The Vault Minerals Ltd (ASX: VAU) share price is in focus today after the company unveiled a strong set of half-year results, highlighted by a robust 44% lift in group EBITDA to $384.5 million and the declaration of a maiden 7 cents per share dividend.
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What did Vault Minerals report?
- Group gold sales: 169,274 ounces for revenue of $817.3 million, up 20% on the previous corresponding period (pcp)
- Group EBITDA: $384.5 million, up 44% on pcp, with a margin of 47%
- Underlying net profit before tax: $211.7 million, up 93% on pcp
- Statutory net loss after tax: $35.2 million, reflecting the accounting treatment of early hedge settlements
- Cash and bullion at period end: $537.3 million, with no debt
- Maiden interim dividend: 7 cents per share (unfranked), plus ongoing share buy-back
What else do investors need to know?
Vault's early settlement of H2 FY26 gold hedges for $172.7 million means it is now almost entirely unhedged, with only 10,233 ounces remaining for delivery in early FY27. This provides full exposure to current high gold prices, positioning Vault for increased free cash flow in the coming half. Capital investment continued across its portfolio, including processing plant upgrades at King of the Hills (KoTH) and the Deflector mine transition, aiming for a step-change in production capacity.
The company also maintained a robust balance sheet with $537.3 million in cash and bullion and no debt. Its ongoing share buy-back program reflects a continued focus on shareholder returns, alongside the inaugural dividend.
What did Vault Minerals management say?
Managing Director Luke Tonkin said:
Our solid operating cash flow and disciplined investment have brought Vault to an inflection point earlier than expected, enabling us to reward shareholders with a maiden dividend.
What's next for Vault Minerals?
Vault's guidance for FY26 remains at 332,000 to 360,000 ounces of gold production, with portfolio upgrades aiming to drive a 34% lift in Leonora gold output by the end of FY27. Upcoming completion of the KoTH processing facility upgrades is set to deliver increased throughput and operational flexibility.
Management anticipates the company will enter a cash tax-paying position in FY27, paving the way for future franked dividends. Ongoing capital investments and aggressive exploration are intended to support further growth and mine life extension, helping Vault maintain its position as one of the highest-yielding ASX gold companies.
Vault Minerals share price snapshot
Over the past 12 months, Vault Minerals shares have risen 126%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 11% over the same period.
