Royal Gold achieved record operating cash flow and sales volume in the third quarter of 2026, significantly benefiting from the 2025 integration of Sandstorm and Horizon assets and record realized metal prices. While GAAP EPS was impacted by fair value losses on equity securities, adjusted earnings of $2.80 per share comfortably beat the $2.74 analyst estimate.
Key Highlights
- Revenue surged 84% year-over-year to $464.8 million, outperforming estimates on the strength of a 50% increase in gold equivalent ounce (GEO) sales.
- Record operating cash flow reached $344.4 million, allowing the company to fully repay its $1.225 billion revolving credit balance and become debt-free by October 19, 2026.
- Realized metal prices provided massive leverage, with gold averaging $4,262 per ounce and silver averaging $62.59 per ounce during the period.
- Management raised sales guidance for "other metals" and now expects silver and copper sales to reach or exceed the top end of previous 2026 guidance ranges.
- Capital returns continued with $49 million in share repurchases and a 6% increase in the quarterly dividend to $0.475 per share.