Polymetal International plc

For FY2025, revenue increased 13% to $1.5 billion. Adjusted EBITDA rose 37% to $972 million, and EBITDA margin expanded to 65% from 54%. Underlying net earnings increased 40%. Total cash costs rose 17% to $1,100 per ounce, and all-in sustaining cash costs were slightly above $1,500 per ounce, up 18%. Annual payable gold equivalent production was 395,000 ounces, while mine-level output was 508,000 ounces. Net operating cash flow was $600 million, net cash increased 24% to $464 million, gross debt was reduced to $267 million, and CapEx was $255 million. Looking to 2026, management guided to production and sales of 540,000 ounces, with mine-level production roughly flat to 2025, almost a 20% increase in total cash costs, and almost doubling of CapEx.

Vitaly Nesis said 2025 was strong despite lower payable production because the company benefited from a favorable gold price environment and better profitability across the business. He stressed that the inventory overhang, especially at Kyzyl, is being unwound and that the new Kazakhmys processing route should help reduce dependence on Russian POX and improve working capital. His tone was constructive but cautious: he emphasized that the company is not yet ready to seriously consider a dividend, though he believes progress is being made on derisking and financing.

Evgenia Onuschenko highlighted the financial upside from gold prices, with revenue at $1.5 billion, adjusted EBITDA at $972 million, and net cash at $464 million. She broke down the cost pressure: total cash costs rose to $1,100 per ounce due to Kyzyl sales deferrals, domestic inflation above 12%, and higher mineral extraction tax linked to gold prices, partly offset by 11% tenge depreciation. She also noted $731 million of cash, $135 million of undrawn credit lines, roughly $100 million in short-term investments, and ongoing financing talks for $600 million to $700 million for Ertis POX, including an indicative KfW term sheet.

Analysts focused on growth projects, valuation, dividend timing, relisting, legal risk around third-party concentrate processing, and the sharp increase in 2026–2028 capex. Management said Ertis POX is progressing well, Syrymbet should go to board in September, and Besshoky and Tokhtar are delayed by permitting and government approvals. On the key risk question, management said the OFAC comfort letter for Amursk POX needs extension, that Kazakhmys helps reduce the legal and working-capital exposure, and that a major exchange relisting is unlikely until reliance on the sanctioned Russian POX is meaningfully reduced.