidated earnings results for the second quarter and six months ended June 30, 2018. For the quarter, the company reported revenue of CAD 94.1 million compared to CAD 70.3 million in the first quarter of 2017. Net income was CAD 15.4 million or CAD 0.26 per share, compared to CAD 7.9 million, or CAD 0.14 per share a year ago. EBITDA was CAD 31.4 million compared to CAD 21.8 million a year ago. Income from mining operations was CAD 18.6 million against CAD 0.1 million a year ago. Income from mining operations was CAD 27.1 million against CAD 11.6 million a year ago. Capital Investment, excluding non-cash leases was CAD 15.9 million against CAD 9.5 million a year ago. An increase in payable palladium sold and favourable palladium prices contributed to an increase in revenue, which led to higher adjusted EBITDA and net income. Cash provided by operations for the quarter, prior to changes in non-cash working capital, was CAD 32.2 million compared to CAD 20.1 million for the same period in 2017. The increase this quarter was primarily due to higher revenue resulting from increased palladium sales of 12% and higher palladium prices.

Adjusted EBITDA for the six months ended June 30, 2018 was CAD 65.6 million compared to CAD 27.3 million for the same period in 2017. Net income for the six months ended June 30, 2018 was CAD 21.0 million compared to a net income of CAD 4.1 million for the same period in 2017.

The company produced 57,652 ounces of payable palladium at an All-Inclusive Sustaining Cost ("AISC") of USD 658 per ounce compared to 50,222 ounces of palladium at an AISC of USD 612 in the second quarter of 2017. Total tonnes milled at Lac des Iles (“LDI”) continued to increase this quarter to 1,077,472 compared to 580,265 tonnes in the second quarter of 2017, which reflects the return to full-time milling, supplemented by an increased in underground production, Sheriff Pit ore and additional surface stockpile tonnage.

The company's previously stated 2018 guidance of palladium production between 230,000 and 240,000 ounces of palladium at an average AISC cost of USD 640 to USD 660 per ounce remains unchanged.