Agnico Eagle's Q3 Earnings Beat Estimates on High Gold Prices

Core Insights - Agnico Eagle Mines Limited (AEM) reported adjusted earnings of $2.16 per share for Q3 2025, an increase from $1.14 in the same quarter last year, exceeding the Zacks Consensus Estimate of $1.76 [1][9] - The company generated revenues of $3,059.5 million, reflecting a year-over-year increase of 41.9%, surpassing the Zacks Consensus Estimate of $2,727.2 million [1][9] Operational Highlights - Payable gold production reached 866,963 ounces, slightly up from 863,445 ounces in the prior-year quarter, exceeding the estimate of 839,898 ounces [2] - Total cash costs per ounce for gold were $994, an increase from $921 a year ago, surpassing the estimate of $948 [2] - Realized gold prices were $3,476 per ounce, up from $2,492 a year ago, exceeding the estimate of $3,290 [2] - All-in-sustaining costs (AISC) were $1,373 per ounce, compared to $1,286 per ounce a year ago, beating the estimate of $1,309 [3] Financial Position - AEM ended the quarter with cash and cash equivalents of $2,355 million, a sequential increase of 51.2% [4] - Long-term debt was approximately $196 million [4] - Total cash from operating activities amounted to $1,816 million in Q3, up from $1,085 million a year ago [4] Outlook - For the full year 2025, the company maintains gold production expectations between 3.3 million and 3.5 million ounces [5] - Total cash costs per ounce are projected between $915 and $965, while AISC is forecasted in the range of $1,250 to $1,300 per ounce [5] - Exploration and corporate development expenses are expected to be between $215 million and $235 million, with a midpoint of $225 million [6] - Depreciation and amortization expenses are forecasted to be $1.55-$1.75 billion, averaging $1.65 billion [6] - The effective tax rate for 2025 is expected to be between 33% and 38%, with cash taxes estimated in the range of $1.1 billion to $1.2 billion [7] - Capital expenditures (excluding capitalized exploration) are planned between $1.75 billion and $1.95 billion [7] Price Performance - Agnico Eagle's shares have gained 84.5% in the past year, compared to a 74.1% rise in the industry [8]