Newmont Reports Fourth Quarter and Full Year 2023 Results; Provides 2024 Outlook for Integrated Company

Core Viewpoint - Newmont Corporation reported its fourth quarter and full year 2023 results, highlighting a transformational year with the completion of the Newcrest acquisition and a focus on integrating and optimizing its Tier 1 asset portfolio for future growth [2][3][34]. 2023 Results - Newmont completed the acquisition of Newcrest Mining Limited on November 6, 2023, establishing itself as the world's leading gold company with significant copper optionality [3]. - The company delivered $1.4 billion in dividends to shareholders in 2023 [3]. - Gold production totaled 5.5 million ounces, with an additional 891 thousand gold equivalent ounces from other metals, aligning with revised guidance [3]. - Gold Costs Applicable to Sales (CAS) per ounce were reported at $1,050, while All-In Sustaining Costs (AISC) per ounce were $1,444, both in line with revised guidance [3]. - Newmont generated $2.8 billion in cash from continuing operations, reporting a net loss of $2.5 billion primarily due to impairment and reclamation charges [3][9]. - Adjusted Net Income was $1.61 per share, with Adjusted EBITDA of $4.2 billion for the full year [3][22]. 2024 Outlook - Newmont's production guidance for 2024 is approximately 6.9 million gold ounces, supported by 5.6 million ounces from its Tier 1 portfolio [4][36]. - Gold CAS is expected to remain at $1,050 per ounce, with AISC projected at $1,400 per ounce for the total portfolio [4][36]. - The company plans to invest approximately $1.8 billion in sustaining capital and $1.3 billion in development capital in 2024 [4][41]. - Key near-term development projects include Tanami Expansion 2, Ahafo North, Cadia Block Caves, and Cerro Negro Expansion 1 [4][27]. Financial Performance - Average realized gold price for Q4 2023 was $2,004 per ounce, a 14% increase from the prior year [11][14]. - Revenue for Q4 2023 increased 24% to $4.0 billion, driven by higher sales volumes and gold prices [15]. - Adjusted Net Income for Q4 2023 was $486 million, or $0.50 per share, reflecting improved sales volumes and realized prices [16]. - Free Cash Flow for the year decreased to $88 million, down from $1.1 billion in the prior year [24]. Production and Cost Metrics - Attributable gold production for 2023 decreased 7% to 5.55 million ounces compared to the previous year [18]. - Gold CAS per ounce increased 13% to $1,050, while AISC per ounce rose 19% to $1,444 [19]. - Attributable GEO production from other metals decreased 30% to 891 thousand ounces, primarily due to the Peñasquito labor strike [19]. Capital Expenditures - Capital expenditures for 2023 increased 25% to $2.7 billion, primarily due to higher sustaining capital spend [23]. - Development capital expenditures were focused on projects such as Tanami Expansion 2 and Ahafo North [23][41]. Strategic Focus - Newmont's go-forward portfolio emphasizes Tier 1 assets, with plans to divest six non-core assets [34]. - The company aims to achieve $500 million in synergies from the Newcrest transaction by the end of 2025 [4][34].