Fourth Quarter and Year-End 2024 Results February 13th, 2025 Other information Where we say "we", "us", "our", the "Company", or "Kinross" in this presentation, we mean Kinross Gold Corporation and/or one or more or all of its subsidiaries, as may be applicable. The technical information about the Company's mineral properties contained in presentation has been prepared under the supervision of Mr. Nicos Pfeiffer who is a "qualified person" within the meaning of National Instrument 43- 101. Delivering Value. ...

Financial Data and Key Metrics Changes - In Q4 2024, the company produced just over 500,000 ounces of gold, contributing to a full-year production of over 2.1 million ounces, which met market commitments [6][7] - The company generated record free cash flow of more than $1.03 billion, more than doubling from the prior year, driven by strong operating margins that increased by 37% compared to a 23% increase in the realized gold price [7][8] - Full-year cost of sales was $1,021 per ounce, with all-in sustaining costs at $1,388 per ounce, both in line with guidance [25][31] Business Line Data and Key Metrics Changes - Tasiast and Paracatu, the two largest assets, accounted for approximately 1.2 million ounces, over half of the total production [8] - Tasiast delivered record annual throughput and production of 622,000 ounces at a cost of sales of $681 per ounce, while Paracatu produced 529,000 ounces at a cost of sales of $1,039 per ounce [9][38] - La Coipa met its full-year production guidance with 246,000 ounces, while U.S. operations produced 731,000 ounces at a cost of sales of $1,313 per ounce [41][42] Market Data and Key Metrics Changes - The company revised its gold price assumptions to $1,600 per ounce for reserves and $2,000 per ounce for resources, reflecting a stronger gold price environment [15][46] - The company expects production to remain stable at around 2 million ounces through 2027, supported by future production from its project pipeline [17][18] Company Strategy and Development Direction - The company is focused on maintaining strong margins and disciplined capital allocation, prioritizing debt repayment and planning for share buybacks in the current gold price environment [19][29] - The company is advancing several projects, including Great Bear and Red Bird, which are expected to extend production and enhance the overall resource base [11][50] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's operational and financial health, highlighting a strong production profile and significant free cash flow generation [68] - The company is committed to responsible mining and sustainability, with plans to publish a detailed sustainability report [20][21] Other Important Information - The company has fully repaid its $1 billion term loan and is well-positioned for additional capital returns to shareholders [28][29] - The company plans to initiate a share buyback program later in the year, contingent on maintaining strong cash flow [19][29] Q&A Session Summary Question: Inquiry about Tasiast operation downtime - Management confirmed a downtime of about 4 to 5 days for maintenance, but production throughput remained on target [72] Question: Exploration and resource reporting at Round Mountain - Management clarified that there are currently no underground reserves at Phase X, but infill drilling is expected to yield an initial underground resource by year-end [83] Question: Share buyback timing and conditions - Management indicated that share buybacks would be considered after Q1 cash outflows, with a focus on maintaining a strong balance sheet [95][96] Question: Tax guidance and implications - Management explained that increased tax guidance is due to becoming income taxable in Mauritania and higher gold prices impacting tax obligations in Brazil and Chile [109][110] Question: Capital allocation and cash balance considerations - Management stated that they aim to maintain a healthy cash balance while considering future capital returns and potential debt repayments [120][121]

Group 1 - Kinross Gold reported quarterly earnings of $0.20 per share, missing the Zacks Consensus Estimate of $0.23 per share, but showing an increase from $0.11 per share a year ago, resulting in an earnings surprise of -13.04% [1] - The company posted revenues of $1.42 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 27.77%, compared to $1.12 billion in the same quarter last year [2] - Kinross Gold shares have increased approximately 30.1% since the beginning of the year, significantly outperforming the S&P 500's gain of 3.2% [3] Group 2 - The earnings outlook for Kinross Gold is mixed, with the current consensus EPS estimate for the coming quarter at $0.16 on revenues of $1.29 billion, and $0.84 on revenues of $5.38 billion for the current fiscal year [7] - The Mining - Gold industry, to which Kinross Gold belongs, is currently ranked in the top 33% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Newmont Corporation, another company in the same industry, is expected to report quarterly earnings of $0.85 per share, reflecting a year-over-year increase of +70%, with revenues anticipated to be $4.88 billion, up 23.4% from the previous year [9][10]

