Capricorn Metals Posts $206.8M Underlying Profit, Boosts Cash to $440M

Strong Operational Performance Drives Record Profit

Capricorn Metals Ltd has delivered a standout first half for fiscal year 2026, posting record underlying profit before tax of $206.8 million, a remarkable 128% increase compared to the previous corresponding period. This surge reflects robust operational execution at the Karlawinda Gold Project (KGP), where gold production reached 62,794 ounces at an all-in-sustaining-cost (AISC) of $1,627 per ounce, aligning well with company guidance.

Sales revenue hit a record $350.1 million, buoyed by an average realised gold price of $5,842 per ounce. The company’s underlying EBITDA also doubled to $215.3 million, representing a healthy 62% margin, underscoring strong cash generation capabilities.

Maiden Fully Franked Dividend Marks New Chapter

In a significant milestone, Capricorn declared its maiden fully franked interim dividend of 5 cents per share, amounting to $22.8 million. This move signals the board’s confidence in the company’s financial strength and its commitment to delivering shareholder returns while continuing to fund growth projects internally.

Executive Chairman Mark Clark highlighted that the strong cash flow from operations, which reached $204.5 million, has fortified the balance sheet, enabling the dividend payment without compromising the company’s robust net cash position of $440.8 million.

Growth Projects and Strategic Acquisitions Underpin Future Potential

Capricorn is advancing its Karlawinda Expansion Project (KEP), with $44.5 million invested during the half-year. The expansion is on track for commissioning in the first quarter of FY27, expected to boost annual gold production to approximately 150,000 ounces. Concurrently, the Mt Gibson Gold Project (MGGP) is progressing through final permitting stages, with ongoing exploration and feasibility studies supporting plans for rapid development.

The acquisition of Warriedar Resources Limited in late 2025 has added significant tenements and resources to Capricorn’s portfolio, including the Golden Range Project and the Ricciardo gold-antimony deposit. This strategic move enhances Capricorn’s footprint in the Yalgoo-Singleton Greenstone Belt and diversifies its asset base.

Exploration and Resource Growth Continue

Exploration efforts remain vigorous, with over 1,200 drill holes completed across Capricorn’s tenements during the half-year. The company’s group Mineral Resource Estimate has grown to 8.1 million ounces of gold, supported by increases at Mt Gibson and Golden Range projects. The Ore Reserve Estimate stands steady at 4.0 million ounces, reflecting ongoing resource conversion and mining depletion.

Capricorn’s focus on unlocking underground mining potential at Mt Gibson, particularly at the Orion South deposit, is progressing with promising drilling results and conceptual studies indicating substantial upside.

Outlook and Market Position

Capricorn remains on track to meet the upper end of its FY26 production guidance of 115,000 to 125,000 ounces at an AISC between $1,530 and $1,630 per ounce. The company’s strong cash position and operational momentum position it well to fund its growth pipeline and sustain shareholder returns.

With a diversified portfolio, ongoing exploration success, and a clear path to increased production, Capricorn Metals is steadily advancing towards its goal of becoming a mid-tier Australian gold producer delivering superior returns.