Canada's OceanaGold Q2 gold output rises on higher production at Haile

Overview

• Canada-based gold and copper miner's Q2 revenue rose, gold output up 7% from prior quarter

• Net profit for Q2 was $222 mln, with strong free cash flow and no debt

• Company returned $78 mln to shareholders via dividends and share buybacks in Q2

Outlook

• Oceanagold maintains 2026 full-year gold production guidance at 520-590 koz

• Company expects consolidated AISC to be near upper end of $1,750-$1,900/oz guidance range

• Oceanagold forecasts higher gold production and lower AISC in H2 2026

Result Drivers

• HIGHER GOLD PRODUCTION - Co said gold output rose 7% from prior quarter, driven by increased production at Haile

• PRODUCTION WEIGHTED TO END OF QUARTER - Revenue reflected gold sales weighted towards the end of the quarter as production increased at Haile

• HIGHER COSTS - Co said AISC rose due to labor cost inflation, continued investment in maintenance and reliability, unhedged energy costs and lower silver by-product credits

Company press release: ID:nPn9qWggZa

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the gold peer group is "buy"

• Wall Street's median 12-month price target for OceanaGold Corp is C$56.00, about 58.8% above its August 4 closing price of C$35.27

• The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 7 three months ago

Reuters Recommended Reads

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)