Goldcorp’s Q4 earnings surprise as decentralised business reaps rewards
VANCOUVER (miningweekly.com) – Miner Goldcorp has reported a better-than-expected fourth-quarter profit, as substantially lower costs at its gold mines in the Americas and a higher gold price offset lower output, the company said on Wednesday.
The Vancouver-based company reported net earnings of $101-million, or $0.12 a share, for the quarter ended December 31, compared with a net loss of $4.3-billion, or $5.14 a share, in the comparable period a year earlier, when it booked a massive $3.9-billion impairment charge.
Goldcorp beat the average analyst forecast for earnings of $0.09 a share.
"In 2016, we undertook a significant restructuring to substantially grow the net asset value per share of our company by decentralising the business to drive accountability down to the mine sites, significantly reducing operating costs, selling noncore assets and reinvesting that capital into a robust internal pipeline and a new geologically prospective mining camp in the Yukon,” president and CEO David Garofalo stated.
All-in sustaining costs (AISC) fell to $747/oz in the period, from $977/oz a year earlier, with full-year 2016 AISC falling to $856/oz, down from $894/oz in 2015.
Goldcorp produced 761 000 oz of gold in the fourth quarter, down 16% over the comparable period of 2015, with full-year 2016 output dropping 17% year-on-year to 2.87-million ounces.
For 2017, Goldcorp expects to produce 2.5-million ounces of gold at an AISC of $850/oz. The company has outlined a prodigious five-year growth profile that will see it raise output by 20% to three-million ounces, lift gold reserves by 20% to 50-million ounces and reduce AISC by 20% to $700/oz.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Multotec, recognised industry leaders in metallurgy and process engineering help mining houses across the world process minerals more efficiently,...
VISIT SHOWROOM
We at Hawk High Pressure Pumps specialise in industrial pumps and pumping systems. Our high pressure washing equipment is locally manufactured and...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
