Barrick Mining (ABX) Q3 2024 earnings summary

Executive summary

• Achieved higher margins and profitability due to record gold prices, disciplined investment, and cost control; copper production rose 12% quarter-over-quarter.

• Net earnings per share increased 33% year-over-year to $0.28; adjusted net EPS was $0.30.

• Operating cash flow reached $1.18 billion, with free cash flow up 31% quarter-on-quarter to $444 million, highest since Q1 2021.

• Strong foundation for Q4, with major projects ramping up at Pueblo Viejo, Nevada Gold Mines, and higher grades at Kibali.

• Feasibility studies for Reko Diq and Lumwana Super Pit are on track for year-end completion, supporting reserve replacement and future growth.

Financial highlights

• Q3 revenue was $3.37 billion, up 18% year-over-year; net earnings were $483 million, up 31% year-over-year.

• Attributable EBITDA was $1.29 billion (46% margin); adjusted net earnings were $529 million.

• Realized gold price was $2,494/oz (up 29% year-over-year); realized copper price was $4.27/lb (up 13% year-over-year).

• Free cash flow: $444 million, highest since Q1 2021; net debt reduced by 27% quarter-on-quarter to $500 million.

• $95 million in share buybacks executed in Q3; quarterly dividend maintained at $0.10 per share.

Outlook and guidance

• 2024 gold production guidance remains 3.9–4.3 million ounces at all-in sustaining costs of $1,320–$1,420/oz.

• 2024 copper production is guided at 180–210 thousand tonnes, with all-in sustaining costs of $3.10–$3.40/lb.

• Q4 is expected to deliver materially improved results, driven by higher throughput and grades at key operations.

• Feasibility studies for Reko Diq and Lumwana Super Pit are expected by year-end, with construction at Lumwana targeted for 2025.

• Base case gold equivalent production expected to grow over 30% by 2030, driven by Reko Diq and Lumwana Super Pit.