Loading...
01/11 03:34
Loading...
Access earnings results, analyst expectations, report, slides, earnings call, and transcript.
The earnings call shows mixed signals: strong revenue and EBITDA growth, but high costs and debt remain concerns. Positive aspects include a new agreement at Essakane and expected production increases. However, vague management responses and high costs at Côté and Westwood temper optimism. The market cap suggests moderate volatility, leading to a neutral prediction.
Gold Production IAMGOLD produced 173,000 ounces of gold in Q2 2025, a year-to-date total of 334,000 ounces. This was led by strong results at Côté (96,000 ounces), Westwood (29,000 ounces), and Essakane (77,000 ounces). The increase in production is attributed to improved operations at Côté and Westwood, despite lower grades at Essakane.
Cash Costs IAMGOLD reported Q2 cash costs of $1,556 per ounce, higher year-over-year due to increased royalties, foreign currency movements, and higher unit costs during the stabilization of Côté.
All-in Sustaining Costs (AISC) AISC for Q2 was $2,041 per ounce, higher year-over-year due to similar reasons as cash costs, including higher royalties and operational costs at Côté.
Revenue Revenues from continuing operations totaled $580.9 million in Q2 2025, driven by sales of 182,000 ounces at an average realized price of $3,182 per ounce. This represents an increase compared to the prior year, attributed to higher gold prices.
Adjusted EBITDA Adjusted EBITDA was $276.4 million in Q2 2025, up from $191 million in Q2 2024. The increase is due to higher gold prices and improved production.
Net Debt Net debt stood at $1 billion at the end of Q2 2025, with $223.8 million in cash and cash equivalents. The company has begun deleveraging by repaying $40 million of its second lien term loan.
Essakane Royalties Royalties at Essakane increased significantly, contributing $257 per ounce in Q2, up nearly $100 per ounce year-over-year, due to higher gold prices and revised royalty rates.
Côté Gold Costs Côté Gold's cash costs were revised to $1,100-$1,200 per ounce, and AISC to $1,600-$1,700 per ounce, due to higher royalties, temporary crushing costs, and maintenance expenses.
Westwood Costs Westwood's cash costs averaged $1,562 per ounce, and AISC averaged $2,140 per ounce in Q2, higher due to increased mining and maintenance costs and lower production from lower grades.
Essakane Costs Essakane's cash costs were $1,855 per ounce, and AISC was $2,224 per ounce in Q2, higher due to increased royalties, a stronger Euro, and higher operational costs.
Côté Gold Ramp-Up: The Côté Gold mine achieved nameplate throughput of 36,000 tonnes per day ahead of schedule and produced 96,000 ounces of gold in Q2 2025. The mine is transitioning from ramp-up to optimization and stability.
Nelligan and Monster Lake Projects: Drilling programs at Nelligan and Monster Lake in Quebec are progressing, with Nelligan targeting over 10 million ounces of gold resources. Nelligan's indicated resources increased to 3.1 million ounces, with an additional 5.2 million ounces inferred.
Gold Price Exposure: IAMGOLD is now fully exposed to gold prices after concluding its gold prepayment arrangement, which previously delivered 75,000 ounces of gold valued at approximately $200 million.
Essakane Ownership Adjustment: IAMGOLD's ownership in the Essakane mine was reduced from 90% to 85%, aligning with Burkina Faso's updated mining code. The government received $128.3 million in dividends, while IAMGOLD's share was $680 million.
Production Guidance: IAMGOLD is on track to meet its 2025 production guidance of 735,000 to 820,000 ounces of gold, with stronger production expected in the second half of the year.
Cost Revisions: Revised cost guidance includes cash costs of $1,375-$1,475 per ounce and all-in sustaining costs of $1,830-$1,930 per ounce, driven by higher royalties, currency fluctuations, and temporary operational costs.
Côté Gold Expansion Potential: IAMGOLD is working on a plan to expand the Côté Gold mine, targeting over 20 million ounces of measured and indicated resources by combining the Côté and Gosselin zones. An updated life-of-mine plan is expected in 2026.
Deleveraging Strategy: IAMGOLD repaid $40 million of its second lien term loan, reducing the principal to $360 million. The company aims to reduce debt and improve its capital structure.
Cost Management: IAMGOLD faces challenges in managing rising costs, including higher royalties due to increased gold prices, elevated operational costs at Côté Gold during ramp-up, and currency fluctuations impacting costs at Essakane.
Operational Stability: The company is working to stabilize operations at Côté Gold, which is experiencing temporary higher costs due to rehandling and supplementary crushing activities. These issues are expected to improve with the installation of a second crusher.
Production Costs: Revised cost guidance indicates higher cash costs and all-in sustaining costs across operations, driven by factors such as increased royalties, higher maintenance costs, and operational inefficiencies.
Regulatory and Ownership Changes: The change in ownership structure at Essakane from 90% to 85% has financial implications, including adjustments to attributable production and dividend payments.
Supply Chain and Maintenance: Higher maintenance and consumable costs, including diesel and grinding media, are impacting operations, particularly at Essakane.
