NYSE$NEM

Newmont Mining Corp · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Newmont reported a net loss driven by impairment and reclamation charges, but adjusted net income increased due to higher sales volumes and realized gold prices.

Newmont's Q4 2023 results showed a net loss of $3.2 billion, primarily due to significant impairment and reclamation charges. However, adjusted net income improved to $486 million, driven by higher sales volumes and realized gold prices. The company also completed the acquisition of Newcrest Mining Limited and is focused on integrating its assets.

  • Completed the acquisition of Newcrest Mining Limited on November 6, 2023, creating the world’s leading gold company with robust copper optionality
  • Attributable gold production for the fourth quarter increased 7 percent to 1,741 thousand ounces compared to the prior year quarter.
  • Adjusted net income for the quarter was $486 million or $0.50 per diluted share compared to $348 million or $0.44 per diluted share in the prior year quarter.
  • Revenue for the quarter increased 24 percent to $4.0 billion compared to the prior year quarter, primarily due to higher sales volumes and higher realized gold prices.

Headline financials

Total Revenue

$3.96B

Previous: $3.2B+23.7%
EPS (adj)

$0.50

Previous: $0.44+13.6%
Attributable Gold Production (Koz)

1.7M

Previous: 1.6M+6.8%
Average Realized Gold Price ($/oz)

$2K

Previous: $1.76K+14.0%
Capital Expenditures

-$920M

No prior period
Net Income

-$3.14B

Previous: -$1.46B-115.4%
Operating Income

-$3.04B

Previous: -$1.38B-120.0%
Gross Profit

-$315M

Previous: $2.18B-114.4%

Revenue & EPS history

Newmont · Revenue · Quarterly

$3.96B

Q4 2023+23.7%vs Q4 2022
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Forward guidance

Newmont's 2024 outlook is underpinned by steady production from the managed Tier 1 and Emerging Tier 1 assets, and is further enhanced by the Company’s ownership in the Nevada Gold Mines and Pueblo Viejo joint ventures.

Tailwinds

  • Production guidance is expected to be approximately 6.9 million gold ounces for the Total Newmont portfolio, underpinned by 5.6 million gold ounces from the Tier 1 Portfolio
  • Gold CAS is expected to be $1,050 per ounce in 2024 for the Total Newmont portfolio
  • Gold AISC of $1,400 per ounce in 2024 for the Total Newmont portfolio
  • Sustaining capital spend of approximately $1.8 billion for the Total Newmont portfolio
  • Development capital spend of approximately $1.3 billion in 2024 for the Total Newmont portfolio

Headwinds

  • Tanami Expansion 2 commercial production expected in the second half of 2027, later than previously anticipated
  • Updated Tanami Expansion 2 development capital estimate of $1.7 to $1.8 billion, higher than previously anticipated
  • Seeking to divest six non-core assets
  • 2024 gold production is expected to be approximately 47% weighted to the first half of the year
  • 2024 outlook assumes $1,900/oz Au, $8,818/tonne Cu, $23.00/oz Ag, $2,976/tonne Zn, $2,205/tonne Pb, $0.70 AUD/USD exchange rate, $0.75 CAD/USD exchange rate and $90/barrel WTI

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 2023

Historical avgQ4 2023

-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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