How Did Regis Resources Achieve Record $254M Profit Amid Rising Costs?
Regis Resources has reported record financial results for FY25, driven by strong gold prices and operational consistency, while declaring a fully franked dividend. The company remains debt-free and sets ambitious production guidance for FY26.
- Record FY25 revenue of $1.65 billion and EBITDA of $780 million
- Net profit after tax reaches $254 million, a company high
- Gold production steady at 373,000 ounces with AISC rising to $2,531/oz
- Debt fully repaid and company unhedged on gold price exposure
- FY26 guidance targets 350-380koz production at $2,610-$2,990/oz AISC
Strong Gold Prices Fuel Record Financial Performance
Regis Resources Limited has announced a landmark set of financial results for the fiscal year ending June 2025, underscoring the company’s ability to capitalise on a buoyant gold market. With gold sales revenue hitting a record $1.65 billion, the miner reported an EBITDA of $780 million and a net profit after tax of $254 million, both all-time highs for the company.
These results were underpinned by an average realised gold price of $4,387 per ounce, up 47% from the previous year, which more than offset a slight dip in gold production to 373,000 ounces. The company’s all-in sustaining cost (AISC) rose to $2,531 per ounce, reflecting inflationary pressures and increased amortisation costs, but the margin remained robust at 47%.
Operational Consistency and Financial Discipline
Regis maintained steady operational output across its key assets, including Duketon and Tropicana, while continuing to invest in growth projects such as underground development and new open pits. The company’s cash flow from operations surged 73% year-on-year to $821 million, enabling it to repay $300 million in debt and end the year debt-free and unhedged, positioning it well to benefit from future gold price movements.
Cash and bullion holdings also reached a record $517 million, reflecting strong liquidity. The company declared a fully franked final dividend of 5 cents per share, continuing a track record of shareholder returns that total $585 million since 2013.
Sustainability and ESG Progress
Beyond financial metrics, Regis reported meaningful progress on environmental, social, and governance (ESG) fronts. The company met its rehabilitation target of over 200 hectares and reduced its Scope 1 and 2 greenhouse gas emissions by 7.6%, achieving a low lost time injury frequency rate of 0.4, well below its target. Female representation improved to 23% among employees and 33% on the board, signalling ongoing commitment to diversity.
Outlook and Guidance for FY26
Looking ahead, Regis has set FY26 production guidance between 350,000 and 380,000 ounces at an AISC ranging from $2,610 to $2,990 per ounce, which includes non-cash stockpile adjustments. Growth capital expenditure will focus on advancing underground projects at Duketon and developing new open pits, with exploration budgets maintained to support future resource expansion.
The company also anticipates returning to a tax payable position in FY26, with a tax provision of approximately $100 million expected to be settled in the third quarter. This marks a shift from prior years and reflects the strong profitability achieved.
Mineral Resources and Reserves Stability
Regis confirmed that there have been no material changes to its mineral resources and ore reserves since prior announcements, maintaining a solid foundation for ongoing production. The company continues to hold significant stakes in key projects including Duketon, Tropicana (30% ownership), and McPhillamys in New South Wales.
Bottom Line?
Regis Resources’ record FY25 performance and strong balance sheet set the stage for sustained growth amid a volatile gold market.
Questions in the middle?
- How will rising all-in sustaining costs impact Regis’ margins if gold prices soften?
- What exploration results can investors expect from FY26’s growth capital programs?
- How might the return to a tax payable state affect cash flow and dividend policy?
