OceanaGold (Philippines) Inc. grew its third-quarter net income by 5 percent to USD28.3 million as higher gold prices, improved by-product credits, and lower sustaining capital expenditures boosted margins and generated USD51.4 million in free cash flow at its Didipio gold-copper mine.
The company produced 22,700 ounces of gold and 3,400 tonnes of copper in the July-to-September period. Gold output rose from 21,900 ounces a year earlier, while copper production increased from 3,100 tonnes.
Revenue climbed 5.2 percent year-on-year to USD149.1 million from USD141.7 million, while earnings per share stood at USD0.012. Free cash flow reached USD51.4 million, reversing a USD17.8 million outflow in the second quarter.
A key contributor was the decline in all-in sustaining costs (AISC), a measure of the cost of producing gold, to USD687 per ounce from USD1,213 a year earlier and USD1,589 in the preceding quarter. The company attributed the improvement to higher by-product credits and lower sustaining capital expenditures.
For the first nine months, however, gold production totaled 64,500 ounces, down from 66,900 ounces in the same period last year. Copper output likewise slipped to 9,300 tonnes from 10,200 tonnes. Revenue nevertheless increased to USD434.4 million from USD317.2 million, while net income nearly doubled to USD95.6 million.
OceanaGold Philippines President Joan Adaci-Cattiling said the company remained on track to meet its 2026 production and cost guidance, with output expected to improve in the fourth quarter as underground mining rates increase.
She said the company generated strong free cash flow amid favorable gold prices while advancing underground mining and drilling activities, including exploration at the near-mine True Blue target, where technical work is continuing to assess the potential for a future mineral resource estimate.
The company also declared a third-quarter dividend of USD26 million, equivalent to USD0.0114 per common share. Shareholders on record as of November 19 will receive payment on December 17, in Philippine pesos based on the prevailing exchange rate.
