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Newmont Corp.

Newmont Increases Quarterly Dividend by 38 Percent to $0.55 Per Share

Feb 17, 2021
DENVER--(BUSINESS WIRE)-- Newmont Corporation (NYSE: NEM, TSX: NGT) today announced that its Board of Directors declared a quarterly dividend of $0.55 per share of common stock, payable on March 18, 2021 to holders of record at the close of business on March 4, 2021. The fourth quarter dividend represents an increase of 38 percent compared to the prior quarterly dividend of $0.40 per share.
 
Newmont’s dividend increase is supported by a framework to return 40 to 60 percent of incremental attributable free cash flow to shareholders that is generated above a $1,200 per ounce gold price. For the fourth quarter, the dividend increase was based on a $1,800 per ounce gold price assumption and a 40 percent payout ratio applied to our previously articulated $1.2 billion incremental free cash flow for every $300 per ounce change in the gold price. Newmont’s base annualized dividend remains at $1.00 per share and is sustainable at a $1,200 per ounce gold price.
 
“We are pleased to continue delivering industry-leading returns through the highest dividend in the gold sector at an annualized payout of $2.20 per share and a dividend yield of over 3.5%,” said Tom Palmer, President and Chief Executive Officer. “Our dividend framework provides shareholders with a sustainable base dividend and the ability to directly benefit from Newmont’s significant free cash flow generation at higher gold prices. The framework is underpinned by confidence in our world-class portfolio and our disciplined operating model, and allows Newmont to return cash to shareholders whilst we continue to advance profitable projects and maintain financial strength and flexibility.”
 
Newmont returned over $2.7 billion to shareholders through dividends and share buybacks in 2019 and 2020, and has the strongest and most sustainable portfolio of operations, projects and exploration prospects in the gold sector. The Company’s capital allocation philosophy balances steady reinvestment in the business, maintaining financial strength and flexibility, and providing leading returns to shareholders.
 
The declaration and payment of future quarterly dividends remains at the discretion of the Board of Directors and will depend on the Company's financial results, cash flow and cash requirements, future prospects, and other factors deemed relevant by the Board.
 
About Newmont
 
Newmont is the world’s leading gold company and a producer of copper, silver, zinc and lead. The Company’s world-class portfolio of assets, prospects and talent is anchored in favorable mining jurisdictions in North America, South America, Australia and Africa. Newmont is the only gold producer listed in the S&P 500 Index and is widely recognized for its principled environmental, social and governance practices. The Company is an industry leader in value creation, supported by robust safety standards, superior execution and technical expertise. Newmont was founded in 1921 and has been publicly traded since 1925.
 
View source version on businesswire.com: https://www.businesswire.com/news/home/20210217005171/en/
 
Media Contact
Courtney Boone
303.837.5159
courtney.boone@newmont.com
 
Investor Contact
Eric Colby
303.837.5724
eric.colby@newmont.com
 

Source: https://www.newmont.com/investors/news-release/news-details/2021/Newmont-Increases-Quarterly-Dividend-by-38-Percent-to-0.55-Per-Share/default.aspx

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