Cameco Reports Third Quarter Results: Year-to-Date Performance as Expected; Nuclear Industry Fundamentals Continue to Strengthen; Disciplined Strategy and Integrated Nuclear Exposure Support Long-term Value Creation; Annual Dividend Declared

Cameco Corporation (CCO) released its third-quarter 2026 earnings on October 30, 2026, for the period ended September 30, 2026. The company framed its performance around year-to-date results that aligned with expectations, with Chief Executive Officer emphasis placed on operational discipline, nuclear fundamentals, and the Westinghouse platform. However, the financial data presented indicates a decline in profitability and cash generation compared to the prior year.

Revenue for the quarter rose 1% to C$619 million from C$615 million, while gross profit fell 28% to C$122 million from C$170 million. Net earnings were C$43 million, compared to nil in the same period last year. Adjusted net earnings showed a loss of C$(2) million, down from a gain of C$32 million. Adjusted EBITDA decreased 14% to C$267 million from C$310 million. For the first nine months of 2026, net earnings totaled C$199 million, a 49% drop from C$391 million. Adjusted net earnings for the nine-month period were C$279 million, down 32% from C$410 million, and adjusted EBITDA fell 13% to C$1,166 million from C$1,338 million.

Cash provided by operations declined sharply to C$3 million in the third quarter, a 98% decrease from C$156 million. For the nine-month period, operating cash flow was C$112 million, down 85% from C$731 million.

In the uranium segment, production was 3.5 million pounds, down 20% from 4.4 million pounds. Uranium sales were 5.6 million pounds, an 8% decrease from 6.1 million pounds. The realized price for uranium was US$65.78 per pound, up 6% from US$62.12, or C$91.76 per pound, up 8% from C$85.22. Earnings before tax (EBT) for the segment were C$175 million, a 2% increase from C$172 million, while adjusted EBITDA fell 19% to C$179 million from C$220 million.

Unit costs on produced uranium increased significantly. Cash costs rose 62% to C$40.73 per pound from C$25.20, and total production costs increased 58% to C$57.40 per pound from C$36.36. For the nine-month period, cash costs were C$29.70 per pound, up 22% from C$24.39, and total production costs were C$42.17 per pound, up 19% from C$35.37.

Fuel services reported EBT of C$13 million, down 24% from C$17 million. Adjusted EBITDA for the segment was C$24 million, down 4% from C$25 million. The realized price for fuel services was C$42.90 per kilogram uranium, a 13% decrease from C$49.11.

Westinghouse, accounted for on an equity basis, reported a net loss of C$(24) million in the third quarter, an improvement from C$(32) million. Adjusted EBITDA for Westinghouse was C$143 million, up 15% from C$124 million. For the nine-month period, Westinghouse adjusted EBITDA was C$427 million, down 25% from C$569 million, primarily due to comparisons with the Dukovany project.

Cameco narrowed its full-year production guidance to 19.5–20.5 million pounds, down from the previous range of 19.5–21.5 million pounds. Sales and deliveries guidance were narrowed to 29.5–30.5 million pounds, from 29–32 million pounds. The company noted that the average unit cost of sales, direct administration, and capital expenditure figures were updated in the Management’s Discussion and Analysis, but specific figures were not included in the release text.

The company declared a 2026 annual dividend of C$0.24 per share, maintaining the rate from 2025. The dividend is payable on December 15, 2026.

On the balance sheet, Cameco held C$860 million in cash at the end of the quarter, down from approximately C$1.1 billion at June 30. Total debt stood at C$1.0 billion, with C$1.0 billion of revolver capacity undrawn.

Management announced that Leah Hipperson will be appointed Senior Vice President and Chief Financial Officer effective January 1, 2027. Heidi Shockey will move to the role of executive director, finance, until March 31, 2027, after which she plans to retire.

Cameco Corporation (CCO) reported a production decline of 20% and a cash cost of C$40.73/lb, figures that were largely anticipated following management’s prior disclosures. In the first quarter release in May 2026, the company announced a longer-than-normal maintenance shutdown at Key Lake for the third quarter, a plan it reiterated in the second quarter. The reduced output and elevated costs were the direct result of a fixed-cost-heavy mill operating during a prolonged outage affecting 3.5 million pounds of production.

Despite stating in the second quarter that there would be no change to the annual outlook, Cameco has now cut the top end of its 2026 production guidance by 1.0 million pounds and narrowed its sales range lower. The company reported quarterly operating cash flow of C$3 million against adjusted EBITDA of C$267 million, representing a 99% cash conversion rate. This performance falls significantly short of market expectations, even when accounting for delivery timing and working capital fluctuations. Additionally, the nine-month cash cost per produced pound rose 22% year over year, a trend that extends beyond a single quarter outage and is only partially attributable to foreign exchange movements.

Several factors offset these operational headwinds. Realized prices increased by 6–10%, while uranium earnings before tax (EBT) rose 2% year over year. Westinghouse adjusted EBITDA grew 15%, reaching the top of its full-year guidance, and fuel services EBITDA remained roughly flat. The company maintains a net cash position and has kept its dividend unchanged.

The market had already adjusted the equity’s valuation in response to the outage. Shares have declined 35.8% from their January 28, 2026, high of C$181.66 and 5.6% since the prior earnings release, which closed on July 30 at C$123.56. The stock hit a trough of C$110.13 on October 23, a 10.9% drop.

Cameco Corporation (CCO) stands as the largest Western uranium producer, operating through three distinct segments. The Uranium segment encompasses mining and milling operations in northern Saskatchewan, including the McArthur River/Key Lake complex and Cigar Lake, which are recognized as the two highest-grade uranium operations globally. This portfolio also includes a purchase allocation from the joint venture Inkai in Kazakhstan, providing 4.2 million pounds in 2026 from a 10.4 million pound 100% basis production, alongside care-and-maintenance assets such as Rabbit Lake and US ISR operations. Cameco’s share of nine-month 2026 production is 13.6 million pounds, with full-year 2026 guidance set between 19.5 and 20.5 million pounds.

The Fuel Services segment handles UF6 conversion, UO2 conversion, and heavy-water reactor fuel bundles, primarily at facilities in Port Hope and Blind River, with 2026 production guidance ranging from 13 to 14 million kilograms of uranium. The Westinghouse segment involves a 49% equity-accounted interest acquired in November 2023 alongside Brookfield Renewable Partners. This interest covers AP1000 reactor design and deployment, reactor services, and fuel fabrication. Management has disclosed a pipeline of 91 AP1000 reactors, with twin-pack economics representing US$20–26 billion in total spend and a 40–45% share for Westinghouse, based on context from the Q2 2026 call. Westinghouse has confidentially filed a draft S-1 for an initial public offering.

In July 2026, Cameco’s ownership stake in Cigar Lake increased to 57.418% following the closing of the TEPCO interest acquisition, leaving Orano with 42.582%. Since 2014, the mine has produced approximately 174.5 million pounds packaged.