Dol­lar’s golden pay- off

Townsville Bulletin - - NEWS -

GOLD miner Newcrest is ex­pected to post its best earn­ings fig­ures in years af­ter lift­ing its profit mar­gins thanks to lower pro­duc­tion costs and a weaker Aus­tralian dol­lar. The com­pany cut its pro­duc­tion costs 4 per cent dur­ing the 2014- 15 fi­nan­cial year, while the fall­ing Aussie dol­lar meant the price re­ceived for its gold in­creased, de­spite a global slide in the price of the com­mod­ity. That pushed the com­pany’s profit mar­gins to $ 533 per ounce of gold, up from $ 432 an ounce the pre­vi­ous year.

IG mar­ket strate­gist Evan Lu­cas said the com­pany was on track for its best full year re­sult in years, af­ter post­ing multi- bil­lion dol­lar full year losses of $ 2.2 bil­lion in 2013- 14 and $ 5.8 bil­lion in 2012- 13.

“On the num­bers they’ve shown, they’ve ob­vi­ously done rel­a­tively well,” Mr Lu­cas said.

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