Investor Presentaiton
Free Cash Flow
N
Management uses Free Cash Flow as a non-GAAP measure to analyze cash flows generated from operations. Free Cash Flow is Net cash provided by (used in) operating activities less Net cash provided by (used in)
operating activities of discontinued operations less Additions to property, plant and mine development as presented on the Consolidated Statements of Cash Flows. The Company believes Free Cash Flow is also
useful as one of the bases for comparing the Company's performance with its competitors. Although Free Cash Flow and similar measures are frequently used as measures of cash flows generated from
operations by other companies, the Company's calculation of Free Cash Flow is not necessarily comparable to such other similarly titled captions of other companies.
The presentation of non-GAAP Free Cash Flow is not meant to be considered in isolation or as an alternative to net income as an indicator of the Company's performance, or as an alternative to cash flows from
operating activities as a measure of liquidity as those terms are defined by GAAP, and does not necessarily indicate whether cash flows will be sufficient to fund cash needs. The Company's definition of Free
Cash Flow is limited in that it does not represent residual cash flows available for discretionary expenditures due to the fact that the measure does not deduct the payments required for debt service and other
contractual obligations or payments made for business acquisitions. Therefore, the Company believes it is important to view Free Cash Flow as a measure that provides supplemental information to the
Company's Consolidated Statements of Cash Flows.
The following table sets forth a reconciliation of Free Cash Flow, a non-GAAP financial measure, to Net cash provided by (used in) operating activities, which the Company believes to be the GAAP financial
measure most directly comparable to Free Cash Flow, as well as information regarding Net cash provided by (used in) investing activities and Net cash provided by (used in) financing activities.
TM
Three Months Ended
December 31,
Year Ended
December 31,
2022
2021
2022
2021
Net cash provided by (used in) operating activities
$
1,010 $
1,299
$
3,220 $
4,279
Less: Net cash used in (provided by) operating activities of discontinued operations
Net cash provided by (used in) operating activities of continuing operations
(22)
(13)
1,010
1,299
3,198
4,266
Less: Additions to property, plant and mine development
(646)
(441)
(2,131)
(1,653)
Free Cash Flow
$
364
$
858
$
1,067
$
2,613
Net cash provided by (used in) investing activities (1)
$
(726) $
(351) $
(2,983) $
Net cash provided by (used in) financing activities
$
(479) $
(595) $
(2,356) $
(1,868)
(2,958)
(1) Net cash provided by (used in) investing activities includes Additions to property, plant and mine development, which is included in the Company's computation of Free Cash Flow.
FEBRUARY 2023 INVESTOR PRESENTATION
NEWMONT CORPORATION
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