(Reuters) – Newmont missed Wall Street expectations for third-quarter profit on Wednesday, as higher costs and lower production in Nevada weighed on the world’s largest gold producer.
All-in-sustaining-costs for gold, an industry metric reflecting total expenses, rose to $1,611 per ounce in the July-September quarter, from $1,426 per ounce a year ago.
The company owns a non-operating minority stake in Nevada Gold Mines, along with rival Barrick Gold, whose third-quarter production fell short of Wall Street expectations earlier this month due to lower output at the Nevada mines.
Newmont said gold production at Nevada stood at 242 thousand ounces during the third quarter, compared with 300 thousand ounces last year.
However, the company’s total production rose to 1,668 thousand ounces, compared with 1,291 thousand ounces last year due to higher production at Cerro Negro in Argentina.
The Denver, Colorado-based company posted an adjusted profit of 81 cents per share, compared to analysts’ expectations of 86 cents per share, according to data compiled by LSEG.
(Reporting by Vallari Srivastava and Sourasis Bose in Bengaluru; editing by Alan Barona)
