Newmont Q3 results beat, but warns rise in Q4 unit costs
Newmont Q3 results beat, but warns rise in Q4 unit costs
Overview
US gold miner's Q3 revenue rose and beat analyst expectations
Adjusted EPS for Q3 beat analyst expectations
Company returned $1.9 bln to shareholders, reducing share count by 10% since Feb 2024
Outlook
Company lowers 2026 gold by-product cost guidance to $925 per ounce for CAS and $1,520 for AISC, keeps 5.3 million ounce production and capital guidance, but warns Q4 unit costs will rise
Company improves 2026 gold by-product CAS guidance to $925/oz and AISC to $1,520/oz
Newmont warns El Niño-related drought may impact Lihir production and costs in Q4
Result Drivers
PRODUCTION GAINS - Higher gold output at Cadia, Brucejack and Peñasquito offset declines at Lihir, Boddington and Yanacocha
COST IMPROVEMENTS - Lower gold by-product costs driven by higher volumes and copper prices, partly offset by lower silver prices and higher diesel costs
REVENUE AND TAXES - Higher gold sales volumes, improved copper prices and lower tax expense boosted net income
Company press release: ID:nBw1YshsZa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $6.36 bln | $6.28 bln (9 Analysts) |
Q3 Adjusted EPS | Beat | $2.20 | $2.08 (13 Analysts) |
Q3 Adjusted Net Income |
| $2.31 bln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 24 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the gold peer group is "buy"
Wall Street's median 12-month price target for Newmont Corporation is $140.00, about 19.5% above its October 21 closing price of $117.18
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 9 three months ago
Reuters Recommended Reads
Oct 20 - Canada's Altius Minerals sees record Q3 royalty revenue
Oct 21 - El Niño could be strongest in 40 years, UN weather agency chief says
Oct 21 - Saudi crude oil exports hit five-month high in August, data shows
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)