AngloGold Ashanti plc(AU) - 2025 Q3 - Earnings Call Transcript

Financial Data and Key Metrics Changes - Free cash flow for the quarter was almost $1 billion, up 141% year-on-year, and close to the total free cash flow generated for all of 2024 [4][6] - Adjusted EBITDA grew by 109%, and headline earnings increased by 185% [6] - The adjusted net cash position improved to $450 million, marking the strongest balance sheet ever for the company [4][6] Business Line Data and Key Metrics Changes - Production benefited from higher contributions from Obuasi, Kibali, Geita, and Cuiabá, while lower tonnes and grades were reported at Iduapriem and Sunrise Dam [5] - Total cash cost for managed operations year-to-date was only up 3%, despite macro factors indicating a 9% increase due to inflation and rising royalties [5][6] Market Data and Key Metrics Changes - The realized inflation rate was around 4.7%, exerting upward pressure on the cost base [19] - Production was reported to be 17% higher year-on-year [19] Company Strategy and Development Direction - The company is focused on lifting performance from core assets and driving margin growth through cost discipline [9][10] - Investments in exploration are expected to grow reserves significantly, particularly at Geita, with a total of $50 million allocated for exploration [12][14] - The company is also laying a foundation for growth in Nevada, with the Arthur complex anticipated to become a long-life, multi-million ounce producer [17] Management's Comments on Operating Environment and Future Outlook - Management emphasized the importance of discipline and execution, highlighting the contributions of the workforce in achieving reliable and predictable results [27] - The company is committed to maintaining strong cash flow and managing costs effectively despite inflationary pressures [4][19] Other Important Information - The dividend policy includes a quarterly payout of $12.50 per share, with a total dividend declaration of $460 million for Q3, matching the amount declared in the first half of the year [7][8] - The sale of Sierra Grande is expected to be finalized before the end of the year, allowing the company to sharpen its focus on core business [9] Q&A Session Summary Question: Can we expect to see a big CapEx number in Q4 or will some of this be rolled over into 2026? - The company anticipates relatively stable capital spending and will manage it within the guidance range for the full year [21][23] Question: What is the outstanding dividend payment from CVSA, and is it likely that you receive an amount this quarter? - The company has made significant progress on cash lock-ups in Argentina and has no restrictions on how much can be flowed back to the parent company [24][25] Question: Have any bonds been paid back over the quarter? - The answer was no, not very much has been paid back [26]