Q2 FY2026
Filed Jul 29, 2026Kinross reports strong 2026 second-quarter results
Metal sales increased 29% year-over-year to $2,238.1 million, reported earnings increased 59% to $844.2 million, and attributable free cash flow increased to $726.8 million despite a 4% decline in attributable production.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Metal salesother | $ 2,238.1 | – | 29% |
| Production cost of salesother | $ 674.7 | – | – |
| Depreciation, depletion and amortizationother | $ 275.5 | – | – |
| Total cost of salesother | 950.2 | – | – |
| Gross profitother | 1,287.9 | – | – |
| Other operating expenseother | 30.0 | – | – |
| Exploration and business developmentother | 39.1 | – | – |
| General and administrativeother | 32.4 | – | – |
| Operating earningsother | $ 1,186.4 | – | – |
| Earnings before taxother | 1,182.0 | – | – |
| Income tax expense - netother | (330.2) | – | – |
| Net earningsother | $ 851.8 | – | – |
| Net earnings attributable to common shareholdersother | $ 844.2 | – | 59% |
| Basic earnings per share attributable to common shareholdersother | $ 0.71 | – | – |
| Diluted earnings per share attributable to common shareholdersother | $ 0.71 | – | – |
| Adjusted net earningsnon-GAAP | $ 847.8 | – | – |
| Adjusted net earnings per sharenon-GAAP | $ 0.71 | – | – |
| Attributable gold equivalent ounces producednon-GAAP | 492,326 Au eq. oz. | – | 4% |
| Total gold equivalent ounces producedother | 501,341 | – | – |
| Attributable gold equivalent ounces soldnon-GAAP | 490,240 | – | – |
| Gold ounces soldother | 486,507 | – | – |
| Silver ounces sold (000's)other | 771 | – | – |
| Average realized gold price per ounceother | $ 4,483 | – | 37% |
| Attributable average realized gold price per ouncenon-GAAP | $ 4,487 | – | – |
| Production cost of sales per equivalent ounce soldother | $ 1,352 | – | – |
| Attributable production cost of sales per equivalent ounce soldnon-GAAP | $ 1,336 | – | – |
| Attributable all-in sustaining cost per equivalent ounce soldnon-GAAP | $ 1,821 | – | – |
| Attributable all-in cost per equivalent ounce soldnon-GAAP | $ 2,404 | – | – |
| Margin per Au eq. oz. soldother | $3,131 | – | 42% |
| Net cash flow provided from operating activitiesother | $ 1,145.9 | – | – |
| Attributable adjusted operating cash flownon-GAAP | $ 1,111.9 | – | – |
| Capital expendituresother | $ 411.0 | – | – |
| Attributable capital expendituresnon-GAAP | $ 406.2 | – | – |
| Attributable free cash flownon-GAAP | $ 726.8 | – | – |
2026 outlook
- NoteOn an attributable basis, Kinross expects to produce 2.0 million Au eq. oz. (+/- 5%).
- NoteProduction cost of sales per Au eq. oz. sold of $1,360 (+/- 5%).
- NoteAll-in sustaining cost of $1,730 (+/- 5%) per ounce sold.
- NoteTotal attributable capital expenditures are forecast to be $1,500 million (+/- 5%).
- NoteKinross is on track to return 40% of its free cash flow to shareholders in 2026.
Capital returns
- Kinross repurchased and cancelled approximately $230 million in shares during the quarter, representing 7.9 million shares.
- Dividends paid to common shareholders were $47.6.
- Including its quarterly dividend, Kinross returned over $275 million to shareholders in Q2.
- Year-to-date, approximately $520 million in shares have been repurchased in 2026, representing 17.3 million shares.
- Including its quarterly dividend, Kinross has returned over $600 million in capital to shareholders to date in 2026.
- The Board declared a quarterly dividend of $0.04 per common share payable on September 3, 2026, to shareholders of record on August 20, 2026.
- Since April 2025, Kinross has repurchased approximately $1.1 billion in shares, reducing its share count by approximately 4%, and returned approximately $1.3 billion in capital to shareholders.
What drove it
- The 29% year-over-year increase in revenue was due to the increase in the average realized gold price.
- Average realized gold price increased 37% year-over-year to $4,483 per ounce.
- Higher production from Tasiast and Paracatu was offset by lower production from Bald Mountain, Round Mountain and Fort Knox.
- Tasiast production increased quarter-over-quarter and year-over-year primarily due to higher throughput and timing of ounces processed through the mill.
- Paracatu production increased year-over-year as a result of higher mill grades and recoveries, partially offset by a decrease in tonnes processed.
- La Coipa production increased quarter-over-quarter due to higher planned grades and higher throughput.
- Capital expenditures increased due to a ramp-up of development activities at Curlew, Round Mountain Phase X, Bald Mountain Redbird and Great Bear, as well as an increase in capital expenditures at Paracatu mainly due to timing.
Concerns
- Attributable production decreased 4% year-over-year to 492,326 Au eq. oz.
- Production cost of sales per Au eq. oz. sold increased to $1,352 from $1,080, mainly due to higher fuel costs, higher royalty costs resulting from the higher average realized gold price, and higher labour costs.
