AngloGold Ashanti Q1 Earnings Beat Estimates on Higher Gold Prices

AngloGold Ashanti plcAU delivered earnings of $2.52 per share for the first quarter of 2026, skyrocketing 186% from the year-ago period and beating the Zacks Consensus Estimate of $2.21 by 14%.

Quarterly revenues came in at $3.15 billion, surging 63.7% year over year but missing the Zacks Consensus Estimate of $3.34 billion by 5.5%.

AngloGold Ashanti’s Q1 Operational Highlights

AU’s gold production was 724,000 ounces in the first quarter, marking a year-over-year increase of 1%. The upside was driven by 10% year-over-year growth in Geita mine’s gold production. Strong performances at Cuiabá, Obuasi, Iduapriem, Cerro Vanguardia and Tropicana also aided the upside. 

However, Sunrise Dam’s production declined year over year due to equipment issues and lower grades, while Kibali’s attributable production fell as mined grades and equipment availability weighed on output.

Total cash costs for the group increased to $1,391 per ounce in the quarter, up 14% year over year, driven largely by higher gold price-linked royalties, inflationary pressures in labor and contractor costs and foreign exchange movements. All-in sustaining costs rose 19% to $1,955 per ounce, reflecting higher sustaining capital and the same macro-driven cost headwinds.

AU’s Cash Flow Ramps as Gold Price Tailwind Builds

AngloGold Ashanti posted a record free cash flow of $1.169 billion in the quarter, supported by stronger operating cash generation and an elevated realized gold-price environment. Net cash flow from operating activities rose to $1.709 billion, up 13% year over year, reflecting the stronger revenue base and contributions from joint ventures.

The company’s average gold prices received rose to $4,863 per ounce from $2,874 per ounce in the prior-year quarter. This translated into materially stronger profitability and cash conversion despite higher operating costs. EBITDA increased 130% year over year to $2.291 billion, highlighting the leverage to gold pricing in the quarter’s financial profile.

AngloGold Ashanti Steps Up Capital Returns

AU declared an interim dividend of 116 cents per share for the quarter, equating to $585 million in shareholder distributions. The payout reflected the company’s capital return framework, which links the total dividend to a targeted payout of free cash flow while maintaining a conservative leverage profile.

The company also announced a proposed share repurchase program of up to $2 billion, subject to shareholder approval and other conditions. Separately, the company repurchased about $666 million principal amount of outstanding bonds in April 2026, actions aimed at enhancing financial flexibility through the cycle.

AU Maintains 2026 Outlook

AngloGold Ashanti left its 2026 guidance unchanged. The company expects gold production of 2.8-3.17 million ounces for the group, with total cash costs of $1,315-$1,430 per ounce and all-in sustaining costs of $1,780-$1,990 per ounce. Total capital expenditure is projected at $1.825-$1.975 billion, including sustaining and non-sustaining allocations tied to portfolio reinvestment and key projects.

AngloGold Ashanti Stock’s Price Performance & Zacks Rank

The company’s shares have soared 182.5% in the past year compared with the industry’s surge of 96.3%. During this time, the Basic Materials sector has jumped 49.1%, whereas the S&P 500 has grown 33.4%.

Image Source: Zacks Investment Research

AU currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Performances of Other Mining Stocks in Q1

Kinross Gold CorporationKGC registered adjusted earnings of 71 cents per share in the first quarter of 2026, up from the prior-year quarter’s earnings of 30 cents. The bottom line beat the Zacks Consensus Estimate of 68 cents. Kinross Gold’s revenues surged roughly 61% year over year to $2.41 billion in the first quarter. The figure beat the Zacks Consensus Estimate of $2.17 billion. The rise is attributed to higher average realized gold prices.

Agnico Eagle Mines LimitedAEM earnings were $3.40 per share in first-quarter 2026, up from $1.53 a year ago, beating the Zacks Consensus Estimate of $3.19. Agnico Eagle Mines generated revenues of $4.09 billion, up 66.1% year over year. The top line surpassed the Zacks Consensus Estimate of $3.84 billion.

Newmont Corporation’s NEM adjusted earnings surged 132% year over year to $2.90 per share and topped the Zacks Consensus Estimate of $2.07. Including one-time items, Newmont reported earnings of $3 per share compared with $1.68 in the year-ago quarter. 

Newmont’s revenues for the first quarter were $7.31 billion, up 45.9% year over year. The figure beat the Zacks Consensus Estimate of $6.36 billion. Average realized prices were up 66% to $4,900 per ounce, which helped offset the impacts of a 15% drop in sales volumes to 1.232 million ounces.

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