Business
Kinross Gold reports strong 2020 third-quarter results
Significant increase in earnings and cash flow Company on track to meet annual guidance for ninth consecutive year TORONTO, Nov. 04, 2020 (GLOBE NEWSWIRE) --
About this update from Kinross Gold Corporation
[{"type":"text","content":" Significant increase in earnings and cash flow Company on track to meet annual guidance for ninth consecutive year TORONTO, Nov. 04, 2020 (GLOBE NEWSWIRE) -- Kinross Gold Corporation (TSX: K, NYSE: KGC) today announced its results for the third quarter ended September 30, 2020.(This news release contains forward-looking information about expected future events and financial and operating performance of the Company. We refer to the risks and assumptions set out in our Cautionary Statement on Forward-Looking Information located on page 18 of this release. All dollar amounts are expressed in U.S. dollars, unless otherwise noted.) 2020 third-quarter highlights: Q3 2020 results First nine months 2020 results 2020 guidance(+/- 5%) Gold equivalent production1 (ounces) 603,312 1,742,616 2.4 million Production cost of sales 1,2($ per Au eq. oz.) $737 $738 $720 All-in sustaining cost1,2 ($ per Au eq. oz.) $958 $978 $970 Capital expenditures $212.1 million $617.8 million $900 million Kinross remains on track to meet its original 2020 guidance for production, cost of sales per ounce, all-in sustaining cost per ounce and capital expenditures for the ninth consecutive year, despite impacts from the COVID-19 pandemic. Production1, 2 of 603,312 attributable gold equivalent ounces (Au eq. oz.), and sales of 588,559 Au eq. oz. Production cost of sales1,2 of $737 per Au eq. oz. and all-in sustaining cost1,2 of $958 per Au eq. oz. sold, both of which are within the Company’s 2020 guidance range. Attributable margin per Au eq. oz. sold3 increased 60% to $1,171 per Au eq. oz. compared with Q3 2019, significantly outpacing the year-over-year 30% increase in the average realized gold price4. Operating cash flow more than doubled to $544.1 million, and adjusted operating cash flow2 increased by 86% to $549.6 million, compared with Q3 2019. Reported net earnings5 nearly quadrupled to $240.7 million, or $0.19 per share, and adjusted net earnings2 nearly tripled to $310.2 million, or $0.25 per share, compared with Q3 2019. Cash and cash equivalents of $933.5 million and total liquidity of $2.5 billion at September 30, 2020. The Company also further improved its debt metrics, including its net debt to EBITDA ratio. Kinross’ Board of Directors declared a quarterly dividend of $0.03 per common share payable on December 10, 2020 to shareh...