Currency Fluctuations: The appreciation of the Euro has increased labor, contractor, and facility costs at Essakane, adding to overall operational expenses.
Strategic Execution: IAMGOLD is focused on optimizing its Côté Gold operations and advancing the Côté Gosselin super pit scenario, but these initiatives require significant capital and operational adjustments.
Production Guidance: IAMGOLD is on track to achieve its production guidance target of 735,000 to 820,000 ounces of gold for 2025. The second half of the year is expected to be stronger due to improvements at the Côté mine and higher grades at Essakane and Westwood.
Cost Guidance: Revised consolidated all-in sustaining cost range is now between $1,830 and $1,930 per ounce. Cash costs are expected to be in the range of $1,375 to $1,475 per ounce sold.
Côté Gold Expansion: IAMGOLD plans to announce an updated Côté life of mine in the second half of 2026, targeting a larger scale and scope by combining Côté and Gosselin zones. The company is conducting a 45,000-meter drilling program to support this expansion.
Côté Gold Production and Costs: Côté Gold production guidance for 2025 is 360,000 to 400,000 ounces on a 100% basis. Cash costs are expected to be $1,100 to $1,200 per ounce sold, and all-in sustaining costs are expected to be $1,600 to $1,700 per ounce sold. The installation of a second cone crusher in Q4 is expected to reduce costs.
Westwood Mine Outlook: Westwood is expected to produce 125,000 to 140,000 ounces of gold in 2025. Cash costs are expected to be $1,275 to $1,375 per ounce sold, and all-in sustaining costs are expected to be $1,800 to $1,900 per ounce sold. Production is expected to be stronger in the second half of the year.
Essakane Mine Outlook: Essakane's attributable production is expected to fall towards the lower end of the guidance range of 360,000 to 400,000 ounces due to a change in ownership to 85%. Cash costs are expected to be $1,600 to $1,700 per ounce sold, and all-in sustaining costs are expected to be $1,850 to $1,950 per ounce sold.
Nelligan and Monster Lake Projects: IAMGOLD is conducting drilling programs at Nelligan and Monster Lake in Quebec, targeting over 10 million ounces of gold resources at Nelligan. Assay results are expected later in the year.
Dividend Declaration: Essakane declared a significant dividend of approximately $855 million, representing all undistributed profits up to and including 2024. IAMGOLD's 85% portion of this dividend, net of withholding taxes, is approximately $680 million. Payments will be made during the third quarter, with the remaining balance converted into a shareholder account for future repayment.
Potential Share Buybacks or Dividends: IAMGOLD is analyzing its capital structure and has expressed interest in returning value to shareholders through share buybacks or dividends once its capital structure is optimized.
The earnings call shows mixed signals: strong revenue and EBITDA growth, but high costs and debt remain concerns. Positive aspects include a new agreement at Essakane and expected production increases. However, vague management responses and high costs at Côté and Westwood temper optimism. The market cap suggests moderate volatility, leading to a neutral prediction.
The earnings call highlights strong financial performance, with increased production and efficiency, leading to improved cash flow and adjusted EBITDA. The company plans to maintain or increase dividends, enhancing shareholder returns. Despite operational risks and safety concerns, the guidance remains optimistic, with expected cost improvements and stable production. The Q&A session provided additional insights into production stability and cost management, supporting a positive outlook. Considering the market cap of approximately $2.1 billion, the stock price is likely to react positively, within the 2% to 8% range, over the next two weeks.
The earnings call summary highlights strong financial performance with record revenues, increased production, and improved earnings. Despite some operational challenges, guidance was clear and accounted for known issues. The company's strategic actions, such as repurchasing a stake in Côté Gold and receiving dividends, are positive indicators. The Q&A section did not reveal major concerns, though some management responses lacked clarity. Given the market cap of $2.13 billion, these factors suggest a positive stock price movement in the 2% to 8% range over the next two weeks.
The earnings call summary presents a mixed outlook. Financial performance appears stable with ongoing debt reduction and payment plans. However, management's lack of clarity on future capital allocation decisions and timelines for dividends or share buybacks creates uncertainty. Additionally, labor inflation and operational challenges related to Cote could impact future financial health. The market cap suggests moderate sensitivity to these factors, leading to a neutral prediction for stock price movement.
All transcripts are sourced directly from the official live webcast or the company’s official investor relations website. We use the exact words spoken during the call with no paraphrasing of the core discussion.
Full verbatim transcripts are typically published within 4–12 hours after the call ends. Same-day availability is guaranteed for all S&P 500 and most mid-cap companies.
No material content is ever changed or summarized in the “Full Transcript” section. We only correct obvious spoken typos (e.g., “um”, “ah”, repeated 10 times”, or clear misspoken ticker symbols) and add speaker names/titles for readability. Every substantive sentence remains 100% as spoken.
When audio quality is poor or multiple speakers talk over each other, we mark the section instead of guessing. This ensures complete accuracy rather than introducing potential errors.
They are generated by a specialized financial-language model trained exclusively on 15+ years of earnings transcripts. The model extracts financial figures, guidance, and tone with 97%+ accuracy and is regularly validated against human analysts. The full raw transcript always remains available for verification.
