Newmont Mining Announces 3rd Quarter Results

NEMDenver-based Newmont Mining Corp. (NYSE: NEM – $26.00) reported attributable net income from continuing operations of $429 million, or $0.86 per share, up 7% from $400 million, or $0.81 per share in the third quarter of 2012. Third quarter figures benefited from the sale of the company’s investment in Canadian Oil Sands Ltd. for about $587 million, resulting in a pretax gain of $280 million. Adjusted net income was $227 million, or $0.46 per share, compared with $426 million, or $0.86 per share, for the prior year quarter and $0.14 above consensus estimates. Results for the third quarter were favorably impacted by higher production from Nevada and other Australia/New Zealand operations. Improved production and stable operating costs relative to the prior year quarter were offset by declines of 20% and 13%, respectively, in gold and copper prices. The gold and copper miner also declared a dividend of $0.20 per share, five cents less than the previous quarter as gold prices continue to retreat. While the shares continue to hover around 52-week lows, a small position can be maintained in an aggressive portfolio for eventual recovery of gold and copper prices, and hence some appreciation from these levels. 

NEM

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