TORONTO - Barrick Gold Corp. (TSX:ABX) had a US$269-million net loss and $159-million of adjusted earnings in the second quarter, missing analyst estimates on both counts.
The adjusted profit amounted to 14 cents US per share, down from 66 cents a year earlier and two cents a share below analyst estimates.
Net loss per share was 23 cents per share, far less than the net loss of $8.56 billion or $8.55 cents a year before. But analysts had been looking for a net profit of 19 cents per share, according to data compiled by Thomson Reuters.
The net loss before adjustments included a $514-million writedown of the Jabal Sayid copper project in Saudi Arabia, partially offset by other items.
Barrick attributed its reduced adjusted profit to lower gold and copper prices as well as lower sales volumes compared with the second quarter of 2013.
The Toronto-based mining company's revenue for the three months ended June 30 was US$2.43 billion, which was down from $3.2 billion a year earlier but in line with estimates.
Analysts had estimated Barrick's revenue would be about $2.44 billion and its adjusted earnings per share would be 16 cents.
As analysts anticipated, the company also said Wednesday that it's working to bring down its costs.
The company is reducing its capital spending budget by $200 million to a range of between $2.2 billion and $2.5 billion.
It also said the average cost of producing an ounce of gold in 2014 will be lower than previously estimated.