Gold.com Q2 Earnings Call Highlights

Key Points

• Strong operating and financial performance: Gold.com produced 796,000 ounces of gold in Q2, exceeding guidance by 3%, while net earnings rose 50% year over year to $1.2 billion. The company maintained its full-year production and cost outlook and ended the quarter with $1.2 billion in net cash.
• Newmont agreement supports strategic restructuring: A roughly $4 billion agreement reshapes the Nevada joint venture, adds about 6.4 million ounces of resources and resolves historical disputes. Gold.com continues to target a North American gold-assets IPO by the end of 2026, with plans to sell a 10% minority stake and return most proceeds to shareholders.
• Growth spending guidance was reduced: Fourmile, Lumwana and the Pueblo Viejo expansion remain on schedule, while delayed plant construction at Reko Diq helped lower 2026 attributable capital-expenditure guidance to $3.8 billion-$4.2 billion. Management also cited improved safety metrics but acknowledged six lost-time injuries and ongoing payment demands from Mali.

Gold.com NYSE: GOLD reported second-quarter 2026 gold production above guidance, improved quarterly output and continued progress on major growth projects, while outlining an agreement with Newmont intended to reshape their Nevada joint venture and support a planned North American IPO.

President and CEO Mark Hill said the company produced 796,000 ounces of gold during the quarter, 3% above guidance and 11% higher than the first quarter. Copper production totaled 56,000 tonnes. Hill said the company met its gold-cost guidance and maintained its full-year 2026 production and cost outlook.

“We have had our third quarter in a row with excellent operating and financial results,” Hill said. He added that the company expects gold output to rise in the third quarter from second-quarter levels and increase further in the fourth quarter. Copper production is also expected to be higher in the second half than in the first half.

Financial results and shareholder returns

Senior Executive Vice President and CFO Helen Cai said net earnings totaled $1.2 billion, up 50% from the prior-year period. Adjusted net earnings were $1.36 billion, or $0.82 per share, which she said was in line with Bloomberg consensus estimates. Attributable adjusted EBITDA rose 51% year over year to $2.5 billion, representing a 59% margin.

Attributable free cash flow declined 33% year over year in the second quarter, reflecting the typical timing of annual tax and interest payments as well as a one-time $200 million payment related to Loulo-Gounkoto. Cai said free cash flow would have been more than 60% higher year over year excluding that payment. Year-to-date attributable free cash flow was $1.4 billion, more than double the comparable period a year earlier.

The company ended the quarter with $1.2 billion in net cash, an undrawn $3 billion revolving credit facility and no meaningful debt maturities until 2033, Cai said.

During the quarter, the company repurchased $1.2 billion of shares under its previously announced $3 billion authorization. Cai said the company has returned $3 billion through dividends and buybacks since its new leadership began in October 2025, more than double the prior corresponding period. Its dividend framework includes a quarterly base dividend of $0.175 per share and a year-end performance top-up designed to target total payouts of 50% of attributable free cash flow.

Newmont agreement and North American IPO

Hill opened the call by discussing an agreement with Newmont that he said has an approximate total value of $4 billion. The package includes the parties’ interests in Fourmile as well as Newmont properties known as Mike and Fiberline, which Hill said add about 6.4 million ounces. It also resolves historical disputes and litigation between the joint-venture partners.

Hill said the agreement followed four months of negotiations and aligns the partners’ interests as they seek to optimize Nevada Gold Mines. He said the companies can now evaluate greater processing capacity, including the potential for a roaster or autoclave, while reducing ore trucking and coordinating infrastructure planning around Fourmile and Goldrush.

Management did not provide a detailed valuation of the individual elements of the transaction. Hill said there would be no contingent payments tied to future exploration success.

The company continues to target completion of an IPO of its North American gold assets by the end of 2026. Hill said he has been selected by the board to lead the new company as CEO when it launches. The company plans to sell a 10% minority interest and does not currently intend to increase that percentage, according to Hill. Management said the vast majority of net proceeds from the offering are expected to be returned to shareholders.

Chief Development Officer George Joannou said the company is reviewing the IPO structure following the Newmont agreement, including potential friction-cost savings and domicile considerations. He said a marketing process will occur, though management did not provide timing.

Growth projects remain on schedule

Hill said the company’s principal growth projects—Fourmile, Lumwana and the Pueblo Viejo expansion—remained on time and on budget during the quarter.

• Fourmile: The company increased drilling to 20 active rigs and expects to complete a prefeasibility study by the end of 2028. Hill said the Newmont agreement may allow the project’s development and processing planning to advance more quickly, although permitting remains a constraint.
• Lumwana: The mill expansion is intended to double copper production. The company expects 2026 capital spending to be at the low end of guidance and anticipates first copper from the expansion by the end of the first quarter of 2028.
• Pueblo Viejo: Work progressed on permitting and construction for the tailings facility, haul roads and water-treatment plant. Hill said 90% of resettlement packages have been accepted.
• Reko Diq: The company will continue its review of the project but decided not to begin plant construction this year. Expected 2026 attributable capital expenditures were reduced to $450 million to $500 million from $600 million to $700 million.

Lower projected spending at Lumwana and Reko Diq reduced the company’s 2026 group attributable capital expenditure guidance to $3.8 billion to $4.2 billion.

Safety performance improves, but concerns remain

Hill said safety remained the company’s top priority. The frequency rate improved quarter over quarter to 0.77 from 0.92, though the company recorded six lost-time injuries during the period.

Hill called that result “completely unacceptable” and said leadership is increasing field time, conducting more critical-control verifications and addressing risks at mine sites. The company has invested more than $90 million this year in safety technology, including mining-equipment automation, vehicle dash cameras, safety-reporting software and artificial-intelligence analytics.

At Loulo-Gounkoto, Cai said the company made a $200 million payment in April associated with additional royalties, penalties and interest arising from the retrospective application of Mali’s 2023 mining code to 2024 and 2025. She said a further $48 million payment demand was received in July.

About Gold.com (NYSE:GOLD)

A-Mark Precious Metals, Inc, together with its subsidiaries, operates as a precious metals trading company. It operates in three segments: Wholesale Sales & Ancillary Services, Direct-to-Consumer, and Secured Lending. The Wholesale Sales & Ancillary Services segment sells gold, silver, platinum, and palladium in the form of bars, plates, powders, wafers, grains, ingots, and coins. This segment also offers various ancillary services, including financing, storage, consignment, logistics, and various customized financial programs; and designs and produces minted silver products.

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