Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Kinross Gold Corporation (TSE:K) revealed today that its net earnings were $2.5 million, or zero a share, in the three months through September.
This result came as a breeze of fresh air for the Toronto-based miner, who saw a net loss of $52.7 million, or 5 cents a share, in the same period a year ago.
According to Reuters, adjusted earnings of $128.7 million, or 10 cents a share, were ahead of analysts’ expectations of 4 cents a share.
The news agency also reports that the world’s fifth-biggest gold miner was surprised by its own figures since it was “tracking” toward the lower half of its 2016 production forecast of 2.7 million to 2.9 million gold equivalent ounces.
The better-than-expected third-quarter earnings are the product of a stronger gold price and slightly higher production, which totaled 684,129 equivalent ounces of gold, up from 680,679 ounces in the same period of 2015.
