OR Royalties Reports 62% Year-Over-Year Increase in Revenues and Cash Flows from Operations in Q2 2026 and Continued Share Repurchases Under the Normal Course Issuer Bid
OR reaffirms guidance on its high-margin royalty model despite risks from the Barnat pit and rising leverage.
OR Royalties Inc. (OR) reported second-quarter 2026 earnings after the close on August 5, posting revenues of $97.8 million, a 62% increase year-over-year, and operating cash flow of $83.2 million, also up 62%. The results were driven by 20,757 gold equivalent ounces (GEOs), a 5.4% increase, and a realized gold price of approximately $4,506 per ounce. The company maintained a cash margin of 96.8%, with net earnings reaching $61.4 million, or $0.33 per share, compared to $0.17 per share in the prior year.
The quarter saw the closure of $335 million in acquisitions, including Terraco (Spring Valley) and the Gold Fields portfolio. These transactions were financed partly with debt, shifting the company from a net cash position to a net debt balance of $139.4 million.
Following the quarter, OR Royalties closed a $28 million stream with Canadian Copper and entered a $15 million royalty extension on La Verde. The company accelerated share buybacks, repurchasing 1.0 million shares for $29.1 million in July, and increased its revolving credit facility to $850 million, extending the maturity to 2030. The quarterly dividend was declared at $0.065 per share, unchanged from the May increase.
CEO Attew reaffirmed the 2026 GEO guidance of 80,000 to 90,000 ounces and highlighted continued conviction in the Canadian Malartic project despite the July 2 pit wall movement at the Barnat area.
OR Royalties Inc. (OR) released its second-quarter earnings, a report that largely confirmed previously shared expectations. The company had pre-released headline figures on July 8, including revenues of $97.8 million, gross operating expenses (GEOs) of 20,757, and a cash margin of 96.8%. Consequently, the final report offered no surprises.
The release highlighted several new developments, including closed acquisitions, an upsizing of the credit facility, and aggressive share buybacks in July. While these items are positive, they are not considered transformative. The stock had already recovered from the sell-off triggered by Barnat prior to the earnings print, closing at $43.30. The numbers met or modestly beat low expectations, with no negative surprises surfacing.
OR Royalties Inc. (OR) is a pure-play precious metals royalty and streaming company. Its portfolio includes over 200 royalties and streams, with flagship assets: * 5% NSR on Canadian Malartic (including Barnat and Odyssey) * 2% NSR on Namdini * A sliding scale NSR on Island Gold * 100% silver stream on Mantos Blancos * 1.5% NSR on San Gabriel * Tiered NSR on Spring Valley * Numerous earlier-stage projects
Approximately 75% of gross operating expenses (GEOs) come from Tier-1 jurisdictions, including Canada, the US, and Australia. Management, led by President and CEO Jason Attew, has a track record of accretive acquisitions.