Caledonia Mining delivers record Q2 output, profit soars on higher gold prices, strong operations

Caledonia Mining Corporation Plc has reported a robust second quarter (Q2( 2025 performance, driven by record second-quarter production at Blanket Mine and significantly higher gold prices.

 

Gold revenue rose 30% year-on-year to $65.0 million, with gross profit up 48% to $33.8 million. EBITDA nearly doubled to $39.5 million, boosted by an $8.5 million one-off gain from the $22.35 million sale of its solar plant.

 

Net profit attributable to shareholders surged 147% to $20.5 million, while adjusted EPS climbed 155% to 113.9 cents.

 

Operationally, Blanket Mine produced 21,070 ounces (+1.4%), prompting an upward revision of 2025 guidance to 75,500–79,500 ounces.

 

Plant recovery reached a record 94.4%, adding around 175 ounces of gold in the quarter. Average realised gold price jumped 38.5% to $3,188/oz.

Costs rose, with on-mine cost per ounce up 10.9% to $1,123 and AISC up 21.5% to $1,805, reflecting higher labour, consumables, and sustaining capital.

 

Operating cash inflow hit $28.1 million, and net cash stood at $26.2 million by quarter-end. The company declared a 14-cent dividend.

 

Strategic developments included ongoing exploration at Blanket yielding promising grades, progress on the Bilboes sulphide feasibility study, and a $2.8 million exploration programme at Motapa.

 

The solar plant sale secured long-term renewable energy supply for Blanket and bolstered liquidity.

 

Caledonia will cease quarterly detailed financial statements, moving to half-yearly and annual reporting under Canadian disclosure exemptions, while maintaining quarterly operational updates.

 

The company remains focused on achieving updated production guidance and advancing growth projects to maximise long-term shareholder value.

 

Zimbabwe Economic Review