Alamos Gold (AGI) Q4 2025 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Thu, February 19, 2026 astatine 10:11 AM CST 23 min read

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Thursday, Feb. 19, 2026 astatine 10 a.m. ET

• President & CEO — John A. McCluskey

• Chief Financial Officer — Greg Fisher

• Chief Operating Officer — Luc Guimond

• Vice President, Exploration — Scott R. Parsons

Thank you, Scott. I americium going to commencement with Slide 3. Production for 2025 was 545,000 ounces, precocious beneath our guidance arsenic a effect of terrible upwind successful precocious December and different challenges with the Canadian operations. Our costs were supra yearly guidance reflecting the aforesaid factors. Despite the setbacks, we delivered a fig of fiscal records, including gross of $1,800,000,000, grounds escaped currency travel of implicit $350,000,000 portion backing our high-return maturation projects. Supported by beardown escaped currency travel generation, we doubled our shareholder returns, further strengthened our equilibrium expanse by reducing our debt, and eliminated much of the hedges inherited from the Argonaut Gold transaction, giving america accrued vulnerability to higher golden price.

Looking up to 2026, we expect a meaningful betterment successful operational show to thrust a 12% summation successful production. This volition beryllium driven by the ramp-up of mining rates astatine Island Gold arsenic portion of the Phase 3 Plus expansion, arsenic good arsenic higher mining rates astatine Young-Davidson. We expect further maturation successful accumulation astatine little costs successful the coming years arsenic we present connected the larger Island Gold District enlargement by 2028 and bring Lynn Lake into accumulation by 2029. Our longer-term outlook remains firmly connected way to astir treble our yearly accumulation to astir implicit 1,000,000 ounces a twelvemonth astatine little costs.

Now turning to Slide 4, implicit the past month, we outlined the cardinal drivers of our beardown outlook. As elaborate successful our updated three-year guidance, we expect to present a 46% summation successful accumulation astatine astir 20% little all-in sustaining costs by 2028. We besides provided exploration updates connected our mines and exploration projects, highlighting important upside imaginable crossed our portfolio. Our palmy exploration programme successful 2025 contributed to a 32% summation successful year-end mineral reserves to 16,000,000 ounces, marking the seventh consecutive twelvemonth of growth. This included a adjacent doubling of reserves astatine Island Gold District to implicit 8,000,000 ounces.

As announced earlier this month, this maturation is being incorporated into a larger enlargement of the district, which is expected to make 1 of the largest, longest-life, and astir profitable golden operations successful Canada. This is simply a high-return enlargement that the Island Gold District tin money connected its own, contributing to our expanding escaped currency flow. Reflecting this beardown outlook and increasing escaped currency flow, we were pleased to denote a 60% summation successful our dividend commencing this quarter. As outlined successful the enlargement study, we volition beryllium expanding milling rates to 20,000 tonnes per day. The higher complaint is supported by accrued mining rates per time from the unfastened pit, 3,000 tonnes per time from underground, and 17,000 tonnes.