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Figure 1: Newcrest Mining 12 month chart


Newcrest Mining (NCM) has reported a fall in underlying profit to $451 million in the year ending June 30, compared to a $1.084 billion profit 12 months earlier.

$6.23 billion in write downs for the period related to impairments and asset write downs, including a  $273 million write down of its investment in Evolution Mining Limited (EVN), in addition to restructuring costs of $51 million.

Newcrest’s sales revenue is predominantly defined by gold. In the last 12 months the yellow metal represented 83% of total sales compared to 85% the year before.

The near 15% fall in total sales revenue to $3,775 million, reflected a drop in the amount of gold sold and lower metal prices in general.

Gold revenue in the 2013 financial year fell by 16%, to $3,149 million. This after the volume of gold sold fell by 12%.

The realised gold price for the 2013 financial year was $1,550 per ounce, which was 4% lower compared to $1,609 per ounce in the previous year.

Additionally, copper revenue for the period was down 7% to $573 million and silver revenue fell 16% to $53 million.


You can see all of CommSec’s reporting season analysis by clicking here.

Tom Piotrowski, Market Analyst,