Production and Sales - Kinross Gold Corporation produced 2,170,791 gold equivalent ounces in 2024, a 1% increase from 2023, with higher production from Fort Knox and Bald Mountain offset by lower production from Paracatu and Round Mountain[12][17]. - Total gold equivalent ounces produced in 2024 were 2,170,791, a 1% increase from 2023, while total gold equivalent ounces sold were 2,153,212, a 1% decrease[85]. - In 2024, Kinross Gold Corporation produced 622,394 gold equivalent ounces at the Tasiast mine, a slight increase of 0% compared to 2023[91]. - At the Paracatu mine, gold equivalent ounces produced decreased by 10% to 528,574, while metal sales increased by 10% to $1,258.9 million[96][99]. - La Coipa mine produced 246,131 gold equivalent ounces, a decrease of 5% compared to 2023, while metal sales increased by 10% to $573.3 million[100][103]. - At Round Mountain, gold equivalent ounces produced decreased by 9% to 215,387 ounces, and ounces sold decreased by 8% to 214,996 ounces due to fewer ounces recovered from heap leach pads[115]. - Bald Mountain saw a 15% increase in gold equivalent ounces produced to 181,047 ounces, driven by higher grades and planned mine sequencing[122]. Financial Performance - Metal sales increased by 21% to $5,148.8 million in 2024, driven by a 23% rise in the average realized gold price to $2,393 per ounce[12][18]. - Net earnings attributable to common shareholders surged by 128% to $948.8 million, with basic and diluted earnings per share rising to $0.77, a 126% increase[12][12]. - Attributable adjusted net earnings increased by 55% to $838.3 million, with adjusted net earnings per share at $0.68, also up 55%[12][12]. - Operating earnings for 2024 reached $1,540.3 million, a 92% increase from 2023[88]. - The company recorded an income tax expense of $487.4 million in 2024, up from $293.2 million in 2023[135]. - Net cash flow from operating activities rose by 52% to $2,446.4 million, reflecting improved operational efficiency[12][12]. - Net cash flow from operating activities increased to $2,446.4 million in 2024 from $1,605.3 million in 2023, reflecting improved margins and favorable working capital movements[25]. - Net cash flow used in financing activities in 2024 was $1,005.9 million, an increase from $549.0 million in 2023, primarily due to term loan repayments of $800.0 million[151]. Costs and Expenses - Production cost of sales rose to $2,197.1 million, an increase of 7%, with production cost per equivalent ounce sold at $1,020, up 8% compared to 2023[12][19]. - Attributable all-in sustaining cost per equivalent ounce sold increased by 5% to $1,388, while the all-in cost per equivalent ounce sold rose by 6% to $1,739[12][20]. - Depreciation, depletion, and amortization expenses increased by 16% to $1,147.5 million, primarily due to a higher depreciable asset base at Tasiast and Bald Mountain[12][21]. - Production cost of sales per equivalent ounce sold at Paracatu rose by 14% to $1,039 due to higher drilling contractor and blasting supply costs[96][99]. - Production cost of sales at La Coipa increased by 27% to $231.3 million, primarily due to higher mill maintenance costs[100][103]. - Production cost of sales increased by 32% to $452.5 million, primarily due to higher contractor, royalty, and reagent costs associated with the start of Manh Choh production[109]. - Production cost of sales per equivalent ounce sold at Bald Mountain decreased by 3% to $1,205, maintaining cost efficiency despite increased production[119]. Future Outlook - The company expects to produce 2.0 million attributable gold equivalent ounces in 2025, with stable production expected for 2026 and 2027[60]. - Attributable production cost of sales per equivalent ounce sold is expected to be $1,120 in 2025, up from $1,021 in 2024[61]. - The expected attributable all-in sustaining cost for 2025 is $1,500 per equivalent ounce sold, compared to $1,388 in 2024[62]. - Attributable capital expenditures for 2025 are forecasted to be approximately $1,150 million, with sustaining capital expenditures of approximately $535 million and non-sustaining capital expenditures of approximately $615 million[65]. - The 2025 forecast for exploration and business development is $200 million, including approximately $175 million for exploration expenditures at various sites[68]. - The forecast effective tax rate for 2025 is expected to be in the range of 32% - 37%[70]. Legal and Regulatory Matters - The company is involved in ongoing legal proceedings, but management believes that the ultimate liability will not materially affect its financial position, results of operations, or cash flows[174]. - The Maricunga operation has faced regulatory challenges, including a series of sanctions from the Chilean environmental authority, leading to a suspension of mining activities since 2016[176]. - In a recent settlement regarding the Maricunga case, the company is required to submit a restoration plan to the environmental authority, which is currently under appeal[177]. - The Kettle River-Buckhorn Mine has faced multiple Notices of Violation (NOV) from the Washington Department of Ecology, asserting discharge limit exceedances[180]. - A citizen's suit was filed against the company under the Clean Water Act, seeking civil penalties of up to $55,800 per day for alleged permit violations, with ongoing litigation and settlement discussions[183]. - Kinross Brasil Mineração S.A. reached a settlement with the State Public Attorney in Brazil, agreeing to pay approximately $7 million over ten years to support socio-environmental projects[184]. - The Manh Choh mine project in Alaska is facing opposition from local groups, but administrative appeals against the project have been unsuccessful to date[185]. - The court has granted judgment on three of the four claims in the lawsuit against the ore haul plan, with the case set for trial on August 11, 2025[187]. Cash and Liquidity - Cash and cash equivalents at the end of 2024 increased by 74% to $611.5 million compared to $352.4 million at the end of 2023[145]. - The company had $1,645.9 million available credit as of December 31, 2024, indicating strong liquidity[167]. - The company repaid $800.0 million of the term loan during 2024, with a remaining balance of $200.0 million as of December 31, 2024[161]. - Total assets increased by $322.3 million to $10,865.6 million in 2024, driven by an increase in cash and cash equivalents and inventories[152]. - Current liabilities rose by $374.6 million to $1,060.1 million, mainly due to the reclassification of a $1.0 billion term loan from long-term to current[152]. - Total debt decreased to $1,435.4 million in 2024 from $2,232.6 million in 2023, reflecting significant term loan repayments[152]. Impairments and Adjustments - In Q4 2024, the Company recorded an after-tax impairment reversal of $73.4 million related to property, plant, and equipment at Round Mountain[22]. - The company recorded an after-tax impairment reversal of $73.4 million in Q3 2024 related to property, plant, and equipment, contrasting with a $35.8 million impairment charge in Q4 2023[193]. Internal Controls and Reporting - The implementation of a new consolidation accounting system was completed in 2024 without material changes to internal controls[198]. - Management concluded that internal control over financial reporting was effective as of December 31, 2024, based on their evaluation[197]. - The company’s financial performance is subject to inherent limitations in disclosure controls and procedures, despite being deemed effective[199].

