NYSE$GFI

Gold Fields Ltd-ADR · Q1 2023 earnings

Q1 2023 earnings · · Before market open · Investor relations

Briefing

Gold Fields reported a soft Q1 2023 performance, with lower production and higher unit costs impacting financial results.

In Q1 2023, Gold Fields posted attributable gold production of 577,000 ounces, flat QoQ, but earnings declined due to increased costs and inflationary pressures. AISC rose to $1,297/oz, and AIC climbed to $1,561/oz. Net debt increased to $875 million, but guidance for FY23 was reaffirmed, supported by stable operational output and progress on projects like Salares Norte.

  • Gold production held steady at 577,000 ounces for Q1 2023.
  • Earnings declined, with EPS at $0.11 and normalised EPS at $0.25.
  • All-in costs rose to $1,561/oz due to higher sustaining capex and inflation.
  • Net debt increased to $875 million, but financial position remained solid.

Headline financials

Total Revenue

$1.11B

No prior period
EPS (adj)

$0.25

No prior period
Gold Eq. Production

577.0K

No prior period
Gold Price Realised

$1.93K

No prior period
All-in Sustaining Cost

$1.3K

No prior period
All-in Cost

$1.56K

No prior period
Net Debt

$875M

No prior period
Net Debt to EBITDA

0.37

No prior period
Free Cash Flow

$37M

No prior period
Net Income

$98M

No prior period

Revenue & EPS history

Gold Fields · Revenue · Quarterly

$1.11B

Q1 2023
Beat estimate in 6 of 9 quarters(67%)
ActualEstimate

Forward guidance

Gold Fields reaffirmed its full-year guidance for production and costs, despite a soft Q1 impacted by cost pressures and operational issues. Key growth projects remain on track.

Tailwinds

  • FY23 production guidance of 2.25–2.30Moz maintained
  • AISC forecast range of $1,300–$1,340/oz reaffirmed
  • Salares Norte project remained on schedule for Q4 production
  • Gold price realised held up strongly at $1,926/oz
  • No material safety incidents reported in the quarter

Headwinds

  • AISC and AIC increased due to inflation and capex
  • Free cash flow fell to $37M despite solid output
  • Earnings declined with lower profit margins
  • Operational challenges in South Africa and Peru impacted results
  • Net debt increased by $117M from Q4 2022

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

-0.5%

Avg return

Earnings day

+1.7%

Avg return

5 days after

+7.5%

Avg return

30 days after

46%

17 / 37 earnings

Positive

+16.4%

Q2 2015

Best reaction

-11.7%

Q4 2014

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2023-4.4%-8.2%+11.8%
Q3 2023+0.3%+5.5%+24.3%
Q2 2023-10.0%-7.9%-3.4%
Q1 2023-1.1%-0.9%-3.1%
Q4 2022+1.7%+6.7%+18.8%
Q2 2022-2.6%-2.3%-6.4%
Q4 2021+3.7%-5.5%-13.6%
Q3 2021+0.1%+4.5%-6.9%
Q2 2021+1.9%+3.6%+10.8%
Q4 2020+9.0%+10.1%+0.9%
Q2 2020+2.6%+1.0%+39.8%
Q4 2019+8.8%+18.8%+50.1%
Q2 2019-6.3%-4.3%+3.9%
Q4 2018-1.6%+2.7%+7.3%
Q2 2018-0.8%+2.2%+3.1%
Q4 2017-1.0%-1.3%+1.6%
Q2 2017+0.0%+4.4%+18.5%
Q4 2016-1.9%-1.6%-6.8%
Q2 2016+5.5%+3.8%-8.6%
Q4 2015-6.4%
Q3 2015+15.2%
Q2 2015+16.4%
Q1 2015-10.0%
Q4 2014-11.7%
Q3 2014+0.3%
Q4 2013+5.2%
Q2 2013+0.2%
Q4 2012-7.6%
Q2 2012-1.6%
Q4 2011-0.8%
Q2 2011-1.8%
Q1 2011+1.4%
Q2 2010+1.4%
Q4 2010+1.5%
Q4 2008-7.6%
Q4 2009-7.6%
Q4 2007-7.6%

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