Westgold Resources has reported a landmark financial year, with a closing treasury balance of $939 million underpinning a 10 cent fully franked dividend, four times the company’s minimum annual commitment. This result caps a year of exceptional cash generation and operational delivery that has left the Perth-based gold miner with substantial firepower for both growth investment and capital returns.
The financial performance reflects record gold production of 387,354 ounces, compared with 326,384 ounces in the prior year, combined with a realised gold price of $6,238 per ounce in a favourable commodity environment. Revenue climbed 79 percent to $2,441 million as a result. All-in-sustaining costs remained stable at $2,841 per ounce, demonstrating operational discipline despite the higher production profile. Underlying net profit after tax surged 452 percent to $480 million, translating the operational gains into substantial shareholder earnings.
Cash generation proved exceptional. Operating cash flow nearly tripled to $964 million, while free cash flow swung dramatically to $602 million from just $5 million in the prior year, reflecting both the operating improvements and moderating capital intensity. The treasury balance expanded from $364 million to $939 million over the period, a 158 percent increase that puts Westgold in a position of genuine financial strength. The company remains 100 percent debt free and fully unhedged, giving it maximum flexibility to navigate commodity price cycles.
Management has formalised this approach through a new FY27 Shareholder Capital Return Policy, signalling a disciplined framework that balances reinvestment with ongoing capital returns. The company returned $122 million to shareholders in FY26 through dividends and $27 million in buybacks, with a further $50 million buyback approved for the coming year. This capital return profile sits alongside management’s intention to target capital expenditure at the largest and most productive assets to drive production and cash flow growth.
Investors will want to monitor execution on the capital allocation strategy, particularly whether near-term production targets are met and how the company manages commodity price volatility from this elevated treasury base. This announcement is price sensitive and has been flagged as material by the ASX.
View the full ASX announcement (PDF)
About Westgold Resources Limited (ASX: WGX)
Westgold Resources Limited is an Australian gold mining company that explores, develops, and operates gold mines in Western Australia. The company operates mining facilities across the Murchison and Southern Goldfields regions and recently expanded its operations through the acquisition of Karora Resources. Westgold is listed on both the Australian Securities Exchange (ASX) and the Toronto Venture Exchange (TSX).
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