NST - Northern Star Resources

[finicky]

Geez, check out the FY25 growth capital expenditure outlook. When will it stop? And it's on top of a high guided all-in sustaining cost (AISC) of $1853/oz, similar to this year.

Northern Star delivers record earnings​

Northern Star delivers record earnings

Northern Star Resources has wrapped up FY24 with a record financial performance, supported by its disciplined growth strategy.

www.australianmining.com.au

Northern Star Resources has wrapped up the 2023–24 financial year (FY24) with a record financial performance, supported by its disciplined growth strategy.

The gold producer reported a net profit of $639 million and declared a record dividend, cementing its position as one of the largest ASX-listed gold companies.

Key financial highlights for FY24 included record cash earnings of $1.81 billion, revenue of $4.9 billion, and underlying earnings before interest, taxes, depreciation, and amortisation (EBITDA) of $2.19 billion.

The company also generated underlying free cash flow of $462 million, bolstering its net cash position to $358 million. Shareholders will benefit from a final unfranked dividend of $0.25 per share, bringing the total FY24 dividend to $0.40 per share.

Northern Star managing director Stuart Tonkin said the company’s focus on organic growth and shareholder returns is what produced these results.

“FY24 has been a strong year for Northern Star as we maintained a focus on delivering our organic profitable growth strategy,” he said.

“Our team’s commitment to safety continues our industry-leading performance. Northern Star is well positioned to successfully continue to deliver value for all stakeholders.”

The company achieved its FY24 guidance with gold sales of 1.62 million ounces (Moz) at an all-in sustaining cost (AISC) of $1853/oz. Northern Star’s capital management strategy remains proactive, with its on-market share buy-back extended for another year, leaving $128 million available under the current program.


Northern Star reaffirmed its FY25 guidance, targeting 1.65–1.80Moz of gold sold at an AISC of $1850–2100/oz.

The company’s growth capital expenditure is expected to reach between $950 million and $1.02 billion, with an additional $500–530 million allocated for the KCGM mill expansion. Sustaining capital is forecasted at $200–250/oz.

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[finicky]

If we're to believe it, growth capital spending to relent in 2026

The current expansion plan, is expected to more than double Fimiston's processing capacity from 13 million tonnes a year to 27 million and the self-funded program, which started just over a year ago, is due to be completed in 2026.

The company said last year that production across the Goldfields would ramp up from 2027 to 2028 to allow Northern Star to reach its target of 27 million tonnes a year by 2029.

 

[mullokintyre]

Geez, check out the FY25 growth capital expenditure outlook. When will it stop? And it's on top of a high guided all-in sustaining cost (AISC) of $1853/oz, similar to this year.

Northern Star delivers record earnings​

Northern Star delivers record earnings

Northern Star Resources has wrapped up FY24 with a record financial performance, supported by its disciplined growth strategy.

www.australianmining.com.au

Northern Star Resources has wrapped up the 2023–24 financial year (FY24) with a record financial performance, supported by its disciplined growth strategy.

The gold producer reported a net profit of $639 million and declared a record dividend, cementing its position as one of the largest ASX-listed gold companies.

Key financial highlights for FY24 included record cash earnings of $1.81 billion, revenue of $4.9 billion, and underlying earnings before interest, taxes, depreciation, and amortisation (EBITDA) of $2.19 billion.

The company also generated underlying free cash flow of $462 million, bolstering its net cash position to $358 million. Shareholders will benefit from a final unfranked dividend of $0.25 per share, bringing the total FY24 dividend to $0.40 per share.

Northern Star managing director Stuart Tonkin said the company’s focus on organic growth and shareholder returns is what produced these results.

“FY24 has been a strong year for Northern Star as we maintained a focus on delivering our organic profitable growth strategy,” he said.

“Our team’s commitment to safety continues our industry-leading performance. Northern Star is well positioned to successfully continue to deliver value for all stakeholders.”

The company achieved its FY24 guidance with gold sales of 1.62 million ounces (Moz) at an all-in sustaining cost (AISC) of $1853/oz. Northern Star’s capital management strategy remains proactive, with its on-market share buy-back extended for another year, leaving $128 million available under the current program.


Northern Star reaffirmed its FY25 guidance, targeting 1.65–1.80Moz of gold sold at an AISC of $1850–2100/oz.

The company’s growth capital expenditure is expected to reach between $950 million and $1.02 billion, with an additional $500–530 million allocated for the KCGM mill expansion. Sustaining capital is forecasted at $200–250/oz.

Subscribe to Australian Mining and receive the latest news on product announcements, industry developments, commodities and more.

Might be better value elsewhere.
Costs for Oz producers are probably only going to increase, the question being by how much.
if it all goes to hell in a handbasket, the AUD will fall, making anything imported (ie. pretty much anything of a capital nature) will become more expensive.
Mick

 

[divs4ever]

If we're to believe it, growth capital spending to relent in 2026

has a history of acquisitions ( while i have been holding )

a solid chance it will buy something outright , whether that is a good or bad thing is for each investor to decide

( but i hope it avoids North America for any new buys )

 

[divs4ever]

Might be better value elsewhere.
Costs for Oz producers are probably only going to increase, the question being by how much.
if it all goes to hell in a handbasket, the AUD will fall, making anything imported (ie. pretty much anything of a capital nature) will become more expensive.
Mick

i agree and that is why i tilted recent buying towards EVN , which at least talks about cost reduction strategies

 

[Sean K]

The company’s growth capital expenditure is expected to reach between $950 million and $1.02 billion, with an additional $500–530 million allocated for the KCGM mill expansion. Sustaining capital is forecasted at $200–250/oz.

