Up 111% in a year, why is the Gold Road share price slipping on Monday?

ASX 200 investors are bidding down Gold Road shares today. But why?

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The Gold Road Resources Ltd (ASX: GOR) share price is edging lower today.

Shares in the S&P/ASX 200 Index (ASX: XJO) gold stock closed Friday trading for $3.44. In morning trade on Monday, shares are changing hands for $3.43 apiece, down 0.2%.

For some context, the ASX 200 is down 0.6% at this same time.

Despite today's minor dip, the Gold Road share price remains up 111% since this time last year. And that's not including the fully franked 1.5 cent per share final dividend the miner paid eligible shareholders on 31 March.

Here's what's happening today.

Gold Road share price dips on guidance update

ASX investors are pressuring the Gold Road share price following an update on the miner's production and cost guidance for the full 2025 calendar year at its Gruyere JV gold mine, located in Western Australia.

The mine is a 50:50 joint venture with Gruyere Mining Company, a member of the Gold Fields group (Gold Fields), which manages and operates the mine.

At its half-year results release on 29 August, the ASX 200 gold stock had reported on issues with its primary crusher maintenance, the failure of conveyor belts, and lower than anticipated ore from the mine over the six-month period.

That now looks like it will impact the company's full-year gold production.

Management said that year-to-date gold production to 31 August of 196,554 ounces (on a 100% basis) was lower than they'd expected.

"Mining is currently at an annualised rate of approximately 68 million tonnes with a planned ramp-up of total movement rates progressing more slowly than anticipated," the miner said.

With this in mind, Gold Road now expects 2025 annual gold production to be between 310,000 ounces and 320,000 ounces (150,000 ounces to 160,000 ounces attributable). That's down from the previous guidance of between 325,000 ounces and 355,000 ounces (162,500 ounces to 177,500 ounces attributable).

The Gold Road share price also isn't getting any help today from the company's revised cost guidance.

Despite moderately lower total mining expenditure, the lower gold production forecast led management to increase their full-year 2025 all-in sustaining cost (AISC) guidance to be between $2,600 and $2,800 per ounce. That's up from the previous AISC cost guidance of between $2,400 and $2,600 per ounce.

AISC per ounce averaged $2,794 per attributable ounce for the first six months of 2025.

For some idea of why the Gold Road share price has been racing higher this year, for the six months to 30 June, the miner reported a group consolidated net profit after tax (NPAT) of $107.0 million, up 148% year on year.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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