New York Stock Exchange listed Zimbabwe-focused gold producer Caledonia Mining Corporation Plc has reported a 46% increase in revenue to US$267.7 million for the financial year ended December 31, 2025, driven by higher gold prices and stable production levels.
According to the company’s preliminary unaudited results released on Monday, revenue rose from US$183.0 million recorded in 2024, marking a year of strong financial performance, improved profitability and robust cash generation.
Total gold sales increased slightly to 79,075 ounces, up from 77,917 ounces in the prior year, while the average realised gold price surged to US$3,383 per ounce from US$2,347 per ounce, underpinning the revenue growth.
The group’s gross profit nearly doubled to US$137.1 million from US$77.0 million, reflecting improved margins, while earnings before interest, tax, depreciation and amortisation (EBITDA) rose sharply to US$125.3 million, compared to US$59.7 million in 2024.
Profit after tax climbed by 193% to US$67.5 million, up from US$23.1 million, with basic earnings per share increasing to US$2.83 from US$0.91.
Net cash generated from operating activities rose by 82% to US$76.2 million, while free cash flow increased significantly to US$62.1 million from US$10.6 million in the prior year.
Operationally, Blanket Mine produced 76,213 ounces of gold during the year, broadly in line with previous performance, while the Bilboes oxide operation contributed 1,683 ounces.
Despite inflationary pressures, consolidated on-mine cash costs averaged US$1,263 per ounce sold, with all-in sustaining costs (AISC) at US$1,952 per ounce.
The company’s balance sheet strengthened considerably, with cash and cash equivalents rising to US$35.7 million at year-end from US$4.3 million in 2024. This resulted in a net cash position of US$23.8 million, compared to a net debt position of US$8.7 million previously.
During the period, Caledonia completed a feasibility study for the Bilboes sulphide project, confirming robust economics and a clear development pathway.
The project is expected to produce approximately 200,000 ounces of gold annually at peak, with first production targeted for 2028.
The group also continued exploration work at the Motapa project, positioning it as part of a broader strategy to develop a multi-asset gold production hub in Zimbabwe.
In line with its capital allocation strategy, the board declared a quarterly dividend of 14 US cents per share, payable on April 17, 2026.
Looking ahead, Caledonia expects Blanket Mine production to range between 72,000 and 76,500 ounces in 2026, with further investment planned to enhance operational reliability and support long-term growth.
Caledonia’s Chief Executive Officer, Mark Learmonth hailed the company’s relationship with the government of Zimbabwe.
He added that progress at the Bilboes project and ongoing exploration at Motapa position the company for future growth, with the group aiming to evolve into a multi-mine producer while maintaining operational stability and financial flexibility.
“We continue to receive strong and constructive support from the Government of Zimbabwe in implementing our strategy. Looking ahead to 2026, our focus is on execution and the strategic objective of becoming a multi-mine producer,” Learmonth stated.
“Our commitment is unwavering to safety and our people while maintaining consistent operations at Blanket, advancing Bilboes in line with the financing and development timetable, continuing targeted exploration at Motapa, and delivering sustainable value for shareholders, employees and the communities in which we operate.
“We intend to use the current strong gold price to invest in projects at Blanket to improve operating resilience and contain further upward pressure on input prices.”
Caledonia is also listed on the London Stock Exchange and Victoria Falls Stock Exchange in Zimbabwe.
