Kinross Gold Corporation

Kinross reported Q2 production of 492,000 gold equivalent ounces, adjusted earnings of $0.71 per share, adjusted operating cash flow of over $1.1 billion, and attributable free cash flow of $727 million after $406 million of capital expenditures and $327 million of tax payments. Cost of sales was $1,336 per ounce and all-in sustaining costs were $1,821 per ounce, while margins were over $3,100 per ounce. On a year-over-year basis, management emphasized strong operating performance and cash flow, but did not provide prior-year comparative figures in the prepared remarks. For full-year 2026, the company reaffirmed guidance of approximately 2 million ounces of production, cost of sales of $1,360 per ounce, AISC of $1,730 per ounce, and capital of $1.5 billion; Q3 production is expected to be in line with the first two quarters and Q4 higher.

Paul Rollinson said the company had a strong first half and was positioned to meet 2026 targets, citing disciplined cost control, strong margins, and significant free cash flow. He framed Kinross as being in “excellent shape,” with an excellent balance sheet, an attractive return of capital, and a pipeline of growth projects that are advancing well. His tone was confident and upbeat, but focused on execution rather than hype, with repeated emphasis on holding the line on costs and advancing high-quality assets.

Andrea Freeborough highlighted Q2 financial strength: $0.71 adjusted EPS, over $1.1 billion of adjusted operating cash flow, $727 million of attributable free cash flow, and new records of $2.7 billion in cash and $1.9 billion in net cash. She noted $275 million returned to shareholders in the quarter, including 7.9 million shares repurchased for $230 million and roughly $50 million in dividends, and said first-half capital returns were about 37% of attributable free cash flow, on track for the 40% target. On guidance, she reiterated approximately 2 million ounces of production, $1,360/oz cost of sales, $1,730/oz AISC, and $1.5 billion of capital, and said fuel hedges through 2026 and 2027 and a 5% inflation factor help keep cost pressure manageable.

Analysts focused on Lobo-Marte timing, capital intensity, and how its economics might evolve at higher gold prices; management said the EIA is the key next step, permitting should take roughly 2 to 3 years, and construction would come later, with peak spend behind Great Bear. Questions on cost inflation drew a response that current pressures are manageable, with higher power costs in Alaska and ongoing labor tightness in Nevada, but still within guidance. On Great Bear, management said AEX is not on the critical path and that federal/provincial permitting is progressing well, with first gold still targeted for late 2029. Analysts also asked about Round Mountain ramp timing and the capital framework; management said production should rise in the second half as Phase S ore comes in, and that Kinross is comfortable with growing net cash while continuing the 40% free-cash-flow return policy and staying disciplined on M&A.