Newmont Beats Q2 Profit Estimates as Gold Prices Soar

Newmont, the world's largest gold miner, exceeded second-quarter profit estimates despite lower output due to higher bullion prices. The company's quarterly average realized price for gold was $4,414 per ounce, a significant increase from $3,320 per ounce in the same period last year.

The rally in gold prices, driven by safe-haven demand and expectations of U.S. interest rate cuts, outweighed the impact of lower production. Newmont's quarterly gold output fell to 1.29 million ounces, down from 1.48 million ounces a year earlier, due to seismic events at Cadia and lower grades at other mines.

The company forecasts steady third-quarter production, with operations at Cadia returning to normal levels in mid-June. However, unit costs are expected to rise due to higher sustaining capital spend and could be affected by higher oil prices.