Newmont Corp. posted its worst day in 12 months after the world’s biggest gold producer reported earnings that missed analyst estimates following a series of operational setbacks.
(Bloomberg) — Newmont Corp. posted its worst day in 12 months after the world’s biggest gold producer reported earnings that missed analyst estimates following a series of operational setbacks.
The shares fell 6% in New York, for the biggest daily decline since July 2022.
Newmont’s second-quarter gold production dropped 17% from a year earlier after it suspended the large Penasquito mine in Mexico due to a workers’ strike and reported weaker-than-expected performances from its Cerro Negro mine in Argentina and Akyem mine in Ghana. It also temporarily shuttered a mine in Canada because of nearby wildfires. Overall production costs rose to $1,472 an ounce, exceeding the average analyst estimate compiled by Bloomberg.
Newmont, which is working to close its acquisition of Newcrest Mining Ltd. in the industry’s largest-ever deal, has seen its shares tumble 10% this year, even as spot gold prices are up about 8%.
The company reiterated its full-year forecasts on Thursday and said it expects a stronger second half.
(Updates with closing prices.)
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