KGC · Kinross Gold Corporation

Kinross Gold Corporation delivered exceptional financial performance in the first quarter of 2026, driven primarily by a significant appreciation in gold prices. The company reported a 129% increase in net earnings attributable to common shareholders, reaching $843.0 million or $0.70 per share, compared to $368.0 million or $0.30 per share in the same period of 2025. This surge was underpinned by a 61% increase in metal sales to $2,407.7 million, as the average realized gold price jumped 71% to $4,873 per ounce. The substantial margin expansion—metal sales rising 61% against a 26% increase in production cost of sales—highlights strong operating leverage to gold prices.

Production volumes decreased as planned, with attributable gold equivalent ounces produced declining 4% to 492,563 ounces. Lower output from Bald Mountain, Fort Knox, Round Mountain, and Tasiast partially offset higher production from Paracatu. Unit costs rose notably, with attributable all-in sustaining costs (AISC) increasing 28% to $1,732 per equivalent ounce sold. Management attributed the cost inflation primarily to higher royalty costs linked to the elevated gold price and timing of inventory movements. Despite higher unit costs, the widening spread between the realized price and AISC drove robust profitability.

The company's financial position strengthened considerably. Attributable free cash flow more than doubled to $837.5 million, contributing to a $442.7 million increase in total cash and cash equivalents, which ended the quarter at $2.2 billion. Kinross actively returned capital to shareholders, deploying $250.1 million for share repurchases and $47.9 million for dividends. Capital expenditures increased to $283.2 million, funding development activities at key projects including Great Bear, Kettle River-Curlew, and Round Mountain Phase X. Income tax expense rose significantly to $465.2 million, reflecting higher pre-tax earnings and $91.0 million in withholding taxes related to earnings repatriation from Mauritania.