Barrick Launches $3 Billion Buyback as Q1 Earnings Jump to $1.6 Billion
Updated
Updated · MarketWatch · May 11
Barrick Launches $3 Billion Buyback as Q1 Earnings Jump to $1.6 Billion
14 articles · Updated · MarketWatch · May 11
Barrick posted first-quarter net earnings of $1.6 billion, or 96 cents a share, up from $474 million a year earlier, then approved a share buyback of up to $3 billion.
Gold prices drove the surge: revenue rose 67% to $5.22 billion, adjusted earnings reached 98 cents a share versus 81 cents expected, and Barrick's realized gold price climbed 66% year over year.
Production was mixed but still supported guidance, with gold output at 719,000 ounces—above Barrick's forecast ceiling of 680,000—and second-quarter gold production seen at 730,000 to 770,000 ounces.
Barrick said the buyback reflects exceptional value in its shares as it prepares a minority IPO of its North American gold business in New York before year-end.
The miner is also advancing growth projects including Fourmile in Nevada and Lumwana in Zambia, while a security review has slowed Pakistan's Reko Diq project until mid-2027.
With conflicting valuations, is Barrick's $3B buyback a savvy investment or a risky bet before its big IPO?
Is Barrick's IPO creating a North American champion at the expense of its remaining global assets?