Gold major Barrick Gold posted second-quarter adjusted earnings that missed analysts’ estimates as gold sales declined in the three months ended June.
The Toronto-headquartered company’s adjusted net earnings came to $81-million, or $0.07 a share, compared with $261-million, or $0.22 a share in the June 2017 quarter.
Analysts, on average, expected adjusted earnings of $0.10 a share for the June quarter.
Barrick said that net earnings came fell into the negative, reporting a net loss of $94-million, or $0.08 a share.
Second-quarter revenue amounted to $1.71-billion, compared with $2.16-billion a year earlier.
Gold production in the second quarter was 1.07-million ounces, at a cost of sales applicable to gold of $882/oz, all-in sustaining costs (AISC) of $856/oz, and cash costs of $605/oz. Copper production was 83-million pounds, at a cost of sales applicable to copper of $2.45/lb, AISC of $3.04/lb, and C1 cash costs of $2.10/lb.
“We expect gold production and costs to improve steadily over the second half of the year, driven by stronger performance at Barrick Nevada and Pueblo Viejo. Gold production in the third quarter is anticipated to be around 1.2-million ounces,” Barrick stated in its second-quarter results announcement, which was released after the market closed on Wednesday.
The group maintained its production and costs guidance of 4.5-million to 5-million ounces, at a cost of sales of $810/oz to $850/oz, AISC of $765/oz to $815oz and cash costs of $540oz to $575oz.
Full-year copper production is expected to be 345-million to 410-million pounds, at a cost of sales of $2.00/lb to $2.30/lb.