Subscribe to Australian Mining and receive the latest news on product announcements, industry developments, commodities and more.

Was that 'additional' half a billion already part of the planned expansion or have they just quietly added that on in this announcement?

I can't help but think they're just off the cycle with this additional growth and by the time they've got KCGM maximised POG will be heading down. Just a gut feel. And, Plibersek might put her head up and say there's a sacred rock in the pit that means they have to stop mining at any time.

 

[finicky]

Was that 'additional' half a billion already part of the planned expansion

Think it's expected, not a blow-out Sean K.
I underlined it just to emphasise the addition makes it a big number.
Who knows, it might keep gobbling up capital or it might be a sleeping giant with its alarm clock set to FY27 with the big items done by then?
Market will respond to it before that if the signs are good.
Obviously I remain a goldbug optimist on the gold price well beyond FY27 fwiw (nothing)

 

[divs4ever]

Think it's expected, not a blow-out Sean K.
I underlined it just to emphasise the addition makes it a big number.
Who knows, it might keep gobbling up capital or it might be a sleeping giant with its alarm clock set to FY27 with the big items done by then?
Market will respond to it before that if the signs are good.
Obviously I remain a goldbug optimist on the gold price well beyond FY27 fwiw

market-wise i am a pessimist , and think fiat currencies will devolve into confetti ( which should be good for most commodities )

but currently i am preferring other commodities , i think most gold( producing ) companies are trading at an unwarranted premium

 

[divs4ever]

market-wise i am a pessimist , and think fiat currencies will devolve into confetti ( which should be good for most commodities )

but currently i am preferring other commodities , i think most gold( producing ) companies are trading at an unwarranted premium

having said all that ..

i first bought into NST @ 87 cents ,( in February 2013 ) , added some more @ $9.81 ( in June 2021 ) and @ $ 8.69 ( in January 2022 )

so above $10 ( to buy ) doesn't look so attractive to me

 

[divs4ever]

Northern Star FY24 Earnings Call Highlights​

Northern Star FY24 Earnings Call Highlights

Northern Star (ASX: NST) is flexing its leverage to higher gold prices after reporting a record set of FY24 results. The company anticipates sustained growth momentum, buoyed by a favorable gold price environment and the impending completion of a key project.

www.marketindex.com.au

as one commentator sees it

i hold NST

 

[finicky]

NST trading ex div of 25c
Share price down 37c

Held
Holding

 

[finicky]

Fwiw, Broker Moves from MM

• Northern Star Rated New Buy at Bell Potter; PT A$17.50

 

[finicky]

FWIW, Broker Moves from Market Matters today:

• Northern Star Rated New Add at Morgans Financial Limited

 

[rcw1]

Good evening
Northern Star Resources Ltd (ASX: NST) advises that the 2024 Annual General Meeting of shareholders of NST (AGM) will be held at 12:30pm AWST on Wednesday, 20 November 2024.

Not holding
Have traded

 

[finicky]

• Northern Star Cut to Underweight at Morgan Stanley; PT A$14.35

Holding

 

[rcw1]

 

[rcw1]

 

[rcw1]

Good afternoon

Northern Star Resources Limited (NST) will release its quarterly results for the period ended 30
September 2024 pre-open on the ASX platform on Thursday, 24 October 2024.
Stuart Tonkin (Managing Director) and Ryan Gurner (Chief Financial Officer) will host a conference call to discuss the September results at 9:00am AEDT (6:00am AWST) on Thursday, 24 October 2024.
Shareholders – Live Audio Stream
To listen in live, please click on the link below and register your details.

Register

loghic.eventsair.com

Please note it is best to log on at least five minutes before the scheduled commencement …

Getting close to that all time high back in 2020.

Not holding
Have traded

Kind regards
rcw1

 

[finicky]

Just realised that Northern Star is confirming consecutive breaks to multi--year highs, up 4% intra-day. They must have really liked the Quarterly out yesterday. In fact make that an all time high, groovy. I should probably be taking Greg Canavan's contrarian advice and trimming gold stocks. But what's the sense in paying for advice and taking it?

Held
Holding

DAILY 5 Years

 

[finicky]

Northern Star's overreach on Friday is mostly undone today. Doesn't look too bad on the daily chart.

I did a comparison of NST and Evolution Mining (EVN).
As a goldbug I've obviously looked at EVN many times with a view to buying but never got attracted enough. Could argue that's been a costly lost opportunity over the last two years but for times beyond that duration, e.g. 3, 5, 10 years, I would have been better off adding to NST than buying EVN (except for the safety factor of spreading my risk). As it happened, I did neither and bought gold stocks like DCN, HRZ, GOR and SSR

NST Held
Holding

NST DAILY

NST vs EVN over 2 Years - EVN well ahead!

NST vs EVN over 10 Years - NST way ahead