Gold Fields (GFI) H2 2024 earnings summary

Executive summary

• 2024 began with operational and weather disruptions, including two fatalities, but a strong H2 recovery led to improved safety, operational, and financial performance, meeting revised guidance.

• Attributable production was 2.07Moz in 2024, down 10% year-on-year, but normalised earnings rose 36% to US$1,227m and free cash flow increased 65% to US$605m.

• Record total dividend of 1,000 SA cents per share (ZAR 10/share), up 34% year-on-year, reflecting robust capital allocation and a payout ratio of 40% of normalised earnings.

• Acquisition of 100% of Osisko Mining (Windfall asset) completed, with first production expected in 2028; Salares Norte ramp-up progressing as planned.

• New operating model and key management appointments implemented to drive future operational and financial improvement.

Financial highlights

• Revenue increased 16% to US$5,202m, driven by a 25% higher gold price, despite a 10% decrease in gold-equivalent ounces sold.

• All-in sustaining cost (AISC) was US$1,629/oz in 2024, up 26% year-on-year; all-in cost (AIC) was US$1,873/oz, up 24% year-on-year.

• Net debt increased to US$2,086m (0.73x EBITDA), mainly due to the Osisko acquisition.

• Headline earnings rose 42% to US$1,188m; profit attributable to owners rose 77% to US$1,245m.

• Adjusted free cash flow reached US$605m, up 65% year-on-year.

Outlook and guidance

• 2025 production guidance: 2.25–2.45Moz, a 9–18% increase year-on-year.

• 2025 AISC expected at US$1,500–1,650/oz; AIC at US$1,780–1,930/oz; capital expenditure US$1.49–1.55bn.

• Capital spend to remain high in 2025, mainly due to Windfall and St. Ives projects.

• Salares Norte ramp-up to commercial production in Q2 2025, steady-state expected Q4 2025; Windfall Project final investment decision expected Q1 2026.

• Focus on advancing ESG targets, St Ives microgrid construction, and mid-point ESG review in 2025.