SEATTLE (Scrap Monster): Newmont Corporation announced results for the second quarter 2022. The company delivered solid second quarter production and free cash flow results, though revenue missed estimates.
Newmont produced 1.5 million attributable ounces of gold and 330,000 attributable gold equivalent ounces from co-products. The company generated $1.0 billion of cash from continuing operations and $514 million of free cash flow. The rising costs and falling metal prices impacted adjusted EBITDA, which dropped to $1,149. Newmont reported adjusted net income of $0.46 per share.
The company raised its annual cost forecast and warned that inflationary pressures would persist into 2023. Newmont expects prices for raw materials to witness 20-30% spike in the second half of the year. It foresees tight labour market to persist into 2023. On account of the above, the company hiked its annual forecast for all-in sustaining costs (AISC) from $1,050 per ounce earlier to $1,150 per ounce.
Commenting on the results, Tom Palmer, President and Chief Executive Officer, Newmont said that the company remains well-positioned to safely manage through the evolving and unprecedented challenges facing the industry.