Core Viewpoint - Kinross Gold Corporation (KGC) is expected to report its fourth-quarter 2024 results on February 12, 2024, with a strong likelihood of beating earnings estimates due to favorable gold prices and production performance [1][5]. Financial Performance - KGC has consistently outperformed earnings estimates, achieving an average earnings surprise of 32.5% over the last four quarters, with a notable 33.3% surprise in the most recent quarter [2]. - The Zacks Consensus Estimate for KGC's fourth-quarter earnings is currently set at 23 cents, with an Earnings ESP of +8.70%, indicating a strong potential for an earnings beat [5][6]. Revenue and Price Trends - The revenue estimate for the upcoming quarter stands at $1,108.1 million, reflecting a slight decline of approximately 0.7% compared to the same quarter last year [7]. - Average realized gold prices for the fourth quarter are projected to be $2,439 per ounce, representing a significant increase of 23.6% year-over-year, driven by strong demand and market conditions [10]. Production and Cost Factors - KGC's production profile remains robust, with key assets like Tasiast and Paracatu contributing significantly to cash flow and production levels [11]. - Despite the positive outlook, KGC faces challenges with rising production costs, which increased by roughly 7% year-over-year in the third quarter, alongside a 4% rise in all-in-sustaining costs [12].

Core Points - Kinross Gold Corporation will release its 2024 fourth-quarter and full-year financial statements and operating results on February 12, 2025, after market close [1] - The company will provide its full-year 2025 guidance, mineral reserve, and mineral resource statement as of December 31, 2024, along with an exploration and project update [1] - A conference call and audio webcast will be held on February 13, 2025, at 8 a.m. ET to present the results, followed by a question-and-answer session [1] Financial Reporting Schedule - Q1 2025 financial statements and operating results will be released on May 6, 2025, with a conference call on May 7, 2025, at 7:45 a.m. ET [5] - Q2 2025 financial statements and operating results will be released on July 30, 2025, with a conference call on July 31, 2025, at 8 a.m. ET [5] - Q3 2025 financial statements and operating results will be released on November 4, 2025, with a conference call on November 5, 2025, at 8 a.m. ET [5] Company Overview - Kinross Gold Corporation is a Canadian-based global senior gold mining company with operations and projects in the United States, Brazil, Mauritania, Chile, and Canada [3] - The company focuses on delivering value based on responsible mining, operational excellence, disciplined growth, and balance sheet strength [3] - Kinross is listed on the Toronto Stock Exchange (symbol: K) and the New York Stock Exchange (symbol: KGC) [3]

