S. Africa’s Gold Fields sees profit drop on lower production, costs

South Africa’s Gold Fields (GFIJ.J) on Wednesday said it expects its half-year profit to decline by as much as 16%, mainly due to lower gold production and higher operating costs.

Gold Fields expects its headline earnings per share (HEPS) – the main profit measure in South Africa – to come in between $0.49 and $0.53 in the six months to June 30, compared with $0.58 during the same period last year.

The miner’s gold production is expected to be 4% lower at 1.154 million ounces compared with the first half of 2022, while all-in sustaining costs (AISC) – an industry measure – are expected to be 6% higher at $1,215 per ounce.

The impact of lower gold volumes sold and higher operating costs incurred in the first half were partially offset by a higher gold price, Gold Fields said.

Gold Fields will release its half-year results on Aug. 17.

Source: Reuters