MELBOURNE, Australia, Aug. 13, 2012 /CNW/ - Newcrest Mining Limited ("Newcrest" or "the Company") (ASX: NCM) (TSX: NM) today released its Financial Results for the twelve months ending 30 June 2012.:
Newcrest delivered a Statutory Profit of A$1,117 million and generated a strong Operating Cash Flow of A$1,726 million. Statutory Profit was 23% higher than the previous year driven primarily by a higher realised gold price. Underlying profit increased 2% to A$1,084 million.
2012 was a year of significant investment in growth with total capital expenditure in the year of A$2,556 million. Significant progress was made on advancing the Company's two major growth projects: as at 30 June 2012 the US$1.3 billion Lihir Million Ounce Plant Upgrade (MOPU) was approximately 91% complete and the A$1.9 billion Cadia East project was approximately 80% complete. The successful delivery of these two projects underpins Newcrest's future production growth profile and both projects remain on schedule for completion (Lihir MOPU) and first commercial production (Cadia East) in the December 2012 quarter. The Wafi-Golpu pre-feasibility study is nearing completion and, subject to joint venture partner approval, an updated Ore Reserve estimate is likely to be provided on 29 August 2012.
Newcrest remains in a strong financial position at 30 June 2012 with low gearing1 at 12.5% and undrawn bilateral debt facilities of US$780 million. This balance sheet strength combined with strong Operating Cash Flow will enable the Company to fund its sustaining capital, growth projects and ongoing exploration activities.
The Board has determined that a final ordinary dividend of 23 cents per share (15% franked) be paid to shareholders. This increases total ordinary dividends in respect of the 2012 financial year to 35 cents per share, 17% higher than the ordinary dividends in the prior financial year.
Gold production in the 2013 financial year is expected to increase to a range of 2.3 to 2.5 million ounces and copper production is estimated to be in a range of 75 to 85 thousand tonnes.
Financial Highlights 2
|12 months ended|| 30 Jun 2012
| 30 Jun 2011
|Statutory Profit 3||1,117||908||23|
|Underlying Profit 4||1,084||1,058||2|
|Operating Cash Flow||1,726||1,729||0|
|EPS on Statutory Profit (A$ cents per share)||146||126||16|
|Ordinary Dividend (A$ cents per share)||35||30||17|
1 Calculated as net debt to net debt plus equity
2 EBIT, EBITDA and Underlying Profit are non-IFRS financial information and have not been subject to audit. Refer to page 7 for the reconciliation to Statutory Profit.
3 Profit after tax and non-controlling interest
4 Profit after tax and non-controlling interest before hedge restructure and other significant items
(AUD dollars unless specified otherwise)
A copy of the 1) Market Release - Financial Results, 2) Preliminary final report (ASX Appendix 4E) including Auditors' Report for the period ending 30 June 2012; and 3) Full Year Results 2011-2012 presentation can be found on Newcrest's website: www.newcrest.com.au; and on SEDAR: www.sedar.com.
Forward Looking Statement
These materials include forward looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as "may", "will", "expect", "intend", "plan", "estimate", "anticipate", "continue", and "guidance", or other similar words and may include, without limitation statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs.
Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the company's actual results, performance and achievements to differ materially from any future results, performance or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licences and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which the company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation.
Forward looking statements are based on the company and its management's good faith assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the company's business and operations in the future. The company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the company's business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the company or management or beyond the company's control.
Although the company attempts and has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in forward looking statements, there may be other factors that could cause actual results, performance, achievements or events not to be anticipated, estimated or intended, and many events are beyond the reasonable control of the company. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, in providing this information the company does not undertake any obligation to publicly update or revise any of the forward looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based.
Non-IFRS Financial Information
This release uses Non-IFRS financial information including Underlying profit, EBITDA and EBIT. EBITDA and EBIT are used to measure segment performance and have been extracted from the segment information disclosed in the ASX Appendix 4E.Underlying profit is presented to assist in the assessment of the relative performance of the Group. Non-IFRS financial information has not been subject to audit by the Company's external auditor.
Ore Reserves and Mineral Resources Reporting Requirements
As an Australian company with securities listed on the Australian Securities Exchange ("ASX"), Newcrest is subject to Australian disclosure requirements and standards, including the requirements of the Corporations Act and the ASX. Investors should note that it is a requirement of the ASX listing rules that the reporting of ore reserves and mineral resources in Australia comply with the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the "JORC Code") and that Newcrest's ore reserve and mineral resource estimates comply with the JORC Code. As a company listed on the Toronto Stock Exchange ("TSX"), Newcrest is subject to certain Canadian disclosure requirements and standards, including the requirements of National Instrument 43-101 - Standards of Disclosure for Mineral Projects of the Canadian Securities Administrators ("NI 43-101"). In accordance with NI 43-101, Newcrest reports its ore reserves and mineral estimates in compliance with the JORC Code, along with a reconciliation to the material differences between the JORC Code and the applicable definitions adopted by the Canadian Institute of Mining, Metallurgy and Petroleum.
Competent Person's Statement
The information in this quarterly report that relates to Exploration Results and other scientific and technical information is based on information compiled by C. Moorhead, EGM Minerals for Newcrest Mining Limited who is a Fellow of The Australasian Institute of Mining and Metallurgy, and a full-time employee of Newcrest Mining Limited. Mr Moorhead has sufficient experience which is relevant to the styles of mineralisation and types of deposits under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the JORC Code and is a Qualified Person within the meaning of NI 43-101. Mr Moorhead consents to and has approved the inclusion in this quarterly report of the matters based on this information in the form and context in which it appears including sampling, analytical and test data underlying the results. For details of exploration reports refer to the Newcrest website at www.newcrest.com.au.
The potential quantity and grade related to Exploration Targets in this report is conceptual in nature as there has been insufficient exploration to define a Mineral Resource. It is uncertain if further exploration will result in the determination of a Mineral Resource. Refer to Newcrest's detailed exploration summary on our website at www.newcrest.com.au and on www.sedar.com.
SOURCE: Newcrest Mining Limited
For further information:
Investor Enquiries - North America/Europe
T: +1 212 351 5064
E: [email protected]
Investor Enquiries - Australia/Asia Media Enquiries
T: +61 3 9522 5316
E: [email protected]
T: +61 3 9522 5593
E: [email protected]