- Attributable all-in sustaining cost per Au eq. oz. sold increased to $1,821 from $1,493.
- Round Mountain is in a phase of higher waste mining and lower-grade, lower-volume ore supply while stripping Phase S.
- Fort Knox production was lower year-over-year due primarily to the timing of ounces processed through the mill.
- Bald Mountain production decreased year-over-year due to grades and the timing of ounces recovered from the heap leach pads.
What to watch
- Delivery against 2026 attributable production guidance of 2.0 million Au eq. oz. (+/- 5%).
- Delivery against production cost of sales guidance of $1,360 (+/- 5%) per Au eq. oz. sold and all-in sustaining cost guidance of $1,730 (+/- 5%) per ounce sold.
- Second-half higher-grade, higher-recovery ore expected from Round Mountain Phase S.
- Progress on Great Bear, where surface construction is 93% complete and Main Project detailed engineering is approximately 50% complete.
- Lobo-Marte permitting, engineering and execution planning, including the Environmental Impact Assessment progressing through Chile's permitting process.
- Execution of the stated commitment to return 40% of annual free cash flow to shareholders in 2026.
Balance sheet and cash flow
- Cash and cash equivalents were $2,656.4 million as at June 30, 2026, compared with $1,742.3 million as at December 31, 2025.
- Long-term debt was $738.8 million as at June 30, 2026, compared with $738.2 million as at December 31, 2025.
- Net cash was $1.9 billion at June 30, 2026, compared with $1.4 billion at the end of the first quarter.
- Additional available credit was $1.7 billion and total liquidity was approximately $4.4 billion as of June 30, 2026.
- Kinross had no debt maturities until 2033.
- Increase in cash and cash equivalents was $471.4.
- Net cash flow used in investing activities was $(383.8).
- Net cash flow used in financing activities was $(288.9).
Analysis
Kinross delivered a strong Q2 2026 financial result under IFRS. Metal sales increased 29% year-over-year to $2,238.1 million as the average realized gold price increased 37% to $4,483 per ounce. Operating earnings were $1,186.4 million and net earnings attributable to common shareholders were $844.2 million, or $0.71 per basic and diluted share. Adjusted net earnings were $847.8 million, or $0.71 per share.
Production was lower, with attributable gold equivalent output declining 4% year-over-year to 492,326 Au eq. oz. Higher production at Tasiast and Paracatu was offset by lower output at Bald Mountain, Round Mountain and Fort Knox. Tasiast benefited from higher throughput and timing of ounces processed through the mill, while Paracatu benefited from higher mill grades and recoveries. Round Mountain remained in a higher-waste-mining and lower-grade, lower-volume phase while stripping Phase S.
The elevated realized price more than offset higher costs and expanded the reported margin per Au eq. oz. sold by 42% to $3,131. Production cost of sales per equivalent ounce sold increased to $1,352 from $1,080, and attributable all-in sustaining cost per equivalent ounce sold increased to $1,821 from $1,493. Management attributed the production-cost increase principally to higher fuel, royalty and labour costs. Operating cash flow was $1,145.9 million and attributable free cash flow was $726.8 million, even as capital expenditures rose to $411.0 million due to development activity across Curlew, Round Mountain Phase X, Bald Mountain Redbird and Great Bear.
The balance sheet strengthened during the quarter. Cash and cash equivalents reached $2,656.4 million, long-term debt was $738.8 million, and the company reported net cash of $1.9 billion. Kinross repurchased and cancelled approximately $230 million in shares during Q2 and returned over $275 million to shareholders including its quarterly dividend. The company reiterated its 2026 operating and capital guidance and remained on track to return 40% of annual free cash flow to shareholders.
Development execution is the principal operational focus beyond the current portfolio. Great Bear surface construction was 93% complete and Main Project detailed engineering was approximately 50% complete. The Lobo-Marte update outlined expected steady-state production of ~350,000 Au oz. per year, estimated AISC of approximately $1,000 per ounce, and estimated NPV of $4.3 billion at a $4,100 per ounce gold price. These projects are advancing alongside higher planned capital spending and therefore remain central to Kinross' long-term production and cost profile.
Management, verbatim
Kinross delivered a strong second quarter, generating over $725 million of free cash flow supported by solid production, disciplined cost management and strong margins. We returned more than $275 million to shareholders through share repurchases and dividends, and we remain on track to achieve our commitment of returning 40% of annual free cash flow to shareholders in 2026.
J. Paul Rollinson, CEO
Our project pipeline continues to advance well. We were pleased to announce a Lobo-Marte project update, highlighting its potential to produce approximately 350,000 gold ounces per year at $1,000 per ounce AISC with robust economics, building on our nearly 30-year history in Chile.
J. Paul Rollinson, CEO
Not in the filing
stated, not guessed- Segment revenue was not reported for Tasiast, Paracatu, La Coipa, Fort Knox, Round Mountain or Bald Mountain.
- Gross margin was not reported.
- Prior-quarter consolidated revenue, operating earnings, net earnings, EPS, operating cash flow, capital expenditures and attributable free cash flow were not reported.
- Prior guidance was not provided.
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.