Barrick Mining (TSX: ABX) posted its Q1 2025 results, with revenue jumping to $3.13 billion, up 14% YoY from $2.75 billion, driven primarily by a 40% YoY increase in realized gold prices to $2,898 per ounce. However, revenue declined 14% QoQ from $3.65 billion, reflecting weaker production volumes and lower copper sales.
Cost of sales dropped to $1.79 billion, down 8% YoY and 11% QoQ, largely also due to lower volumes. Meanwhile, general and administrative expenses rose 50% YoY to $42 million, and other expenses ballooned tenfold to $170 million, offsetting gains.
Net earnings surged 61% YoY to $474 million but plummeted 52% QoQ from $996 million in Q4. Adjusted net earnings reached $603 million, up 81% YoY, but follows the similar downward QoQ decline pattern, again suggesting diminishing operating leverage. The decline was mirrored in adjusted EPS of $0.35, compared to $0.46 in Q4 and $0.19 in Q1 2024.
Attributable EBITDA improved 50% YoY to $1.36 billion, but fell 20% QoQ, reducing margins from 56% in Q4 to 51% in Q1, still higher than the 41% margin in Q1 2024.
Operating cash flow surged 59% YoY to $1.21 billion, but fell 13% QoQ, mirroring the profit trend. Free cash flow came in at $375 million, an increase from $32 million YoY, but 25% lower QoQ, showing that Q1’s weaker output and capex weighed heavily on net cash.
Capital expenditures totaled $837 million, up 15% YoY but down 6% QoQ, including $564 million in sustaining capex and $269 million in project capex.
Barrick ended Q1 with $4.10 billion in cash, nearly flat QoQ and up 4% YoY. Inventories rose to $4.8 billion (current and non-current combined)—up 1.4% from Q4 and 8% YoY.
Gold production dropped 30% QoQ and 19% YoY to 758,000 ounces—its lowest since 2020. Nevada Gold Mines, the flagship JV, saw production fall 23% QoQ, with AISC skyrocketing 31% QoQ to $1,899 per ounce. Carlin’s AISC soared 55% YoY to $2,570 per ounce, while Cortez’s rose 15% to $1,536 per ounce. Only Turquoise Ridge saw improvement, with production up 19% YoY, although AISC still remained elevated at $1,408 per ounce.
In total, gold AISC reached $1,775 per ounce, up 22% YoY, eroding margin expansion from higher prices. Cost of sales per ounce also rose to $1,629, a 14% increase YoY.
Copper production was a mixed story: 44,000 tonnes produced, up 10% YoY, but down 31% QoQ. Lumwana’s AISC rose modestly to $3.20 per pound, while Zaldívar posted an improvement, cutting AISC down to $3.38 per pound.
The company also closed the $1 billion sale of its 50% stake in Donlin, and is moving forward with divestments of Tongon and Hemlo. On shareholder returns, a $0.10 dividend was declared and $143 million in share buybacks were executed.
Barrick expects gold production for 2025 to range between 3.15 million and 3.5 million ounces, with Q1 2025 output reaching 758,000 ounces—landing at the top end of guidance. Copper production is forecasted between 200,000 and 230,000 tonnes for the full year, with Q1 production at 44,000 tonnes, reflecting a year-over-year increase. The company also projects AISC for gold between $1,460 and $1,560 per ounce.
Barrick Mining last traded at $26.53 on the TSX.
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