AngloGold Ashanti has delivered one of the strongest quarterly performances in its recent history, posting record free cash flow of US$1.17 billion in the first quarter of 2026 as soaring global gold prices significantly boosted earnings and strengthened its balance sheet.
The mining giant reported that free cash flow surged by 190% from US$403 million in the same period last year, while cash generated from operating activities climbed 136% to US$1.71 billion.
The company’s profitability also rose sharply during the quarter. EBITDA more than doubled to US$2.29 billion from US$996 million a year earlier, while headline earnings jumped 187% to US$1.29 billion, representing 252 US cents per share.
AngloGold Ashanti attributed the strong results largely to historically high gold prices and stable production across most of its operations. The average gold price received rose dramatically to US$4,863 per ounce, compared with US$2,874 per ounce in the first quarter of 2025.
Gold production remained broadly stable, increasing slightly to 724,000 ounces from 720,000 ounces recorded a year ago. Output from managed operations also improved, supported partly by stronger performances from its Ghanaian mines.
In Ghana, both Obuasi and Iduapriem recorded higher production during the quarter. Obuasi produced an additional 8,000 ounces year-on-year, while Iduapriem added 4,000 ounces, helping to support the company’s overall output growth.
Chief Executive Officer Alberto Calderon said the company’s strategy continues to focus on operational discipline and cost management despite external pressures.
“Our focus remains to control what we can control managing underlying costs and ensuring safe, predictable operating results,” he said.
The strong earnings performance enabled the company to announce a record interim dividend of US$585 million, equivalent to 116 US cents per share, sharply higher than the 12.5 US cents per share declared during the same period last year.
For shareholders on the Ghana sub-register, the dividend will be paid in cedis using the prevailing exchange rate at the conversion date. Based on an indicative exchange rate of US$1 to GH¢11.2425, the gross dividend is expected to amount to approximately GH¢13.04 per share.
AngloGold Ashanti also revealed plans for a proposed US$2 billion share buyback programme, subject to shareholder approval, as part of efforts to increase shareholder returns and align its capital strategy with major North American mining firms.
The company’s financial position improved significantly during the quarter. AngloGold Ashanti moved from a net debt position of US$755 million a year ago to a net cash position of US$868 million by the end of March 2026.
In addition, the miner repurchased about US$666 million worth of outstanding bonds in April to optimise its capital structure and improve financial flexibility.
Despite the record earnings, the company faced rising operational costs driven by inflation, foreign exchange pressures and higher royalty payments linked to elevated gold prices.
Total cash costs rose to US$1,391 per ounce from US$1,223 a year earlier, while all-in sustaining costs increased to US$1,955 per ounce.
However, AngloGold Ashanti said efficiency measures under its Full Asset Potential programme helped reduce controllable underlying costs and protect profit margins. Its total cash cost margin improved significantly to 71%, up from 57% last year.
The quarter was, however, overshadowed by a fatal incident at the Obuasi mine in April after a contractor lost his life following the release of waste material from an underground ore pass.
The company said investigations are ongoing and support is being provided to the deceased worker’s family and colleagues.
“We are heartbroken by the loss of our colleague and offer our deepest sympathy to his family and loved ones,” Mr Calderon stated.
AngloGold Ashanti also highlighted progress on its Arthur Gold Project in Nevada, United States, where a pre-feasibility study confirmed an initial probable mineral reserve of 4.9 million ounces of gold.
At a gold price assumption of US$3,500 per ounce, the project is projected to generate an after-tax net present value of up to US$3.46 billion and average annual production of about 500,000 ounces over an initial nine-year mine life.
The company maintained its full-year 2026 production, cost and capital expenditure guidance unchanged.
Overall, AngloGold Ashanti’s first-quarter performance reflected the enormous gains currently being generated by high gold prices, stronger operational efficiency and disciplined capital management, while also underscoring the continued importance of workplace safety across its mining operations.
