Eldorado Gold Reports Q3 2026 Financial and Operational Results and Updates 2026 Guidance; Skouries and McIlvenna Bay Advancing Toward Commercial Production

Eldorado Gold Corporation (ELD) released its third-quarter 2026 financial results and reset its full-year guidance, marking a shift from a routine quarterly update. While Q3 2026 revenue reached $511.9 million, the market-relevant developments centered on downward revisions to production forecasts and upward adjustments to cost and capital estimates at its Skouries and McIlvenna Bay projects.

For the quarter, Eldorado reported net earnings attributable to shareholders of $118.0 million, or $0.45 basic EPS. Adjusted net earnings were $127.0 million, or $0.49 per share, with adjusted EBITDA coming in at $275.2 million. The company produced 106,351 ounces of gold, selling 107,164 ounces at an average realized price of $4,326/oz. Total cash costs stood at $1,415/oz sold, while all-in sustaining costs (AISC) were $2,050/oz sold. Consolidated free cash flow was negative $191.1 million; excluding Skouries and McIlvenna Bay, free cash flow was positive $98.3 million.

The company significantly lowered its 2026 consolidated gold production guidance to 425,000–475,000 ounces from the previous range of 495,000–600,000 ounces. Guidance for operating assets, excluding Skouries and McIlvenna Bay, was cut to 410,000–430,000 ounces from 430,000–490,000 ounces. Specifically, Skouries 2026 gold guidance was reduced to 10,000–35,000 ounces from 60,000–100,000 ounces.

Cost and capital estimates also saw upward revisions. The 2026 operating-asset AISC guidance was raised to $1,975–$2,125/oz from $1,670–$1,870/oz. Total project capital for Skouries increased by $110 million to approximately $1.425 billion, while McIlvenna Bay total project capital rose by approximately $23 million to approximately $975 million. Commercial production at both Skouries and McIlvenna Bay is now expected in late Q4 2026.

In leadership changes, Christian Milau became President and CEO effective September 30, 2026. George Burns retired from management but remains on the Board. Management acknowledged that the Skouries ramp-up has taken longer and cost more than expected, a concession that directly impacts prior guidance credibility.

Eldorado Gold Corporation (ELD) has issued a significant negative reset to its operational guidance, marking a clear departure from prior management expectations. With no street analyst consensus available, the company’s previous forecasts serve as the primary benchmark, against which the new data represents a substantial downgrade.

The revised outlook includes a 17.8% cut to the consolidated gold production midpoint, driven largely by a 71.9% reduction in the Skouries midpoint. This is not a minor adjustment but a fundamental shift in production expectations. Additionally, All-In Sustaining Costs (AISC) guidance for operating assets has been raised by 15.8% at the midpoint, a move that directly compresses cash flow and net asset value (NAV) at any given gold price.

Capital expenditure projections have also increased. Skouries project capital is up $110 million, or 8.4%, with accelerated operational capital expected at $390 million. This figure includes $95 million in additional operational costs and $35 million in reclassified sustaining capital. The company further warned of up to $30 million in additional spending, contingent on the timing of commercial production. At the McIlvenna Bay project, capital is up approximately $23 million, and the timeline for commercial production has slipped from the third quarter to late in the fourth quarter.

Financially, consolidated free cash flow was negative $191.1 million in the third quarter. However, excluding the two growth projects, the figure was positive $98.3 million, indicating that the underlying operating business continues to generate cash. The primary challenge lies in the scale and timing of growth capital expenditures and the slower-than-expected ramp-up.

The balance sheet has tightened accordingly. Debt rose to $1,985.4 million from $1,749.9 million at the end of the second quarter of 2026 and $1,275.1 million at the end of fiscal year 2025. Cash reserves fell to $396.8 million from $554.6 million at the end of the second quarter of 2026, resulting in a less comfortable financial position than previously implied by prior "peak debt" commentary.

The stock had already experienced a significant de-rating prior to the release. Eldorado Gold closed at $66.54 on August 27, 2026, before falling to $44.32 on October 23, 2026, and bouncing to $48.24 on October 28. This 33% drawdown from the August high suggests the market was already positioned for adverse news. While some negativity may be priced in, the absolute magnitude of the guidance cut and capital overrun constitutes a material negative event for near-term NAV and free-cash-flow timing.

Eldorado Gold Corporation is a mid-tier gold and copper producer listed on the TSX and NYSE. The company owns a portfolio of operating and development assets in Canada, Greece, and Türkiye. Its operating gold mines include Kisladag in Türkiye, an open-pit heap-leach operation; Lamaque in Québec, an underground gold complex that includes the Triangle, Plug #4, and Ormaque mines as well as the Sigma mill; Efemcukuru in Türkiye, an underground gold mine; and Olympias in Greece, an underground gold-silver-lead-zinc mine.

The company is currently ramping up Skouries in Greece, an open-pit and underground copper-gold porphyry that produced its first concentrate in September 2026, and McIlvenna Bay in Saskatchewan, a copper-zinc-gold-silver VMS mine that produced its first copper concentrate in June 2026 and its first zinc concentrate in July 2026. Additional development and exploration assets include Perama Hill in Greece, the Tesla Zone at McIlvenna Bay, the Stratoni skarn in Greece, and various exploration targets at Lamaque and in Turkey.

For 2026, Eldorado Gold provided guidance for 425,000–475,000 ounces of gold, including contributions from Skouries and McIlvenna Bay; 10–25 million pounds of copper; 1.2–1.5 million ounces of silver; 11–14 thousand tonnes of lead; and 14–20 thousand tonnes of zinc. As of September 30, 2025, the company’s reserve base consisted of 12.5 million ounces of proven and probable gold reserves. Christian Milau serves as President and CEO, Paul Ferneyhough is Executive Vice President, Strategy and CFO, and Dan Myerson is Chair of the Board.