Shares of Anglogold Ashanti (AU) jumped 5.33% in pre-market trading on Friday, following the release of impressive first-quarter results and the announcement of a new dividend policy. The gold mining giant reported a staggering 671% increase in headline earnings to $447 million for Q1 2025, significantly beating market expectations.

The company's strong performance was underpinned by a 22% increase in gold production compared to the same period last year. Headline earnings per share (HEPS) came in at $0.88, demonstrating robust operational efficiency and benefiting from higher gold prices. In a move that further bolstered investor confidence, Anglogold Ashanti introduced a new dividend policy, establishing a base dividend of $0.50 per share per annum, payable in quarterly installments of $0.125 per share.

Adding to the positive sentiment, the company reaffirmed its full-year 2025 guidance, signaling continued strong performance. Anglogold Ashanti also announced its target to pay out 50% of annual free cash flow, potentially leading to higher returns for shareholders. The combination of strong financial results, increased production, and shareholder-friendly policies appears to be driving the stock's pre-market surge, which also aligns with the general upward trend observed in gold mining stocks amid rising gold prices.