HARMONY Gold reported a sharp increase in earnings in FY26 as a higher gold price and the first contribution from its newly acquired CSA copper mine boosted its financial performance.The miner generated a record amount of cash during the year, with adjusted free cash flow rising 54% to R17.15bn from R11.14bn, driven by the higher average gold price received and copper sales from CSA.The strong cash generation supported Harmony’s highest-ever final dividend. The company declared a final dividend of 750c per share, compared with 155c per share for FY25, taking the total FY26 dividend to 1,280c per share and the total payout to R8.15bn.In the period under review, Harmony’s headline earnings per share increased 87% to 4,363c from a restated 2,337c in FY25.Cash generated from operating activities increased to R33.61bn from R22.65bn.Harmony ended FY26 with net debt of R852m, compared with net cash of R11.15bn at the end of FY25, following the MAC Copper acquisition.Liquidity stood at R17.10bn, comprising cash and undrawn committed facilities.The CSA mine was acquired as part of Harmony’s $1.01bn acquisition of New York-listed MAC Copper, which was completed in October 2025.In July, Harmony concluded new loan deals, including an A$500m facility with a syndicate of banks to fund the miner’s expansion in Australia, as well as two other facilities comprising $500m and R7bn.Besides CSA, Harmony also acquired the Eva Copper project.ProductionGold production decreased 3% to 1,429,551oz from 1,479,671oz, but remained within guidance.The average gold price received increased 46% to $3,811/oz from $2,620/oz.The increase in gold revenue was partly offset by a R9.65bn ($571m) realised loss on Harmony’s gold hedge book, which lowered the average gold price received.Harmony said it continues to hedge to lock in margins and protect against adverse movements in the gold price as it embarks on its capital projects.CSA produced 18,207 tons of copper, towards the upper end of Harmony’s estimates.ForecastFor FY27, Harmony maintained its gold production forecast at 1.3Moz to 1.4Moz, at AISC of R1.30m to R1.395m/kg.Copper production is expected to increase to 28,000 to 30,000 tons, at a C1 cash cost of $2.55 to $2.65/lb and a yield of approximately 3.5%.Harmony says it expects its track record of safe, predictable production to continue into FY27.“Our forecasting assumptions are deliberately conservative, incorporating a gold price of R1 850 000/kg for FY27, well below the current spot price,” CEO Beyers Nel said in his results statement.“Delivering in line with guidance is one of Harmony’s most important competitive advantages,” Nel said, adding that the conservative assumptions provide confidence that the group’s operations, growth projects and capital commitments are capable of generating cash and delivering returns through commodity-price cycles.The post Harmony Gold dividend soars as earnings jump 87% appeared first on Miningmx.
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