Newmont profit slumps on lower gold prices

Miner Newmont on Monday reported a drop of about 41% in second-quarter adjusted profit, hurt by lower gold prices.

Bullion prices faced their worst quarter since early 2021, falling nearly 7% in the three months ended June, as a firm dollar and aggressive rate hikes from central banks to rein in inflation eroded the appeal of the non-yielding asset.

The company said its all-in sustaining cost, an industry metric that reflects total expenses associated with production, rose to $1 199 per ounce of gold from $1 035 per ounce.

The attributable gold production in the quarter rose to 1.5-million ounces from 1.45-million ounces a year earlier.

Net income from continuing operations dropped to $379-million, or 48c a share, in the quarter ended June 30, from $640-million, or 80c a share a year earlier.