The Northern Star Resources Ltd (ASX: NST) share price is in focus after the gold miner reported 381,000 ounces sold at a higher margin for the March 2026 quarter and generated strong underlying free cash flow of $301 million.
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What did Northern Star Resources report?
- Gold sold: 380,807 ounces at an all-in sustaining cost (AISC) of A$2,709 per ounce
- Group underlying free cash flow: A$301 million
- Net mine cash: A$426 million
- Revenue from gold sales: A$2,012 million
- Cash and bullion balance: A$1,183 million at quarter end
- On-market share buy-back of up to A$500 million announced
What else do investors need to know?
Northern Star's operational focus delivered higher-margin ounces and improved cash generation in the March quarter. Key operations at Kalgoorlie, Yandal, and Pogo reported stronger gold grades and efficiency, while the SLTIFR safety metric remained low at 0.6 injuries per million hours worked.
The KCGM Mill Expansion Project remains on track for early FY27 commissioning, though capital expenditure forecasts were revised upward due to inflation and construction delays. The company also refinanced its undrawn A$1.75 billion bank facility, extending maturity into 2030 and 2031.
What did Northern Star Resources management say?
Managing Director & CEO Stuart Tonkin said:
The March quarter demonstrated improved operational performance, with the Company forecast to deliver its revised FY26 production guidance of above 1.5Moz. As previously disclosed, this outlook remains particularly dependent on mill throughput at KCGM, with downside and upside potential.
Our share buy-back announcement during the quarter reflects confidence in the strength of our business, the structural uplift in cash generation expected from the ramp-up of the new Fimiston processing plant and the compelling value we see in our share price.
The KCGM Mill Expansion remains on track for commissioning in early FY27. At the same time, our team continues to optimise the engineering and design of the Hemi Development Project while advancing approvals.
What's next for Northern Star Resources?
Northern Star reaffirmed FY26 guidance for gold sales above 1.5 million ounces at an AISC of A$2,600–A$2,800/oz. The focus remains on completing the KCGM Mill Expansion, progressing the Hemi Development Project's approvals, and executing the announced share buy-back.
The company maintains its growth capital spending outlook, with investment to underpin production growth and longer-term efficiency. Exploration spending remains steady, aiming to extend mine life and support future production targets.
Northern Star Resources share price snapshot
Over the past 12 months, Northern Star Resources shares have risen 3%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 15% over the same period.
