Ramelius Resources reported FY26 underlying EBITDA of A$765.4 million, down 7 percent from A$825.9 million in the prior year, but the company achieved a record underlying EBITDA margin of 74 percent, up from 69 percent. The headline numbers mask a company that has successfully navigated a transitional year following the closure of its Edna May operation, delivering improved operational efficiency even as production volumes declined.
The margin expansion is the real story here. With an all-in sustaining cost of A$1,983 per ounce, down 40 percent from A$3,963 per ounce in FY25, Ramelius has demonstrated its capacity to operate a lean, high-grade portfolio. Gold realizations improved to A$302,882 per ounce from A$190,261 per ounce, reflecting both the strong Australian dollar gold price and the company’s reduced hedge book. The company sold 1,551 ounces in FY26 compared to 3,963 ounces in the prior year, illustrating the impact of Edna May’s closure in the comparable period. Management notes that the A$300 million sale of Edna May in June 2026 is not reflected in these results, adding a positive one-off cash element that sits outside the year’s operational performance.
Underlying net profit after tax declined 33 percent to A$319.9 million from A$479.1 million, while earnings per share fell 58 percent to 17.0 cents from 41.5 cents. The sharp per-share decline reflects both lower net earnings and the impact of the company’s share buyback program, which purchased A$141.7 million of stock during the year. This capital allocation decision becomes more significant in context: total shareholder returns through dividends and buybacks reached A$256 million, a 96 percent increase from FY25 despite lower underlying profitability. The company declared a fully franked final dividend of 3.0 cents per share, bringing the full-year distribution to 6.0 cents per share, well above its minimum commitment of 2.0 cents per share.
Operating cash flow of A$702.1 million, down 18 percent from A$853.2 million, remains strong and comfortably covers both capital investment of A$396.7 million and the shareholder returns program. Cash and bullion on hand decreased 20 percent to A$649.6 million, reflecting the capital return strategy. This combination of rising capital returns and declining cash balances warrants attention from investors sensitive to leverage and financial flexibility.
The company flagged an updated four-year production outlook for FY30, including FY27 guidance on production, costs, and capital, planned for release next month. This guidance will be crucial for assessing whether the margin expansion continues as planned ramp-ups at Dalgaranga and increased production capacity at the Mt Magnet hub come online. Investors should also monitor the intended resumption of share buybacks and track whether the company can maintain its low-cost positioning as production scales. This announcement is price sensitive and has been flagged as material by the ASX.
View the full ASX announcement (PDF)
About Ramelius Resources Limited (ASX: RMS)
Ramelius Resources Limited is a gold mining and exploration company that engages in the exploration, evaluation, mine development, operation, production, and sale of gold. The company operates through three segments: Mt Magnet, Edna May, and Exploration, with a portfolio of projects in Australia. Based in Perth, Australia, the company was incorporated in 1979 and generates the majority of its revenue from gold mining operations.
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