AngloGold Ashanti reported third quarter 2026 results that missed analyst expectations for both revenue and earnings, with gold income reaching $2.56 billion and headline EPS of $1.55. While the company benefited from a 21% year-on-year increase in the average gold price received to $4,239/oz, free cash flow fell 22% to $722 million. The decline was attributed to a 9% drop in gold production and a 45% increase in capital expenditure to $563 million as the company funds growth projects in Nevada and West Africa. Despite the quarterly production dip, management reaffirmed full-year 2026 production guidance.
Key Highlights
- EBITDA increased 12% year-on-year to $1.568 billion, driven by record gold prices despite lower production volumes.
- Gold production declined to 696,000oz, primarily due to a 30-day safety-related pause at the Sukari underground mine and flooding impacts at the Iduapriem mine.
- All-in sustaining costs (AISC) surged 26% to $2,170/oz, reflecting inflationary pressures on labor, fuel, and royalties, alongside lower volume-sensitive cost absorption.
- The Group expanded its net cash position to $1.26 billion and declared an interim dividend of 71 US cents per share.