Agnico Eagle Mines (AEM) Q4 2024 earnings summary

Executive summary

• Achieved record annual gold production of 3.49 million ounces, record earnings, operating cash flow, and free cash flow of $2.14 billion in 2024, driven by higher gold prices and strong cost control.

• Returned nearly $1 billion to shareholders via dividends and buybacks, and reduced net debt by $1.3 billion to $217 million.

• Advanced key growth projects, including Odyssey, Detour Lake, Upper Beaver, and Hope Bay, and set a record exploration budget, resulting in record mineral reserves.

• Positioned for continued strong performance in 2025 and beyond, with a robust project pipeline, disciplined capital allocation, and stable production outlook.

• Updated three-year guidance forecasts stable gold production at peer-leading costs, with increased investment in pipeline projects.

Financial highlights

• FY2024 gold production reached 3.49 million ounces, above midpoint of guidance; Q4 production was 903 koz.

• Realized gold price averaged $2,384/oz in 2024, up from $1,946/oz in 2023.

• Adjusted net income for FY2024 was $2.12 billion ($4.24/share); adjusted EBITDA was $4.69 billion; free cash flow was $2.14 billion.

• Q4 2024 revenue: $2.2 billion; adjusted earnings: $632 million ($1.26/share); operating cash flow: $1.1 billion ($2.26/share).

• Total cash costs for 2024: $903/oz; AISC: $1,239/oz, both within guidance and below peers.

Outlook and guidance

• 2025–2027 gold production forecast stable at 3.3–3.5 million ounces annually, with 2025 and 2026 slightly below prior guidance due to mine sequencing and deferral of low-margin ore.

• 2025 total cash costs per ounce expected at $915–$965; AISC per ounce at $1,250–$1,300, both up 3–4% from 2024.

• Capital expenditures for 2025 expected at $1.75–$1.95 billion, with $290–$310 million for capitalized exploration.

• Steady production expected through 2027, with growth projects (Malartic, Detour, Hope Bay, Upper Beaver) driving future upside.

• Effective tax rate for 2025 expected at 33–38%, with cash taxes of $1.1–$1.2 billion.