- 2025 Revenue & Earnings Growth: Full-year revenue hit $1B (+43%), operating cash flow $705M (+33%), and earnings $466M (+40%) over 2024. Adjusted net income rose 47% to a record $510M.
- Dividend & Shareholder Returns: Paid $118M in dividends and raised 2026 annual dividend to $1.90/share, marking 25 consecutive annual increases.
- Strategic Acquisitions & Portfolio Diversification: Acquired Sandstorm Gold and Horizon Copper, acquiring gold streams at Kansanshi and Warintza, expanding the largest and most diversified mining asset portfolio.
- Debt Reduction & Liquidity: Reduced debt to $725M, with $675M revolver capacity and $757M total liquidity. Plans to fully repay debt by early 2027, ahead of schedule.
Operational Highlights and Acquisitions
The company made several meaningful acquisitions, including Sandstorm Gold and Horizon Copper, which significantly grew and diversified its portfolio. Royal Gold now has the largest and most diversified portfolio of mining assets in its sector. The company acquired a gold stream on the producing Kansanshi mine and a gold stream and royalty on the Warintza development project. Gold remains the dominant revenue driver, making up 78% of total revenue.
Expenses and Debt Repayment
G&A expense was $17.6 million, higher due to integration costs related to the Sandstorm and Horizon acquisition. DD&A expense increased to $80 million, primarily due to additional depletion from the acquired interests. The company estimates 2026 total G&A expense to range between $50 million and $60 million. Royal Gold has made significant progress in paying down its debt, reducing its outstanding balance to $725 million, with $675 million available under its revolver. Based on current metal prices, Royal Gold expects to fully repay its debt in early 2027.
Valuation and Outlook
Royal Gold's current valuation metrics indicate a P/E Ratio of 49.21, P/B Ratio of 3.21, and EV/EBITDA of 37.86. The company's Dividend Yield is 0.64%. Analysts estimate next year's revenue growth at 4.5%. The actual EPS for the quarter came out at $1.92, relative to estimates at $2.68. Royal Gold is looking forward to sharing its vision at the upcoming Investor Day, and the company is positioned for strength in 2026 with its diversified and gold-focused portfolio.