How Did Regis Resources Achieve a Record $254M Profit in FY25?

Strong Financial Turnaround

Regis Resources Limited has reported a remarkable turnaround in its financial performance for the full year ended 30 June 2025. The company posted a record net profit after tax of $254 million, a dramatic improvement from a loss of $186 million in the previous year. This recovery was underpinned by a surge in gold prices, which averaged $4,387 per ounce, up 47% year-on-year, and the absence of legacy hedging losses that had previously weighed on earnings.

EBITDA more than doubled to $780 million, delivering a robust margin of 47%, reflecting both operational efficiency and strong market conditions. Cash flow from operating activities also hit a record $821 million, enabling Regis to repay $300 million of debt and end the year debt free with $517 million in combined cash and bullion holdings.

Operational Highlights and Dividend Declaration

Gold production remained steady at 373,000 ounces, with an all-in sustaining cost (AISC) of $2,531 per ounce, slightly higher than the previous year but well below the average realised gold price. The company sold 375,000 ounces of gold, generating record sales revenue of $1.65 billion.

Reflecting this strong performance, the board declared a fully franked final dividend of 5 cents per share, amounting to $38 million. This dividend marks a return to shareholder distributions after a period of suspension and brings total dividends paid since 2013 to nearly $585 million. The Dividend Reinvestment Plan remains suspended for now.

Outlook and Strategic Focus for FY26

Looking ahead, Regis plans to maintain its focus on reliable, consistent, and safe production while exercising cost discipline. The company’s FY26 guidance projects gold production between 350,000 and 380,000 ounces at an AISC ranging from $2,610 to $2,990 per ounce. This includes a non-cash stockpile drawdown impact of approximately $170 per ounce.

Capital expenditure will be concentrated on high-return projects, particularly at the Duketon operations, where growth capital of $165 million to $175 million is earmarked for advancing the Rosemont Stage 3 and Garden Well Main underground projects, as well as pre-strip activities for new open pits. Regis also anticipates returning to a cash tax payment position in FY26, with an expected tax outflow of around $100 million in the third quarter.

Balance Sheet and Financial Flexibility

Following the debt repayment, Regis established a $300 million revolving credit facility, which remains undrawn, providing additional financial flexibility. The company’s strong cash position and unhedged exposure to gold prices position it well to capitalise on favourable market conditions while managing risks prudently.

Overall, Regis Resources’ FY25 results underscore a successful operational and financial reset, setting a solid foundation for sustainable value creation in the coming years.