Alkane Delivers Record Q3 Profit of $93 million
Alkane's three-mine portfolio delivers a record $93 million quarterly profit as merger synergies and soaring metal prices converge, de-risking the balance sheet.
The Q3 FY2026 earnings release, dated 2026-05-14, reports that Alkane Resources delivered the strongest quarter in its history. Record revenues of $274.4 million and a net profit of $92.99 million were driven by high gold and antimony prices and the full-quarter contribution from the Mandalay Resources merger. The company produced a record 44,669 ounces of gold and 377 tonnes of antimony, leading to an EPS of 6.81 cents. The cash, bullion, and investment balance swelled to $374 million, and free cash flow was $127.6 million. Management stated the company is on track to meet its full-year 2026 production and cost guidance.
This result is a material positive confirmation of the company's operating leverage and the success of the Mandalay merger. The Q3 profit of $93 million equals the entire H1 2026 net profit in a single quarter, demonstrating a rapid earnings ramp-up as commodity prices remain elevated. Critically, this quarter shows robust free cash flow generation, which has eliminated debt risk and provides capital for aggressive exploration and growth capex. The results align with and exceed the excellent Q2 results and the record production update from April 2026, confirming the trend is sustainable under current market conditions. The balance sheet has become a competitive weapon, with $374 million in liquid assets and an undrawn $110 million facility, representing a significant portion of the company's market capitalization and offering extreme financial flexibility.
Alkane Resources is a diversified gold and antimony producer operating three mines: Tomingley (New South Wales, Australia - Gold), Costerfield (Victoria, Australia - High-grade Gold and Antimony), and Björkdal (Sweden - Gold). The company’s "flagship" is arguably the portfolio itself, centered on low-cost/high-margin production from the merged entity. Costerfield is a strategic asset as the Western world's primary antimony producer. The company also holds the massive, development-stage Boda-Kaiser copper-gold porphyry project.