Northern Star Resources (NST) Q2 2026 earnings summary

Executive summary

• December quarter gold sales totaled 348,000 ounces at an AISC of A$2,937/oz, impacted by one-off operational events such as a primary crusher failure at KCGM and unplanned mill downtime at Jundee and Thunderbox, requiring revised FY26 guidance.

• FY26 production guidance revised to 1.6–1.7 million ounces at AISC of A$2,600–2,800/oz, with detailed breakdowns by production center and updated capital expenditure forecasts.

• Operational disruptions at key sites have been addressed, with a focus on productivity improvements, cost discipline, and safety performance (SLTIFR 0.6) for a stronger second half.

• Balance sheet remains strong with net cash position of A$293 million and growing exposure to spot gold prices as hedge book unwinds.

Financial highlights

• Cash and bullion at 31 December stood at A$1,176 million, with a net cash position of A$293 million.

• First half FY26 cash earnings estimated at A$1,060–1,110 million; dividend policy remains at 20–30% of cash earnings.

• December quarter gold sales revenue was A$1,709 million at an average price of A$4,908/oz.

• Operating cash flow for the quarter was A$738 million, including significant tax and insurance payments.

• Group all-in costs for the quarter were A$4,534/oz, reflecting ongoing capital projects.

Outlook and guidance

• FY26 gold sales guidance revised to 1.6–1.7 million ounces at AISC of A$2,600–2,800/oz, down from previous guidance.

• Second half expected to deliver a significant production uplift and improved cost profile as operational issues are resolved.

• KCGM Mill Expansion Project on track for early FY27 commissioning; FY26 capex revised up to A$640–660 million.

• Hemi project progressing with permitting and optimization, targeting FID by end of calendar year.

• Exploration spend for FY26 maintained at ~A$225 million.