Harmony Gold Mining Company (HAR) H1 2026 (Q&A) earnings summary

Executive summary

• Interim dividend doubled to a record R3.4 billion (US$204 million), reflecting robust cash flows and a revised policy to pay up to 50% of net free cash to shareholders, supported by strong gold prices and copper growth initiatives.

• Group revenue rose 20% year-over-year to R44.4 billion (US$2.56 billion), with operating profit up 61% to R16.1 billion (US$930 million), driven by higher gold prices despite a 9% drop in gold production.

• On track to meet full-year production, cost, and grade guidance, with strategic focus on gold as the core business and copper providing significant growth through the integration of CSA mine and progress at Eva Copper.

• Safety performance improved, achieving the lowest ever LTIFR of 4.23 per million hours worked, though one fatality occurred in Q2FY26.

• Transitioning into a significant global gold and copper producer, emphasizing value creation for stakeholders.

Financial highlights

• EBITDA increased 39% to R18 billion (US$1.04 billion); net profit rose 24% to R9.83 billion (US$569 million); headline EPS up 13% to 1,431 SA cents (82 US cents).

• Adjusted free cash flow increased 4% to R6 billion (US$344 million); margin decreased to 14%.

• Interim dividend of 530 SA cents (US$0.32) per share declared, with payout doubling to R3.4 billion (US$204 million), representing 43% of net free cash.

• Group AISC increased 21% to R1,180,367/kg (US$2,115/oz) due to lower production and higher royalties, but remained within guidance.

• Net debt/EBITDA at 0.18x; liquidity of R14.8 billion (US$895 million) in cash and undrawn facilities.

Outlook and guidance

• FY26 gold production guidance reaffirmed at 1.4–1.5 million ounces, with underground recovered grades above 5.8g/t.

• All-in sustaining costs for gold expected between R1,150,000–R1,220,000/kg.

• CSA copper mine expected to produce 17,500–18,500 tonnes at C1 cash cost of US$2.65–2.80/lb and recovered grades above 3.5%.

• Eva Copper Project construction underway, targeting 100,000 tonnes annual copper production within three years.

• Group CapEx for FY26 updated to R11.8 billion (US$680 million), including R5.6 billion for Eva Copper and R1.1 billion for CSA mine.