Newmont (NEM) Q4 2024 earnings summary

Executive summary

• 2024 marked a transformational year with the integration of acquired assets, portfolio rationalization, and business stabilization, positioning the company as the world's largest gold producer with significant copper growth opportunities.

• Record fourth quarter performance included record operating cash flows and highlighted the business's long-term potential.

• Safety performance and culture remained a top priority, with refreshed programs and leadership training to empower safe, productive work.

• Agreements in place to divest all six non-core operations, targeting up to $4.3 billion in proceeds, including $2.5 billion in cash in H1 2025.

• Returned $2.3 billion to shareholders via dividends and share repurchases, with $1.2 billion in buybacks and $1.1 billion in dividends in 2024.

Financial highlights

• Generated $2.9 billion in free cash flow for 2024 and a record $1.6 billion in Q4, driven by strong gold prices, higher sales, and positive working capital.

• Reported net income of $3.4 billion for 2024, with adjusted EBITDA of $8.7 billion, and revenue of $18.7 billion, up 58% year-over-year.

• Produced 6.8 million ounces of gold and 153,000 tons of copper in 2024, a 23% increase year-over-year.

• Ended 2024 with $3.6 billion in cash and $7.7 billion in liquidity, after retiring $1.4 billion in debt.

• Gold AISC for 2024 was $1,461/oz; costs applicable to sales per gold ounce were $1,126.

Outlook and guidance

• 2025 gold production from the core Tier 1 portfolio expected at 5.6 million ounces, with total attributable production at 5.9 million ounces including non-core assets in Q1.

• 2025 AISC forecasted at $1,620/oz for Tier 1 portfolio and $1,630/oz for the total portfolio; sustaining capital at $1.8 billion and development capital at $1.3 billion.

• Production and free cash flow expected to be weighted to the second half of 2025, with Q1 AISC highest and sequentially higher free cash flow each quarter.

• Long-term average annual production projected at 6 million ounces of gold and 150,000 tons of copper.

• 2025 guidance based on $2,500/oz gold, $9,370/t copper, and key FX and oil price assumptions.