K92 Mining (KNT) Q2 2026 earnings summary

Executive summary

• Achieved record mine and processing physicals, including record mill throughput, material mined, and net cash position, driven by Stage 3 expansion ramp-up and operational improvements.

• Strong safety performance with year-over-year improvement in injury frequency rate and full implementation of a new cloud-based safety platform.

• Significant progress on sustainability, local economic impact, and community initiatives, including major tax contributions and infrastructure projects in Papua New Guinea.

• Major infrastructure milestones completed, including new power station, material pass, and bridges, supporting future expansions.

Financial highlights

• Revenue reached $205.2 million, up 113% year-over-year, with 46,682 gold ounces sold at an average price of $4,493/oz.

• Net income of $84.6 million, up 116% year-over-year; EBITDA of $140.7 million, up 136% year-over-year.

• Cash flow from operating activities before working capital changes was $105.1 million, more than doubling year-over-year.

• Record cash and cash equivalents of $349.4 million, working capital of $396.7 million, and net cash position of $310 million as of June 30, 2026.

• Cash costs were $850/oz (by-product) and all-in sustaining costs (AISC) $1,376/oz, both below realized gold prices.

Outlook and guidance

• Production guidance for 2026 reiterated, with expectations for stronger H2 production due to increased mine physicals, plant throughput, and higher-grade stoping in Q4.

• Stage 3 and 4 expansions fully funded and on track, targeting 300,000 oz AuEq per annum at Stage 3 run-rate and over 400,000 oz AuEq at Stage 4.

• Costs expected to decline materially as expansion projects reach steady-state.