Barrick Mining’s fourth-quarter adjusted net profit after tax doubled to USD 1.8 billion, driven by a high gold price offsetting rising unit cash costs. Full-year results exceeded estimates, with higher gold sales volumes in Q4. The company will increase its quarterly base dividend and proceed with an IPO of North American gold assets, retaining a USD 30 fair value estimate.

Barrick Mining will not repurchase shares but increase dividends, with a potential top-up in Q4. An IPO of North American gold assets will occur, with NewCo holding interests in Nevada Gold Mines and Pueblo Viejo. The company believes ceasing share buybacks is sensible, given current share trading values. Spot gold price driving higher valuation.

The surging gold price means Barrick Mining may undertake countercyclical sales of gold mines rather than buying them. Support for the IPO is likely, pending full details, targeted to occur by the end of 2026. Morningstar Equity Research originally published this analysis. No shares are owned by the author or authors mentioned in the article.

Read more at Morningstar: Barrick Earnings: Very Strong, Driven by the Gold Bull Market