Northern Star Resources Ltd reported a 22% increase in underlying EBITDA to A$4.3 billion for the fiscal year ended June 30, 2026, driven by a 26% surge in the average realized gold price to A$4,925 per ounce. Revenue rose 19% to A$7.6 billion, while gold sold declined 6% to 1.5 million ounces.
The company returned A$914 million to shareholders via dividends and buybacks, including a fully franked final dividend of 30 cents per share and a full-year payout of 55 cents per share. An on-market buyback program executed A$129 million, canceling 6.3 million shares out of a A$500 million authorization announced in April 2026.
Underlying net profit after tax climbed 26% to A$1.8 billion, with underlying earnings per share up 5% to A$1.24. Free cash flow totaled A$190 million, while return on capital employed increased to 13.4% from 11.4% in FY25. Group-level EBITDA margin expanded to 56%, equating to A$2,767 per ounce sold, though all-in sustaining costs rose 25% to A$2,698 per ounce.
Mineral resources grew to 89 million ounces from 70.7 million at FY25-end, while ore reserves increased to 28.4 million ounces. Organic resource additions totaled 6.7 million ounces at a cost of A$23 per ounce, including 3.6 million ounces at Kalgoorlie and 3.1 million ounces at Pogo. The Hemi project contributed 13.2 million ounces of mineral resources and 5.5 million ounces of ore reserves.
Capital expenditure for the KCGM mill expansion is now estimated at A$1.75–1.81 billion, up from an initial A$1.53 billion, with remaining FY27 spend of A$150–210 million. The expanded facility, targeting 27 million tonnes per annum, is slated for completion in late FY27, with first production from the tie-in scheduled for September 2026. Stage II completion remains on track for the first half of FY27.
Northern Star guided FY27 gold production to 1.5–1.65 million ounces, with all-in sustaining costs forecast at A$3,050–3,450 per ounce. Total capital investment is projected at A$2.6–2.9 billion, including A$1.15–1.3 billion in operational growth capital and A$350–470 million for KCGM mill completion. The Hemi project development is earmarked for A$200–250 million, with a final investment decision targeted for late FY27.
The company maintained a conservative balance sheet with net debt of A$490 million and liquidity of A$3 billion. Leverage stood at 0.1x, well below the 1.5x target, while gearing was 10%, under the 20% threshold. Credit ratings remained at Baa3 (Moody’s) and BBB- (S&P and Fitch). Shares traded little changed at A$22.54 following the presentation, near the midpoint of the 52-week range of A$17.07 to A$31.96.
