Registered users can save articles to their personal articles list. Login here or sign up here

Gold Fields says headline earnings to fall up to 12%

On the back of impairments at its operations.

South Africa’s Gold Fields said on Thursday it expects full-year profit to fall as much as 12% due to impairments and increased amortisation cost at its mines.

The bullion miner flagged headline earnings per share — the main gauge of profit in South Africa — of $0.23 to $0.26 per share for the year ended December 31, 2017, or between unchanged and up to 12% lower compared to a year earlier.

The company, which also operates in Ghana and Peru, said earnings were affected by an increase in amortisation at its Tarkwa, Cerro Corona and St Ives operations, while its last South African asset, South Deep, was hit by impairments.

Shares in Gold Fields were down 5.44% to R47.16 by 1323 GMT after the profit warning.

“It was a big miss, they [the market] expected better results from Gold Fields,” said BP Bernstein trader Vasili Girasis.

The company is due to report full-year results on February 14.

On average, analysts were expecting 2017 earnings per share of $0.23, according to Thomson Reuters Eikon data.

The life of its Cerro Corona mine in Peru would be extended to 2030 from 2023 through additional tailings capacity, with fourth quarter production expected to be 546 000 ounces, the firm said.

COMMENTS   0

To comment, you must be registered and logged in.

LOGIN HERE

Don't have an account?
Sign up for FREE

LATEST CURRENCIES  

ZAR / USD
ZAR / GBP
ZAR / Euro

MARKET INDICATORS

JSE ALSI
DAX
CAC40
NasDaq
Gold / oz
Silver
Platinum / oz
Brent
Rand/Dollar
Rand/Pound
Rand/Euro
Dollar/Euro

Podcasts

GO TO SHOP CART

Follow us:

Search Articles:Advanced Search
Click a Company:
server: 172.17.0.2