Q: What is Newmont Mining(NEM) 2024 Earnings Summary?
Bullish Points:
- Adjusted net income for Newmont Mining (NEM) increased to $630 million ($0.55 per diluted share) in Q1 2024 from $320 million ($0.40 per diluted share) in Q1 2023.
- Adjusted EBITDA rose to $1,694 million in Q1 2024, a 71% increase from the previous year.
- Operating cash flow was $776 million, up 61% from the prior year.
- Sales increased to $4,023 million in Q1 2024 from $2,679 million in Q1 2023, driven by higher sales volumes and gold prices.
- The company ended Q1 2024 with $2.3 billion in cash, an additional $342 million in cash included in Current assets held for sale, and total liquidity of $6.7 billion.
- Paid and declared dividends of $0.25 per common share for the period ended March 31, 2024.
- The acquisition of Newcrest is expected to increase gold reserves and expand operations.
- The company has a disciplined capital allocation strategy, aiming to self-fund development projects, reduce debt, and return cash to stockholders.
- The Board declared a dividend of $0.25 per share in April 2024 and authorized a stock repurchase program of up to $1 billion to be executed at the company's discretion.
Bearish Points:
- Net income from continuing operations attributable to Newmont stockholders for Q1 2024 was $166 million ($0.15 per diluted share), a decrease from $339 million ($0.42 per diluted share) in Q1 2023.
- Costs applicable to sales were $2,106 million in Q1 2024, up from $1,482 million in Q1 2023.
- Free cash flow was negative $(74) million in Q1 2024.
- Loss on assets held for sale was reported at $485 million in Q1 2024, with no comparable loss in Q1 2023.
- Comprehensive income attributable to Newmont stockholders was $140 million in Q1 2024 compared to $345 million in Q1 2023.
- Cash and cash equivalents decreased to $2,336 million as of March 31, 2024, from $3,002 million as of December 31, 2023.
- The company's equity decreased to $29,075 million as of March 31, 2024, from $29,205 million as of December 31, 2023.
- The effective income tax rate for Q1 2024 was 61%, resulting in an income and mining tax expense of $260 million, compared to a 40% rate and $213 million expense in Q1 2023.
- The company is involved in various legal proceedings and environmental compliance issues that could potentially impact financials.
The final result summarized here is based on the provided financial report keypoints for Newmont Mining (NEM) and is intended to be objective, neutral, and dialectical. For more information, you can read the original text of Newmont Mining's financial report at the following link: Newmont Mining's financial report.
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