Endeavour Mining plc

Q1 2026 revenue was not stated, but the company reported realized gold price of $4,810/oz, production of 282,000 ounces, record free cash flow of $613 million, adjusted EBITDA of $880 million, adjusted EBITDA margin of 65%, operating cash flow of $737 million, and adjusted net earnings of $442 million, or $1.53 per share. Production was down from Q4 due to planned lower grades, while adjusted EBITDA rose 29% quarter-over-quarter and adjusted net earnings rose 64%; free cash flow increased 29% from Q4. All-in sustaining costs were $1,834/oz on a reported basis, but underlying AISC was $642/oz on a gold-price-adjusted basis at the company’s $3,000 gold assumption. For the full year, management said production and AISC remain on track to guidance, with higher production expected in H2 and peaking in Q4. Cash tax guidance was raised to $660 million to $770 million from $600 million to $700 million, and Q2 free cash flow is expected to be lower because of seasonal tax payments.

Ian Cockerill framed Q1 as a record quarter and emphasized that the business is now generating strong free cash flow, improving margins, and a much stronger balance sheet. He said the company’s priorities are to maximize free cash flow, fund organic growth, and return more capital to shareholders while keeping leverage below 0.5x net debt to adjusted EBITDA over the cycle. His tone was confident on Assafou, saying the project is effectively a matter of timing rather than if, and that the market should not be disappointed by the upcoming Vindaloo Deeps update.

Guy Young said the quarter benefited from a realized gold price of $4,810/oz, with adjusted EBITDA up 29% to $880 million and adjusted net earnings up 64% to $442 million, or $1.53 per share. He detailed operating cash flow of $737 million and free cash flow of $613 million, while net debt moved from $158 million to net cash of $405 million. He also flagged higher cash tax guidance of $660 million to $770 million for the year, said Q2 free cash flow will be seasonally lower because of tax payments, and noted that the RCF should be paid down in Q3 as OpCo dividends come upstream; the Cote d’Ivoire debt will remain in place and amortize as scheduled.

Analysts pressed management on capital allocation, especially whether strong cash generation could support both Assafou and M&A. Ian said the priority remains organic growth and exploration, though the company will continue to look at M&A if the right opportunity appears. Questions on Assafou focused on permitting, resettlement, road diversion, and timing; management said environmental and exploitation permits are in hand, mining convention talks are ongoing, and about $80 million of pre-expenditure is already underway to de-risk long-lead items, with FID still targeted before year-end. Analysts also asked about fuel and working-capital pressures, and Guy said fuel supply is not seen as a security issue, but pricing could add about $10/oz AISC for every $10 per barrel move; he also said the Q1 working-capital build should not repeat at the same level across the rest of the year.