Gold Miners Face Profit Challenges Amid Rising Costs, But Soaring Gold Prices Provide Relief
Key Insights:
* Higher labor costs and inflation may hinder gold miners' profits in 2025.
* Soaring gold prices may still drive free cash flow growth.
* Barrick Gold and Newmont missed third-quarter earnings estimates due to increased expenses.
* Labor shortages and industry perceptions contribute to cost pressures.
* Analysts predict a narrow miss in Barrick's 2024 gold production guidance.
* Newmont anticipates increased dividend payments, balanced by share buyback plans.
* Miners may prioritize margins and cost control over production growth in the upcoming period.