Evolution Mining Limited (ASX: EVN) released its FY26 Full Year Financial Results on 19 Aug 2026, and shareholders had plenty to like. Record profits, record cash flow, and a dividend policy that now returns more of what the business earns.
Figure 1: A gold processing plant lit up at dusk [Courtesy: Evolution Mining]
Evolution Mining FY26: The results indicate the gold miner is firing on most cylinders at once. Group cash flow rose to A$1,389 million, and the balance sheet turned from net debt to net cash for the first time in years.
Evolution Mining Record Cash Flow FY26: The Headline Numbers
| Metric | FY26 | FY25 | Change |
|---|---|---|---|
| Statutory profit after tax | A$1,475M | A$926M | +59% |
| Underlying profit after tax | A$1,563M | A$958M | +63% |
| Underlying EBITDA | A$3,171M | A$2,207M | +44% |
| Underlying EBITDA margin | 57% | 51% | +12pp |
| Group cash flow | A$1,389M | A$787M | +76% |
| Operating mine cash flow | A$3,394M | A$2,288M | +48% |
| Net mine cash flow | A$2,079M | A$1,035M | +101% |
| Earnings per share | 73 cps | 46 cps | +57% |
| AISC | A$1,717/oz | A$1,572/oz | -9% |
| Net cash / (debt) | A$19M | (A$849M) | Net cash |
Figure 2: Group cash flow and dividend metrics for FY26 [Courtesy: Evolution Mining]
The gold output in fact fell to 715,000 ounces from the 751,000 ounces of the year prior. Copper slipped to 66,000 tonnes. Neither number is a record, and Evolution is not pretending otherwise. What carried the year was price: gold averaged A$6,023 an ounce, up 40 per cent, and that alone explains most of the cash flow story.
Driving Record Results: Operational Highlights
Cowal did the heavy lifting again, generating record operating and net mine cash flow of A$1,221 million and A$852 million. The Open Pit Continuation Project is tracking to schedule and sitting inside its original A$430 million budget. Ore mining started at E46 in the June quarter.
Mungari had arguably the standout year. Record annual gold production of 186,000 ounces, up from 135,000 ounces in FY25, after the expanded 4.2Mtpa mill was commissioned ahead of schedule and 15 per cent under its original A$250 million budget. Projects rarely land under budget and ahead of time. This one did.
Figure 3: Underlying EBITDA margin by mine site, FY25 versus FY26 [Courtesy: Evolution Mining]
Ernest Henry had a rougher run. The underground production was offline for stretches due to Heavy Cloncurry rainfall, which the site says gobbled up approximately 12,000 ounces of gold and 8,000 tonnes of copper over the year. It returned to full production in the June quarter, and the Board has since approved the Bert development project, with first output pencilled in for FY29.
Northparkes saw production start from the E48 sub-level cave, and the Board signed off on the E22 block cave plus a Coarse Particle Flotation Project. Red Lake quietly had its best year yet, with record net mine cash flow of A$286 million, equal to a 20 per cent payback on capital invested there so far. Mt Rawdon wound down further, processing low-grade stockpiles for A$38 million in net mine cash flow in what is now its final full year of operation.
Growth Moves: Carnaby and Arizona Gold & Silver
Two deals came alongside the results:
- Evolution agreed to acquire 100% of Carnaby Resources Ltd by Scheme of Arrangement, for roughly A$213 million in scrip
- Carnaby shareholder approval is expected at a scheme meeting in late October to early November 2026
- Evolution also picked up a 9.9% equity stake in Arizona Gold & Silver Inc (TSXV: AZS) for A$12.1 million
- That investment links to the Philadelphia Gold-Silver Project in Arizona’s Oatman Mining District
Figure 4: Internal rate of return across Evolution’s key growth projects [Courtesy: Evolution Mining]
Rewarding Shareholders: Record Dividend and Payout Policy
The Board increased its dividend policy to between 60 per cent of Group cash flow, up from the previous level of 50 per cent. This was converted into a fully franked final dividend of 21.0 cents per share and takes total dividends for the year to 41.0 cents per share.
Evolution has now paid a dividend for the 27th time straight; total dividends to shareholders have exceeded A$2.5 billion.
Figure 5: FY26 profit, EBITDA and dividend growth snapshot [Courtesy: Evolution Mining]
ASX EVN Results 2026 Australia: FY27 Guidance
| Metric | FY27 Guidance |
|---|---|
| Gold production | 660,000 to 730,000 ounces |
| Copper production | 63,000 to 70,000 tonnes |
| AISC | A$1,795 to A$1,995 per ounce |
| Sustaining capital | A$265 to A$325 million |
| Major mine development capital | A$440 to A$500 million |
| Major project capital | A$570 to A$650 million |
Managing Director and CEO Lawrie Conway pointed to safe, consistent operational delivery as the reason behind the record year, and said the updated dividend policy is sector-leading. He added it should keep building balance sheet flexibility heading into FY27.
Evolution Mining Share Price (ASX: EVN)
- Last traded price: A$13.500 per share
- Market capitalisation: A$27.72 billion
- 52-week range: A$7.790 to A$17.750 per share
- Record final dividend: 21.0 cps fully franked, returning around A$427 million
- Full-year dividend: 41.0 cps, returning around A$833 million
Figure 6: Evolution Mining (ASX: EVN) share price movement over the past 12 months [Courtesy: ASX]
Industry Outlook
Gold prices have stayed elevated through FY26, and that’s flattered margins right across the sector, not just at Evolution. FY27 AISC guidance assumes a gold price of A$5,700 per ounce and copper at A$18,000 per tonne, so the Company is banking on strength continuing rather than fading.
Future Direction and Impact on Shareholder Returns
Impact on shareholder returns looks set to hold into FY27. A 60 per cent payout policy, a net cash balance sheet, and no debt due until FY29 give Evolution room to keep funding growth without squeezing dividends.
According to the ASX announcement, every organic growth project remains on its original budget and schedule. Ore delivery through FY28 to FY30 will lean on the Bert project at Ernest Henry and the E22 development at Northparkes coming through on time.
Anyone tracking Evolution Mining Record Cash Flow FY26 momentum should keep an eye on how the Carnaby integration plays out, and where gold prices sit heading into the second half of 2026.
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FAQ
Q1. Why is Evolution buying Carnaby Resources?
Ans. It expands copper growth options around Ernest Henry. The deal is worth roughly A$213 million in scrip and still needs Carnaby shareholder approval.
Q2. Why did the gold and copper output decline in FY26?
Ans. Weather disruption at Ernest Henry and normal mine sequencing at other sites reduced volumes, even as cash flow hit records.
Q3. What caused the weaker gold and copper production this year?
Ans. Mostly heavy rainfall at Ernest Henry, which knocked underground mining offline for stretches during the year.
Q4. What board changes were announced alongside the results?
Ans. Thomas McKeith will retire in November 2026, with geoscientist John Vann joining the Board from December 2026.
Disclaimer
This article is meant only for informational purposes. All data published in this content is sourced from Evolution Mining. Kindly verify all information related to share price and market data before making any investment decisions. Any investment should be made at the investor’s own risk. Colitco does not hold any position in the above-mentioned company.
Source
- https://www.asx.com.au/markets/company/EVN
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