Kinross' (KGC) Earnings and Sales Surpass Estimates in Q1

Core Viewpoint - Kinross Gold Corporation reported strong financial results for the first quarter of 2024, with significant increases in profit, revenue, and production compared to the previous year [1][2]. Financial Performance - Profit from continuing operations was $107 million or 9 cents per share, up from $90.2 million or 7 cents per share in the same quarter last year [1]. - Adjusted earnings were 10 cents per share, an increase from 7 cents in the prior-year quarter, surpassing the Zacks Consensus Estimate of 6 cents [1]. - Revenues rose 16% year over year to $1,081.5 million, exceeding the Zacks Consensus Estimate of $876.9 million [1]. Operational Performance - The company produced 527,399 gold equivalent ounces, a 13% increase year over year, surpassing the estimate of 458,590 ounces [2]. - Average realized gold prices were $2,070 per ounce, up 9% from the previous year, beating the estimate of $1,913 per ounce [2]. - Production cost of sales per gold equivalent ounce was $982, down 0.5% year over year and below the estimate of $990 [2]. - All-in-sustaining cost per gold equivalent ounce sold fell nearly 1% year over year to $1,310, also below the estimate of $1,356 [2]. - Margin per gold equivalent ounce sold increased to $1,088 from $907 in the prior-year quarter [2]. Financial Position - Cash and cash equivalents at the end of the quarter were $406.9 million, down approximately 19.6% year over year [3]. - Long-term debt decreased to $1,234 million, down about 43% year over year [3]. Outlook - For 2024, Kinross expects production to be around 2.1 million gold equivalent ounces (+/- 5%) [4]. - The company anticipates a production cost of sales of $1,020 per gold equivalent ounce (+/- 5%) and an all-in-sustaining cost of $1,360 (+/- 5%) for the year [4]. - Capital expenditures are projected at approximately $1,050 million (+/- 5%) for 2024 [4]. Price Performance - Kinross' shares have increased by 27.5% over the past year, contrasting with a 5.6% decline in the industry [5].