Kinross Free Cash Flow Hits $727M on $4,483 Gold

Kinross Gold Corp. posted $727 million in attributable free cash flow for the second quarter, the highest in its history, as the average realized gold price surged 37% to $4,483 an ounce. Revenue rose 29% to $2.24 billion, with production of 492,326 gold-equivalent ounces coming in just 4% below the year-ago period.

The company returned $275 million to shareholders in the quarter through share repurchases and dividends, bringing the year-to-date total past $600 million. That matches its stated policy of returning 40% of annual free cash flow. "Our balance sheet remains in excellent shape," CEO J. Paul Rollinson said in the release, noting the company added about $470 million to its cash pile during the quarter.

Cash and equivalents stood at $2.7 billion at June 30, with net cash of $1.9 billion. Total liquidity – cash plus available credit – reached $4.4 billion. Kinross has no debt maturities until 2033.

Margins widened sharply. The margin per gold-equivalent ounce sold rose 42% to $3,131, even as production costs climbed. Cost of sales per ounce sold increased to $1,352 from $1,080 a year earlier. The company cited higher fuel, labour and royalty costs – the last linked directly to the higher gold price. Attributable all-in sustaining cost per ounce sold was $1,821, up from $1,493.

Reported net earnings jumped 59% to $844 million, or $0.71 per share. Adjusted net earnings were $848 million, or $0.71 per share, compared with $0.44 in the year-ago quarter.

Capital spending accelerated. Total capex reached $411 million, up from $306 million, driven by ramp-ups at Curlew, Round Mountain Phase X, Bald Mountain Redbird and Great Bear, plus timing-related spending at Paracatu. The company is advancing a multi-project development pipeline that includes the Lobo-Marte project in Chile, which Rollinson said could produce roughly 350,000 ounces a year at $1,000-per-ounce all-in sustaining cost.

Production dipped at Bald Mountain, Round Mountain, and Fort Knox, offset by gains at Tasiast and Paracatu. Tasiast benefited from higher throughput and mill timing. Paracatu saw higher grades and recoveries. La Coipa production rose on higher planned grades.

Kinross has repurchased about $520 million in shares so far this year, reducing its share count by about 4% since April 2025. The board declared a quarterly dividend of $0.04 a share, payable Sept. 3 to holders of record Aug. 20.

The company next reports third-quarter results in late October. Its KGC stock page tracks the shares, which have moved closely with the gold profile this year.