NEM Earnings Prediction
The chart below shows how NEM performed 10 days before and after its earnings report, based on data from the past quarters. Typically, NEM sees a -0.47% change in stock price 10 days leading up to the earnings, and a -4.10% change 10 days following the report. On the earnings day itself, the stock moves by +0.30%. This data can give you a slight idea of what to expect for the next quarter's release.
NEM Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
5.65B
42.84%
22.74%
Gross Margin
45.79%
83.38%
26.74%
Operating Margin
41.08%
442.33%
46.66%
Net Margin
25.14%
131.48%
32.32%
EPS
1.24
138.39%
55.00%
No Data Available
NEM Earnings Analysis
Newmont Corporation Corporation (NEM.N) Earnings Conference Call
Positive
Earnings Per Share Beat: Newmont Corporation reported an EPS of $1.4, exceeding expectations of $1.11.
Production Performance Exceeds Guidance: In 2024, Newmont exceeded production guidance, delivering 6.8 million ounces of gold and over 150,000 tons of copper, with 85% from core portfolio.
Free Cash Flow Surge: The company generated $2.9 billion in free cash flow last year, with a record $1.6 billion in Q4, driven by strong gold prices and higher sales volumes.
Shareholder Value Commitment: Newmont returned $2.3 billion to shareholders through dividends and share repurchases, demonstrating commitment to shareholder value.
Divestment Program Proceeds: The divestment program resulted in potential pretax proceeds of up to $4.3 billion, with $2.5 billion expected in cash proceeds in the first half of 2025.
Strong Financial Position: Newmont ended the year with over $3.6 billion in cash and $7.7 billion in liquidity, maintaining a strong balance sheet.
Debt Retirement Achievement: The company retired $1.4 billion in debt, reaching a target balance below $8 billion.
Gold Reserve Strength: Newmont's gold reserve base is at 134 million ounces, supported by 170 million ounces of gold resources, indicating strong long-term potential.
Future Production Outlook: The company expects to produce roughly 6 million ounces of gold and around 150,000 tons of copper annually over the next decade, ensuring robust production.
Safety and Productivity Focus: Newmont's focus on safety, cost, and productivity improvements is expected to drive stable and predictable production, enhancing margins and cash flows.
Negative
Operational Integration Challenges: Challenges in integrating new operations, specifically at Cadia and Lihir, which are hindering production and financial results.
Projected Cost Increase: All-in sustaining costs are projected to increase to $1,620 per ounce in 2025, driven by higher sustaining capital investments and macroeconomic factors.
Rising Sustaining Costs Impact Cash Flow: The first quarter of 2025 is expected to see the highest all-in sustaining costs, leading to a notable decrease in free cash flow compared to the fourth quarter of 2024.
Lowered Production Guidance: Production guidance for 2025 is lower than previous years, with expectations of around 5.6 million ounces of gold from the core portfolio, indicating potential production instability.
Ore Grade Transition Impact: The transition from higher-grade ore to lower-grade ore at Ahafo is expected to drive a slight reduction in production in the first half of 2025.
G&A Cost Reduction Strategy: The company acknowledges that G&A costs are too high and is focused on reducing them as it transitions to fewer managed operations.
NEM FAQs
How does NEM typically perform around its earnings report dates?
Is Newmont Corporation (NEM) Q4 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
NEM Earning Call Sentiment
Newmont Corporation (NYSE:NEM) Q4 2024 Earnings Call Transcript
NEM.N
0.58%Positive
The earnings call presents a strong financial performance with EPS beating expectations and record free cash flow, despite high G&A costs. The share repurchase program and maintained dividends further support positive sentiment. While there are concerns about long-term guidance and certain project timelines, the divestment proceeds and debt reduction indicate financial health. The positive production outlook and cost reduction in Q4 2024 add to the optimism. Overall, the positive elements outweigh the uncertainties, suggesting a likely positive stock price movement.
