Business Context and Reporting Period
Company: Newmont Corp (NEM)
Filing Type: Form 10-Q (Unaudited)
Reporting Period: Quarter and six months ended June 30, 2026
Overview: Newmont is the world's leading gold company and a producer of copper, silver, lead, and zinc. The reporting period reflects the full impact of the Ahafo North project reaching commercial production in late 2025 and the completion of the 2025 divestiture program. Operations were temporarily impacted by seismic activity at the Cadia mine in April 2026.
Key Financial Metrics
| Metric (in millions, except per share) | Q2 2026 | Q2 2025 | 6M 2026 | 6M 2025 |
|---|---|---|---|---|
| Sales | $6,118 | $5,317 | $13,425 | $10,327 |
| Net Income (Attributable to Newmont) | $2,202 | $2,061 | $5,464 | $3,952 |
| Diluted EPS | $2.06 | $1.85 | $5.07 | $3.53 |
| Adjusted Net Income | $2,246 | $1,594 | $5,402 | $2,998 |
| Adjusted EBITDA | $3,757 | $2,997 | $8,911 | $5,626 |
| Operating Cash Flow (6M) | $6,709 | $4,415 | $6,709 | $4,415 |
| Free Cash Flow (6M) | $5,349 | $2,915 | $5,349 | $2,915 |
| Cash and Cash Equivalents | $9,009 | $7,647 | $9,009 | $7,647 |
| Total Debt | $5,083 | $5,115 | $5,083 | $5,115 |
| Total Liquidity | $13,009 | $11,647 | $13,009 | $11,647 |
Material Changes vs. Prior Period
- Revenue Growth: Sales increased 15% in Q2 2026 and 30% in the first six months of 2026 compared to the prior year. This was primarily driven by significantly higher average realized gold prices ($4,414/oz in Q2 2026 vs. $3,320/oz in Q2 2025) and silver prices, partially offset by lower gold sales volumes.
- Production Volumes: Consolidated gold production decreased to 1.2 million ounces in Q2 2026 from 1.4 million in Q2 2025. This decline was largely due to the temporary suspension of underground mining at Cadia following seismic activity in April 2026 and lower ore grades at Peñasquito and Ahafo South.
- Costs: Costs applicable to sales increased slightly in Q2 but decreased for the six-month period due to the absence of divested assets in 2026. All-in sustaining costs (AISC) per ounce increased to $1,938 in Q2 2026 from $1,593 in Q2 2025, driven by lower production volumes and higher direct costs at certain sites.
- Divestitures: The 2025 period included significant gains from the sale of non-core assets (CC&V, Musselwhite, Éléonore, Porcupine, Akyem), which are not present in the 2026 results, making year-over-year comparisons of net income less direct without adjustments.
Guidance, Outlook, and Risks
- Operational Outlook: Underground mining at Cadia resumed in mid-June 2026 with a progressive ramp-up; production is expected to return to pre-event levels in Q3 2026. Ahafo North is now a fully contributing reportable segment.
- Capital Allocation: The company repurchased $3.46 billion of common stock in the first six months of 2026. In April 2026, the Board authorized an additional $6 billion share repurchase program. A quarterly dividend of $0.26 per share was declared.
- Regulatory Risks (Ghana): The Revised Investment Agreement expired on December 31, 2025. Ghana has implemented a new sliding-scale royalty framework (5% to 12%) and a Growth and Sustainability Levy. In July 2026, a shipment of doré from Ghana was temporarily prevented from leaving the country pending regulatory engagement.
- Joint Venture Dispute: Newmont notified Barrick in January 2026 of evidence of mismanagement at the Nevada Gold Mines (NGM) joint venture, including resource diversion, and exercised contractual audit rights. A notice of default was issued in February 2026.
- Legal Proceedings: Significant ongoing matters include a class action in Australia regarding Cadia emissions, a lawsuit in Ghana regarding mining lease ratification, and a dispute with Equinox Gold regarding tax allocation for the Los Filos mine.
Investor Verification Checklist
- Cadia Recovery: Verify the timeline and cost impact of the Cadia seismic event recovery and the return to full production capacity in Q3 2026.
- Ghana Fiscal Regime: Assess the long-term impact of the new Ghanaian royalty structure and export restrictions on the profitability of the Ahafo and Merian operations.
- NGM Joint Venture: Monitor the resolution of the dispute with Barrick regarding the Nevada Gold Mines joint venture and potential impacts on Newmont's 38.5% interest.
- Commodity Price Sensitivity: Review the sensitivity of net income to fluctuations in gold and silver prices, given the high realized prices in 2026.
- Share Repurchases: Track the execution of the new $6 billion share repurchase program and its impact on outstanding share count and EPS.