World number four gold-miner Gold Fields on Thursday reported a decline in headline earnings per share to two cents for the March 2005 quarter from nine cents in the December quarter.
Analysts surveyed by I-Net Bridge had expected Gold Fields to report headline earnings per share of 12 cents, with forecasts ranging from eight cents to 15 cents.
Gold Fields reported net earnings per share of 26 cents in the March 2005 quarter, from 20 cents in the December 2005 quarter.
The company had been expected to report net earnings per share for the March quarter of 22 cents, with forecasts ranging from 21 cents to 22 cents.
Gold Fields produced 1,088-million troy ounces of gold during the March 2005 quarter, up 4% from 1,048-million oz in the December 2004 quarter.
Production from Gold Fields’ South African operations totalled 711 000oz, down 2% from the previous quarter, while output from the group’s international operations rose by 17% to 377 000oz.
The group’s total cash costs for the March quarter were R64 957 per kilogram, from R64 921 per kilogram in the December quarter.
Gold Fields saw revenue of R81 952 per kilogram during the March quarter, from R84 872 per kilogram during the December quarter.
The group’s operating margin declined to 18% in the March quarter, from 22% in the December quarter.
Gold Fields is firmly on track to meet its stated rand-cost-per-kilogram target of R70 000 per kilogram for the South African operations, and this target was in fact exceeded in the March month, Gold Fields chief executive Ian Cockerill said in a statement.
The group’s total costs for the defence of Harmony Gold’s hostile bid has thus far amounted to R170,4-million, made up of R87,5-million in the group’s March 2005 quarter and R82,9-million in the December 2004 quarter. — I-Net Bridge