Key points for investors:
- Strong Q1 financial performance: revenue ~US$1.2 billion, GAAP EPS US$0.15, adjusted EPS US$0.19. Operating cash flow was US$539 million and free cash flow US$362 million. Cash and equivalents rose to US$479 million at March 31, 2026.
- Balance sheet and liquidity: Remaining US$75 million on the revolver repaid after quarter end, leaving the full US$800 million facility available (plus US$200M accordion). Sold 70% stake in Fingold to Agnico Eagle for US$325 million in cash.
- Capital allocation and shareholder returns: Repurchased ~16 million shares for US$80 million in Q1 and an additional ~4 million shares for US$18 million post-quarter; management signals continued opportunistic buybacks and disciplined capital allocation alongside dividends.
- Production and operations: Q1 production ~238,000 oz, with Fekola, Goose, Masbate and Otjikoto outperforming expectations. Company reiterates Goose full-year guidance of 170,000–230,000 oz and expects Goose medium-term average ~300,000 oz/year.
- Goose incident and impact: A fire damaged the crushing circuit at Goose in mid-April (no injuries). Temporary use of mobile crushers and stockpile management is in place. Q2 Goose production is now forecast at 18,000–20,000 oz (was ~29,000 oz internal forecast). Repair cost to be completed by Q3 ~US$7 million; Phase 1 crusher upgrades ~US$11 million (target ~3,200 tpd by end of Q3 2026); Phase 2 (1H 2027) to increase nameplate to ~4,000 tpd at an estimated US$20–30 million.
- Project and permitting: Fekola Regional exploitation permit still pending; operations continue normally and pre-stripping and infrastructure are largely in place—management reiterates Fekola Complex guidance assuming permit by end of June 2026.
- Site-specific notes: Masbate remains operational with a 90-day guaranteed fuel supply in place but is most sensitive to diesel price increases; Otjikoto continues transition to underground and developing Antelope underground to support production 2028–2032.
- Risks and monitoring: Ongoing geopolitical developments in Mali, fuel and reagents supply-chain pressures and the operational ramp at Goose are the main near-term risks. Management emphasizes continuing to monitor safety, supply chains and permitting progress.
Investor takeaways: Strong cash generation and liquidity support shareholder returns (buybacks/dividends) and M&A/portfolio optimization (Fingold sale). The Goose crushing-circuit incident is a near-term production headwind for Q2 but management expects the impact to be temporary with upgrades aligning to prior annual guidance. Permitting at Fekola is a key catalyst to watch for 2026–2027 production upside.
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