TORONTO — Shares of Barrick Gold Corp. were up more than seven per cent in mid-morning trading after the company raised its dividend and its third-quarter profit topped expectations.
The Toronto-based gold miner, which keeps its books in U.S. dollars, said Thursday it will now pay a quarterly dividend of nine cents per share, up from its previous rate of eight cents.
The increased payment to shareholders comes as Barrick says it earned 50 cents per share for the quarter ended Sept. 30 compared with a profit of US$2.28 billion or $1.30 per share a year ago when its results were boosted by a one-time gain related to its Turquoise Ridge mine, which is part of its Nevada Gold Mines venture with Newmont Goldcorp Corp.
Revenue in the quarter totalled US$3.54 billion, up from US$2.68 billion.
Rather than the operations side, the revenue came from higher realized metal prices, National Bank Financial analyst Mike Parkin said in a note to clients, as well as significantly lower taxes than expected.
On an adjusted basis, Barrick says it earned US$726 million or 41 cents per share in its third quarter, up from an adjusted profit of US$264 million or 15 cents per share in the same quarter last year.
Analysts on average had expected a profit of 33 cents per share for the quarter, according to financial data firm Refinitiv.
Barrick shares were up $2.64 at $38.32 in trading on the Toronto Stock Exchange.
This report by The Canadian Press was first published Nov. 5, 2020.
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