Harmony Gold Mining Company Limited

For FY2026, group gold production was 1.43 million ounces, in line with guidance, and all-in sustaining cost was ZAR 1.19 million per kilogram or USD 2,195 per ounce, also within guidance. Underground recovered gold grades were 5.83 g/t, CSA contributed 18,207 tonnes of copper at a recovered grade of 3.75% and a C1 cash cost of USD 2.47 per pound, and revenue increased 34% to ZAR 100 billion or USD 5.9 billion. Headline earnings per share increased 87% to ZAR 43.63, adjusted free cash flow increased 54% to a record ZAR 17 billion or USD 1 billion, and the company declared a record final dividend of ZAR 7.50 per share, taking the full-year dividend to ZAR 12.80 per share. Looking forward, management pointed to continued reserve conversion, life extension and growth through 2030, with a meaningful cash flow inflection expected beyond 2030 as margins strengthen and costs decline.

Beyers Nel framed FY2026 as a defining year in Harmony’s shift into a diversified global gold and copper producer. He said the company has a strong balance sheet, a capable team, and a portfolio with optionality, and stressed that the strategy now shifts from portfolio progression to execution and unlocking embedded value. His tone was confident and forward-looking, but he also made clear that some of the added production profile highlighted in the presentation is still conceptual blue-sky potential rather than fully de-risked output.

Boipelo Lekubo focused on the remaining balance-sheet items and acquisition-related liabilities. She said contingent consideration still outstanding is about ZAR 433 million for Mponeng and ZAR 540 million for Eva Copper, while the CSA-related net smelter royalty to Glencore is about ZAR 1 billion to ZAR 1.1 billion, leaving total remaining liability at around ZAR 2.1 billion. On the call she also clarified that the earlier CSA contingent payments of $75 million each were already paid in October 2025 and February 2026, and management described the CSA integration as operationally complete.

Analysts pressed management on why the production outlook now shows growth over 10 years versus a decline previously, and management said the change reflects CSA on a full-year basis, Eva Copper, annual mine-life extensions, and conceptual upside from resource conversion and life-extension projects. They also asked about the large cash-flow impacts and whether additional CSA one-offs remain; management said the integration costs and contingent items were mostly one-offs and that the operational integration is largely complete. On CSA, management said the worst is not yet behind them because ventilation and flexibility work still need to be completed, but they highlighted record development meters, better safety, and exploration intercepts as signs the investment case remains intact. On Eva Copper, management said the endangered-species issue is being managed through a staged regulatory process, guidance for first copper in 2028 and CapEx remains unchanged for now, and they do not currently see the issue as a mine-stopping problem.