When gold production is a profitable enterprise, results day for the metal's miners should not throw up too many surprises for investors. Impairments and depreciation should be minimal and production figures should be known, along with trailing prices. So it proved with Randgold Resources (RRS), London's largest miner solely focused on gold, which capped a productive year with a 52 per cent dividend hike to $1 (80p) a share.
With the gold price pushing above $1,220 an ounce on the morning of Randgold's full-year results, total cash cost guidance of $580-$630 for the coming year bodes well. This range, down on the 2016 average though ahead of the fourth-quarter figure of $549 an ounce, is predicated on a forecast capital expenditure of $300m in 2017, an increase of some 19 per cent. Expected production of 1.25-1.30m ounces is marginally up on last year's comparative output.