Core Insights - Kinross Gold (KGC) has shown strong year-to-date performance, with a return of approximately 61.5%, significantly outperforming the Basic Materials sector, which has returned an average of -6.4% [4] - The Zacks Rank for Kinross Gold is currently 2 (Buy), indicating positive analyst sentiment, with a 17.4% increase in the consensus earnings estimate over the past 90 days [3] - Kinross Gold is part of the Mining - Gold industry, which has an average gain of 14.2% this year, further highlighting KGC's strong performance relative to its peers [5] Company Performance - Kinross Gold's year-to-date return of 61.5% positions it as one of the best-performing stocks in the Basic Materials sector [4] - The company's Zacks Rank of 2 reflects a favorable outlook, with analysts revising earnings estimates upward by 17.4% [3] - In comparison, Rayonier Advanced Materials (RYAM) has also performed well, with a year-to-date increase of 93.3% and a Zacks Rank of 1 (Strong Buy) [4][5] Industry Context - The Basic Materials sector includes 234 individual stocks and currently holds a Zacks Sector Rank of 15, indicating a relatively weak performance overall [2] - The Mining - Gold industry, which includes Kinross Gold, ranks 82 in the Zacks Industry Rank, suggesting that while KGC is performing well, the industry as a whole is not among the top performers [5] - In contrast, the Paper and Related Products industry, which includes Rayonier Advanced Materials, has seen a year-to-date increase of 40.2% and ranks 168 [6]

Core Viewpoint - Kinross Gold Corporation (KGC) presents an attractive investment opportunity due to its favorable valuation metrics, strong production profile, and positive market conditions for gold [1][6][10]. Valuation and Stock Performance - KGC is trading at a forward price/earnings ratio of 11.13X, which is approximately 11.2% lower than the Zacks Mining – Gold industry's average of 12.54X, and has a Value Score of A [1]. - The stock is currently about 9.7% below its 52-week high of $10.82, reached on October 24, 2024, amid rising gold prices driven by U.S. election uncertainties and geopolitical tensions [1]. Technical Indicators - KGC has been trading above the 200-day simple moving average (SMA) since March 6, 2024, although it is currently below its 50-day SMA. The 50-day SMA remains above the 200-day SMA, indicating a bullish trend [3]. Growth Prospects - The company has a robust production profile and a promising pipeline of exploration and development projects, including Great Bear in Ontario and Round Mountain Phase X in Nevada, which are expected to enhance production and cash flow [7]. - KGC's major assets, Tasiast and Paracatu, are key contributors to cash flow and production, with Tasiast being the lowest-cost asset in its portfolio [8]. Financial Health - KGC ended the third quarter with a strong liquidity position of approximately $2.1 billion and generated record third-quarter attributable free cash flows of $414.6 million, supported by high gold prices and operating margins [9]. - The company has reduced its net debt by about $1 billion over the past 18 months, repaying $350 million of debt in the third quarter [9]. Market Conditions - Gold prices have increased by roughly 28% this year, driven by strong demand from central banks, a dovish interest rate outlook from the Federal Reserve, and heightened global uncertainties [10]. - Despite recent pressures from a stronger U.S. dollar, gold prices are expected to receive support from potential future rate cuts [10]. Dividend and Analyst Sentiment - KGC offers a dividend yield of 1.2% with a payout ratio of 20%, indicating a sustainable dividend backed by strong cash flows [11]. - Earnings estimates for KGC have been rising, with the Zacks Consensus Estimate for 2024 earnings currently at 70 cents, reflecting a year-over-year growth of 59.1% [12]. Stock Performance Comparison - KGC's shares have increased by 61.5% year-to-date, outperforming the industry average of 19.2% and the S&P 500's increase of 27.7% [15]. Investment Recommendation - With a strong pipeline of development projects, solid financial health, and favorable market conditions, KGC is recommended for accumulation as it has positive growth prospects [18].

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