Artemis Gold (ARTG) Q1 2026 earnings summary

Executive summary

• Achieved record mining rates and strong grades at Blackwater, with Q1 2026 gold production of 61,923 ounces and record mill recoveries of 90.6%, despite an unplanned mill shutdown due to a ball mill gearbox failure, with rapid recovery and productivity improvements.

• Advanced Phase 1A expansion, 34% complete and on track for Q4 2026 commissioning, while EP2 early works commenced, targeting Q4 2028 completion; both projects are designated priority major projects by B.C.

• Strengthened balance sheet by closing a $450 million bond at 5.625% and fully repaying the revolving credit facility, resulting in total available liquidity of $875 million as of March 31, 2026.

• Announced a progressive dividend policy, with a $0.05/share quarterly base dividend starting H2 2026, rising to $0.08/share in 2027, and a variable component from 2028 targeting 40% of free cash flow, with potential for share buybacks.

• Maintained annual production and cost guidance, with recovery plans in place to offset Q1 production shortfall and continued focus on organic growth initiatives.

Financial highlights

• Q1 2026 revenue was $315.4 million, up from $41.1 million in Q1 2025, with adjusted net income of $129.7 million and adjusted EBITDA of $175.6 million.

• Net income per diluted share was $0.48 (reported) and $0.54 (adjusted); operating cash flow totaled $127.9 million.

• All-in sustaining cost (AISC) was US$1,090/oz, with an AISC margin of US$2,009/oz (63% of cash revenue), and cash costs were US$865/oz.

• Capital expenditures in Q1 2026 totaled $97.2 million, mainly for Phase 1A and EP2 development.

• Cash and equivalents at quarter-end were $174.5 million, with total liquidity of $875 million.

Outlook and guidance

• Full-year 2026 production guidance maintained at 265,000–290,000 ounces of gold, with AISC expected at US$925–US$1,025/oz, trending toward the higher end due to inflation and oil prices.

• Capital expenditures for 2026 expected at $670–$745 million, with spending back-end weighted.

• Phase 1A commissioning expected in Q4 2026; EP2 commissioning in H2 2028.

• Expect to sell a higher percentage of production into the spot market for the remainder of 2026, with scheduled deliveries into hedges at favorable prices.

• Q1 production shortfall expected to be recovered through recovery plans and operational improvements.