Top gold miner Newmont ( NYSE: NEM ) -0.4% in early trading Tuesday after reporting weaker than expected Q3 adjusted earnings and revenues , hurt by lower gold prices, higher input costs and a tight labor market.
Q3 gold production totaled 1.49M oz compared with 1.5M oz in Q2 and 1.45M oz in the year-earlier quarter, primarily due to higher ore grade milled at Ahafo, Akyem and Boddington mines, but the company's realized gold price fell to $1,691/oz of gold from $1,836/oz in Q2 and $1,778/oz a year ago, and Q3 all-in sustaining costs rose 13.5% Y/Y to $1,271/oz.
Q3 revenues fell 9% Y/Y to $2.6B, primarily due to lower average realized metal prices, excluding zinc, and lower sales volumes.
Newmont ( NEM ) said it is on track to achieve full-year guidance of 6M oz of attributable gold production with gold all-in sustaining cost of $1,150/oz, as well as production of 1.3M gold equivalent oz from copper, silver, lead and zinc.
"Sales should catch up in Q4 and thus we do not consider the miss reported today as concerning and would be buyers on any weakness," analysts at National Bank Financial wrote.
Newmont's ( NEM ) stock price return shows a 31% YTD loss and a 22% decline during the past year .
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Newmont ticks lower after Q3 earnings miss estimates, revenues fall 9%