Kinross Gold Earnings Preview

Kinross Gold KGC announces its next round of earnings this Wednesday, November 04. Here is Benzinga's everything-that-matters guide for this Wednesday's Q3 earnings announcement.

What Are Earnings, Net Income, And Earnings Per Share?

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Analysts covering Kinross Gold modeled for quarterly EPS of $0.21 on revenue of $1.16 billion. Kinross Gold EPS in the same period a year ago totaled $0.08. Sales were $877.10 million.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

The analyst consensus estimate would represent a 162.5% increase in the company's EPS figure. Revenue would be up 32.25% from the year-ago period. Here is how the Kinross Gold's reported EPS has stacked up against analyst estimates in the past:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019
EPS Estimate 0.12 0.08 0.10 0.08
EPS Actual 0.15 0.10 0.13 0.08
Revenue Estimate 1.00 B 892.19 M 988.82 M 878.78 M
Revenue Actual 1.01 B 879.80 M 996.20 M 877.10 M

Stock Performance

For a full 12 months, the return has risen by 69.75%. Given that these returns are generally positive, long-term shareholders are probably relaxed going into this earnings release. Long-term shareholders are already enjoying 12-month gains prior to the announcement.

Do not be surprised to see the stock move on comments made during its conference call. Kinross Gold is scheduled to hold the call at 08:00:00 ET and can be accessed here.

Posted In: Earnings