NYSE$NEM

Newmont Mining Corp · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Newmont met its full-year production guidance and generated significant free cash flow, while also declaring a Q4 dividend of $0.40 per share.

Newmont Corporation announced its Q4 and full-year 2022 results, achieving its full-year production guidance and generating $4.6 billion in adjusted EBITDA and $1.1 billion in free cash flow. The company also declared a fourth-quarter dividend of $0.40 per share.

  • Achieved original production guidance range set in December 2021; produced 1.63 million attributable gold ounces and 296 thousand attributable gold equivalent ounces (GEO) of co-products.
  • Reported fourth quarter gold Costs Applicable to Sales (CAS)* of $940 per ounce and All-In Sustaining Costs (AISC)* of $1,215.
  • Generated $1.0 billion of cash from continuing operations and $364 million of Free Cash Flow in the fourth quarter.
  • Reported Adjusted Net Income (ANI)* of $0.44 per share and Adjusted EBITDA* of $1.2 billion for the fourth quarter.

Headline financials

Total Revenue

$3.2B

Previous: $3.39B-5.6%
EPS (adj)

$0.44

Previous: $0.78-43.6%
Attributable Gold Production (Koz)

1.6M

Previous: 1.6M+0.7%
Average Realized Gold Price ($/oz)

$1.76K

Previous: $1.8K-2.2%
Free Cash Flow

$364M

Previous: $858M-57.6%
Net Income

-$1.46B

Previous: -$46M-3069.6%
Operating Income

-$1.38B

Previous: -$507M-172.8%
Gross Profit

$2.18B

Previous: $1.21B+80.0%
Cash & Equivalents

$2.88B

Previous: $4.99B-42.4%
Total Assets

$38.5B

Previous: $40.6B-5.1%

Revenue & EPS history

Newmont · Revenue · Quarterly

$3.2B

Q4 2022-5.6%vs Q4 2021
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Forward guidance

Newmont anticipates steadily increasing production and improving costs from its global portfolio. They are committed to disciplined capital allocation and providing superior returns to shareholders through their dividend framework.

Tailwinds

  • 2023 production guidance is between 5.7 and 6.3 million gold ounces.
  • Production is expected to steadily improve to between 6.1 and 6.7 million ounces in the longer-term.
  • Gold CAS guidance is $870 to $970 per ounce and Gold AISC guidance is $1,150 to $1,250 per ounce for 2023.
  • Costs are expected to improve throughout the five-year period, driven by declining inflationary pressure assumptions, increasing production levels and cost reduction initiatives.
  • Sustaining capital guidance is $1.0 to $1.2 billion for 2023, consistent with longer-term averages

Headwinds

  • 2023 production is expected to be stable compared to 2022, partially offset by decreases at Peñasquito due to planned mine sequencing.
  • 2023 production is expected to be stable compared to 2022, partially offset by the updated mine plan for a leach-only operation at CC&V.
  • 2023 production is expected to be stable compared to 2022, partially offset by the previously signaled delay of commercial production at Ahafo North and Tanami Expansion 2 to 2025.
  • 2023 CAS is expected to have approximately 3% in cost escalation assumed as cost pressures are expected to persist from 2022.
  • The Yanacocha Sulfides project is being critically assessed, up to and including transitioning Yanacocha operations into full closure, which may have an impact on expected capital spend included in outlook for 2023 and 2024.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2022

Historical avgQ4 2022

-1.1%

Avg return

Earnings day

-1.6%

Avg return

5 days after

-1.7%

Avg return

30 days after

38%

28 / 73 earnings

Positive

+10.7%

Q1 2024

Best reaction

-16.1%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.7%-3.1%-3.0%
Q4 2025-3.3%-0.4%-23.6%
Q3 2025-6.3%-10.4%-6.1%
Q2 2025+1.2%+0.8%+15.7%
Q1 2025+4.9%-0.4%+0.9%
Q4 2024-5.7%-9.4%-1.5%
Q3 2024-16.1%-17.6%-26.1%
Q2 2024-2.9%+0.4%+10.6%
Q1 2024+10.7%+5.3%+8.8%
Q4 2023-6.4%-10.7%+1.0%
Q3 2023+6.0%+1.9%+2.3%
Q2 2023-4.4%-3.5%-15.4%
Q1 2023+0.5%+1.9%-13.7%
Q4 2022-1.6%-1.4%+9.8%
Q3 2022-6.6%-3.1%+14.8%
Q2 2022-10.2%-11.9%-12.8%
Q1 2022-5.8%-6.4%-12.8%
Q4 2021-0.5%+1.1%+15.7%
Q3 2021-6.2%-4.9%-2.8%
Q2 2021-0.4%+1.6%-6.6%
Q1 2021-2.8%-0.3%+14.5%
Q4 2020-0.6%-0.3%+8.7%
Q3 2020+7.1%+13.7%-0.3%
Q2 2020+1.9%+3.5%-1.7%
Q1 2020-0.5%+2.9%-10.9%
Q4 2019+7.1%+6.4%-12.2%
Q3 2019-3.2%-5.9%+2.9%
Q2 2019-5.1%-4.0%+0.0%
Q1 2019-2.3%-3.5%-0.9%
Q4 2018+3.1%-1.2%-2.5%
Q3 2018-5.5%-2.4%+2.2%
Q2 2018-1.5%-2.1%-14.5%
Q1 2018+0.3%-3.2%-2.7%
Q4 2017+1.4%+0.7%+1.6%
Q3 2017-2.6%-1.6%-0.2%
Q2 2017+9.0%+9.3%+8.6%
Q1 2017-3.6%-0.9%-1.4%
Q4 2016-2.7%-2.5%-9.2%
Q3 2016-4.9%+1.2%-12.8%
Q2 2016-2.1%-3.0%+6.7%
Q1 2016+4.1%
Q4 2015+1.1%
Q3 2015+6.0%
Q2 2015-6.1%
Q1 2015+9.7%
Q4 2014+3.4%
Q3 2014-9.9%
Q2 2014-0.2%
Q1 2014+2.0%
Q4 2013-1.6%
Q3 2013-7.3%
Q2 2013+0.6%
Q1 2013-3.2%
Q4 2012+0.6%
Q3 2012-10.7%
Q2 2012-2.8%
Q1 2012+0.8%
Q4 2011-3.6%
Q3 2011+4.1%
Q4 2010+4.1%
Q2 2011-4.2%
Q1 2011+0.5%
Q3 2010-3.5%
Q2 2010-0.1%
Q1 2010+4.3%
Q4 2009+6.0%
Q3 2009+4.7%
Q3 2008+4.7%
Q2 2009-0.5%
Q1 2008-4.9%
Q1 2009-4.9%
Q4 2008-4.9%
Q2 2008-4.9%

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