Trading statement and operational performance update for the six months ended 30 June 2024
Gold Fields Limited
Reg. No. 1968/004880/06)
Incorporated in the Republic of South Africa)
JSE, NYSE, DIFX Share Code: GFI
ISIN Code:ZAE000018123
(Gold Fields or the Company)
TRADING STATEMENT AND OPERATIONAL PERFORMANCE UPDATE FOR THE SIX MONTHS ENDED 30
JUNE 2024
In compliance with paragraph 3.4(b)(iii) of the JSE Listings Requirements, Gold
Fields advises that headline earnings per share (HEPS) for the six months ended 30
June 2024 (H1 2024) are expected to be in the range of US$0.38 to US$0.34 per share,
which is 25% to 33% lower than HEPS reported for the six months ended 30 June 2023
(H1 2023) of US$0.51 per share.
Basic earnings per share (EPS) for H1 2024 are expected to be in the range of US$0.45
to US$0.41 per share which is 12% to 20% lower than the EPS reported for H1 2023 of
US$0.51 per share.
Earnings in H1 2023 included US$0.02 per share for the Company's interest in the
Asanko joint venture, the divestment of which was announced in December 2023.
The decrease in headline, basic and normalised earnings expected in H1 2024 is
primarily due to:
• lower production at the South Deep mine due to increased backfill rehandling
and challenging ground conditions which have impacted stope access, stope
turnaround, planned volumes and grade mix;
• lower production at the Gruyere mine, following a significant rainfall event
in March 2024;
• lower production at the St Ives mine, in line with the mine plan for 2024; and
• a delayed ramp-up at Salares Norte,
all of which resulted in lower gold volumes sold in H1 2024. In addition, cost of
sales were higher, driven by mining inflation and a higher gold inventory change
cost. These negative impacts on earnings were partly offset by the higher gold price
received.
Gold volumes sold are expected to improve in the second half of 2024 with the ramp-
up of Salares Norte and production improvements at the Gruyere, St Ives and South
Deep mines. Further detail will be provided as part of the H1 2024 financial and
operational results to be released by Gold Fields on Friday, 23 August 2024.
Ranges for headline, basic and normalised earnings per share* for continuing and
discontinued operations are indicated as follows:
H1 2024 H1 2023 Variance Variance
US$ cents per US$ cents per US$ cents per
share share share %
Range Actual Range Range
HEPS 34 to 38 51 (13) to (17) (25%) to (33%)
- Continuing
34 to 38 49 (11) to (15) (22%) to (31%)
operations
- Discontinued - 2 (2) (100%)
operation
EPS 41 to 45 51 (6) to (10) (12%) to (20%)
- Continuing 41 to 45 49 (4) to (8) (8%) to (16%)
operations
- Discontinued - 2 (2) (100%)
operation
Normalised
earnings per 38 to 42 51 (9) to (13) (18%) to (25%)
share*
- Continuing 38 to 42 49 (7) to (11) (14%) to (22%)
operations
- Discontinued - 2 (2) (100%)
operation
* Normalised earnings are defined as profit excluding gains and losses on foreign
exchange, financial instruments and non-recurring items after taxation and non-
controlling interest effect.
Q2 2024 operational performance
For Q2 2024, attributable gold equivalent production is expected to be 454koz (Q1
2024: 464koz), with all-in costs (AIC) expected to be US$2,008/oz (Q1 2024:
US$2,115/oz). All-in sustaining cost (AISC) for Q2 2024 is expected to be US$1,751/oz
(Q1 2024: US$1,738/oz).
H1 2024 operational performance
Attributable gold equivalent production for H1 2024 at 918koz is expected to be 20%
lower than the corresponding period in 2023 (H1 2023: 1,154koz). The lower gold
volumes sold, which are expected to improve the second half of the year, have had a
significant impact on unit costs for the period with AIC for H1 2024 expected to be
47% higher year-on-year at US$2,060/oz (H1 2023: US$1,398/oz) and AISC expected to
be 44% higher at US1,745/oz (H1 2023: US$1,215/oz). AIC and AISC were also impacted
by an 18% increase in capital expenditure (which included increased capitalised
waste stripping at Gruyere, St Ives and Tarkwa mines and renewable energy capital
at the St Ives mine) as well as a higher gold inventory change cost.
The operational performance and the financial information on which this trading
statement is based have not been reviewed, and reported on, by the Company's external
auditors.
ENDS
8 August 2024
Sponsor:
J.P. Morgan Equities South Africa (Pty) Ltd
Investor enquiries contact:
Jongisa Magagula
Tel: +27 11 562 9775
Mobile: +27 67 419 9503
Email: Jongisa.Magagula@goldfields.com
Thomas Mengel
Tel: +27 11 562 9849
Mobile: +27 72 493 5170
Email: Thomas.Mengel@goldfields.com
Media enquiries contact:
Sven Lunsche
Tel: +27 11 562 9763
Mobile: +27 83 260 9279
Email: Sven.Lunsche@goldfields.com
About Gold Fields
Gold Fields is a globally diversified gold producer with nine operating mines in
Australia, South Africa, Ghana, Chile and Peru, and one project in Canada. In 2023
the Company reported total attributable annual gold-equivalent production (excluding
Asanko) of 2.30Moz, Proved and Probable gold Mineral Reserves of 44.6Moz, Measured
and Indicated Mineral Resources of 30.3Moz (excluding Mineral Reserves (EMR)) and
Inferred Mineral Resources EMR of 10.2Moz.
The Company's shares are listed on the Johannesburg Stock Exchange (JSE) and American
depositary shares trading on the New York Stock Exchange (NYSE).
Forward-looking statements
This announcement contains forward-looking statements within the meaning of the
"safe harbour" provisions of the Private Securities Litigation Reform Act of 1995.
All statements other than statements of historical fact included in this announcement
may be forward-looking statements. Forward-looking statements may be identified by
the use of words such as "aim", "anticipate", "will", "would", "expect", "may",
"could", "believe", "target", "estimate", "project" and words of similar meaning.
These forward-looking statements, including among others, those relating to Gold
Fields' future business strategy, development activities and other initiatives,
particularly at the Salares Norte project, business prospects, financial positions,
production and operational guidance are necessary estimates reflecting the best
judgement of the senior management of Gold Fields and involve a number of risks and
uncertainties that could cause actual results to differ materially from those
suggested by the forward-looking statements. By their nature, forward-looking
statements involve risk and uncertainty because they relate to future events and
circumstances and should be considered in light of various important factors,
including those set forth in Gold Fields' Integrated Annual Report 2023 filed with
the Johannesburg Stock Exchange and annual report on Form 20-F filed with the United
States Securities and Exchange Commission (SEC) on 28 March 2024 (SEC File no. 001-
31318). Readers are cautioned not to place undue reliance on such statements. These
forward-looking statements speak only as of the date they are made. Gold Fields
undertakes no obligation to update publicly or release any revisions to these
forward-looking statements to reflect events or circumstances after the date of this
announcement or to reflect the occurrence of unanticipated events. These forward-
looking statements have not been reviewed or reported on by the Company's external
auditors.
Date: 08-08-2024 03:05:00
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