Caledonia Mining (CMCL) investor relations material

Executive summary

• Q2 2026 gold production at Blanket Mine increased 18% sequentially to 17,360 oz, driven by improved access to higher-grade areas and operational enhancements, with record safety performance of 395 LTI-free days and over 5.4 million LTI-free man-hours.

• Revenue rose 16% year-over-year to $75.9 million, and EBITDA climbed 16% to $45.8 million, supported by a 34% higher realized gold price.

• Profit after tax surged 27% year-over-year to $30.0 million, with EPS up 29% to $1.36.

• Strong liquidity with net cash and cash equivalents at $167.8 million, and operating cash flow of $28.4 million.

• Growth pipeline advanced at Bilboes, Motapa, and K-Pits, with a quarterly dividend of $0.14/share declared.

Financial highlights

• Average realized gold price increased 34% year-over-year to $4,259/oz, offsetting lower ounces sold.

• On-mine costs per ounce were $1,675, up 49% year-over-year; AISC per ounce was $2,678, up 48% year-over-year.

• Free cash flow for Q2 2026 was $17.4 million, down 54% year-over-year due to lower ounces sold.

• Gross margin for Q2 2026 was 51.6%; EBITDA margin was 60.4%.

• Basic EPS increased 28.9% year-over-year to $1.36.

Outlook and guidance

• On-mine cash cost guidance for 2026 raised to $1,600–$1,800/oz; AISC guidance increased to $2,500–$2,700/oz.

• 2026 Blanket gold production guidance reaffirmed at 72,000–76,500 ounces.

• CapEx guidance for 2026 revised to $103.3 million, with $48 million sustaining capital at Blanket and $48 million growth capital at Bilboes.

• Production recovery expected in H2 2026, supported by higher-grade access, plant upgrades, and a seven-day work week.

• Management expects Blanket production in 2027 to exceed current guidance due to operational improvements.