Ramelius Resources Ltd (RMLRF) (H1 2026) Earnings Call Highlights: Navigating Challenges with …

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Fri, February 20, 2026 at 2:04 PM GMT+9 3 min read

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**Gold Production:** 101,000 ounces produced, lowest production level in the last 2.5 years.

**Revenue:** AUD 485.6 million, down 4% from the prior period.

**Underlying EBITDA:** AUD 347 million, margin of 42%, a record for H1.

**Net Profit After Tax:** AUD 160 million, comparable to the prior period's AUD 170 million.

**All-in Sustaining Cost Margin:** AUD 2,921 per ounce sold.

**Operating Cash Flow:** AUD 311.6 million, largely in line with the prior period.

**Free Cash Flow:** Outflow of AUD 40 million due to acquisition and exploration expenses.

**Closing Cash and Gold Balance:** AUD 694.3 million.

**Spartan Acquisition Cost:** Total fair value of AUD 2.8 billion, net cost to Ramelius AUD 2.3 billion.

**Interim Dividend:** Total amount of AUD 57.7 million, or AUD 574 per ounce produced.

Warning! GuruFocus has detected 5 Warning Sign with RMLRF.

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Release Date: February 19, 2026

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

Ramelius Resources Ltd (RMLRF) achieved a strong all-in sustaining cost margin of $2,921 per ounce sold, indicating efficient cost management.

The company reported a record underlying EBITDA margin of 42%, driven by an improved realized gold price.

The acquisition of Spartan has provided tax synergies, with tax losses offering a net cash benefit of $105 million.

Ramelius Resources Ltd (RMLRF) declared an interim dividend, exceeding the minimum annual amount, reflecting strong shareholder returns.

The company has enhanced its balance sheet flexibility by replacing its existing credit facility with a $500 million facility, improving commercial terms and tenure.

Negative Points

Gold production was at its lowest level in the past 2.5 years, with only 101,000 ounces produced.

The mine grade decreased by 46% to 2.66 g per ton, compared to a previous period with higher grades.

Free cash flow was an outflow of $40 million, impacted by the acquisition of Spartan and increased exploration budget.

The company faces a significant upcoming stamp duty payment of approximately $131 million related to the Spartan acquisition.

The realized gold price increase was partially offset by lower gold production, resulting in a 4% decrease in revenue compared to the prior period.

Q & A Highlights

Q: Just one on the dividend. It’s certainly above consensus in my numbers. How are you thinking about dividend policy over the next couple of years with the relatively high CapEx burden in terms of development? A: Thanks, Richard. We reviewed our dividend, especially given the strong gold prices. We consider the dividend and buyback together. We haven’t accessed the buyback much since December due to limitations, so we opted for a slightly stronger dividend. Moving forward, we’ll reassess our dividend policy as production ramps up and cash flows increase.

Story continues  

Q: Can you give us an indication of when you’ll be mining stope ore as opposed to development ore at Dalgaranga? A: In the June quarter, very early, if not before. The mine is progressing well, and we’re drilling past fill holes. We have a decent stockpile of development ore, and the post plant foundation is in place. We expect to be stopping in March or April, which is on schedule, if not slightly ahead.

Q: Are there any further questions via the phone or webcast? A: There are no further questions via the phone or webcast. This might be due to the comprehensive nature of the presentation. Thank you, everyone, for tuning in.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

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