Summary
Newmont Corporation (NEM) reported its third-quarter 2022 financial results, indicating a mixed performance impacted by inflationary pressures and lower commodity prices compared to the prior year. For the three months ended September 30, 2022, the company generated $2.63 billion in sales, a decrease from $2.89 billion in the same period of 2021. Net income attributable to Newmont stockholders was $213 million, or $0.27 per diluted share, a significant improvement from $3 million, or $0.00 per diluted share, in Q3 2021. This improvement was largely driven by the absence of a significant loss on assets held for sale that impacted the prior year's results. However, costs applicable to sales increased by 13% year-over-year, primarily due to global inflation impacting labor, fuel, energy, and materials. The company also announced the delay of the full-funds investment decision for the Yanacocha Sulfides project in Peru due to these challenging market conditions. Despite these headwinds, Newmont continues to focus on operational improvements, ESG practices, and returning value to shareholders.
Financial Highlights
50 data points| Revenue | $2.63B |
| R&D Expenses | $80.00M |
| Operating Expenses | $2.34B |
| Operating Income | $1.03B |
| Net Income | $213.00M |
| EPS (Basic) | $0.27 |
| EPS (Diluted) | $0.27 |
| Shares Outstanding (Basic) | 794.00M |
| Shares Outstanding (Diluted) | 795.00M |
Key Highlights
- 1Revenue decreased to $2.63 billion in Q3 2022 from $2.89 billion in Q3 2021, reflecting lower sales volumes and realized prices for key metals.
- 2Net income attributable to stockholders was $213 million ($0.27/share) in Q3 2022, a substantial increase from $3 million ($0.00/share) in Q3 2021, primarily due to the absence of a large loss on assets held for sale in the prior year.
- 3Costs applicable to sales increased by 13% year-over-year to $1.55 billion, driven by global inflation affecting labor, fuel, energy, and materials.
- 4The company announced the delay of the full-funds investment decision for the Yanacocha Sulfides project in Peru due to prevailing market conditions.
- 5Cash provided by operating activities for the first nine months of 2022 was $2.21 billion, down from $2.98 billion in the comparable period of 2021.
- 6Free Cash Flow for the first nine months of 2022 was $703 million, a decrease from $1.76 billion in the same period of 2021.
- 7Newmont's Board declared a dividend of $0.55 per share for the quarter.