The world's largest gold mining company surpassed Wall Street profit forecasts for the fourth quarter, benefiting from record-high gold prices despite reduced production. Newmont announced plans to invest $1.4 billion in developing mining assets acquired through its major acquisition of Newcrest.
The globe’s biggest gold mining corporation exceeded financial analysts’ expectations for fourth-quarter earnings on Thursday, as historic gold price surges compensated for decreased output levels. The company also announced a $1.4 billion investment plan for developing properties obtained from its Newcrest acquisition.
Following the earnings announcement, Newmont’s stock price climbed 2% to $127.96 during after-hours trading sessions.
The precious metal has reached numerous all-time highs in recent months, fueled by anticipated Federal Reserve interest rate reductions, increased global political tensions, and widespread economic instability.
During the final quarter of 2025, gold averaged $4,135 per ounce, representing a 56% increase compared to the same period the previous year.
The mining company reported an average selling price of $4,216 per ounce, marking nearly a 60% year-over-year improvement, though production decreased by almost 24% to 1.45 million ounces.
According to Newmont, output declined due to scheduled mining operations at several locations including Peñasquito, Ahafo South, Yanacocha, Brucejack and Cadia facilities.
The mining giant will allocate $1.4 billion toward advancing immediate development initiatives, encompassing the Cadia Panel Caves project, Tanami Expansion 2, and feasibility research for Red Chris.
These Australian projects and the Canadian Red Chris operation became part of Newmont’s portfolio through its $17 billion Newcrest purchase completed in 2023.
Additionally, the company intends to invest approximately $1.95 billion in maintenance capital expenditures, including essential tailings infrastructure improvements at Cadia and Boddington sites to prolong operational lifespans across its mining portfolio.
When asked about operational improvements, CEO Natascha Viljoen stated: “The focus on operational improvement is high on our agenda and we have teams on the ground continuously supporting at Nevada Gold Mines.”
The mining company also projected reduced 2026 gold output at 5.3 million ounces, down from the previous year’s production of 5.89 million ounces.
Newmont delivered adjusted earnings of $2.52 per share, significantly outperforming the $2.00 average analyst projection compiled by LSEG data.