Endeavour Mining PLC (LSE:EDV, TSX:EDV, OTCQX:EDVMF) said it remains on course to meet its full-year production and cost targets after a robust performance in the first half of 2025, reporting production of 647,000 ounces of gold.
The West Africa-focused precious metals group's all-in sustaining cost, a measure that reflects the total cost to produce each ounce, was $1,281 per ounce for the period, a modest increase of 4% compared with last year.
Group earnings and cash flow also surged, with free cash flow hitting a record $514 million and net earnings at $444 million for the first half.
Earnings before interest, tax, depreciation and amortisation (EBITDA) rose sharply to $1.1 billion, up more than threefold compared with the same period last year.
Shareholders will receive a record interim dividend of $150 million, equivalent to $0.62 per share, and total returns, including buybacks, reached $219 million in the first half, almost double Endeavour’s minimum annual commitment.
"We are very pleased with the operational performance we have delivered from our expanded portfolio and our ability to convert that performance into cash flow," said CEO Ian Cockerill.
"Our high-margin, long-life operations, coupled with our exciting organic growth pipeline, position us well to continue delivering against our strategic objectives.”
The company reported that it is continuing to invest in growth, with work advancing on its Assafou project.
A definitive feasibility study is due by early 2026, and a maiden resource for the Pala Trend area is expected in the second half of this year.
Endeavour’s production guidance for 2025 is 1,110,000 to 1,260,000 ounces, with costs forecast to remain in a range of $1,150 to $1,350 per ounce.
The company said production is likely to be more heavily weighted towards the first half of the year due to planned lower grades at certain mines in the second half.
Higher costs in the first half were largely attributed to increased power usage and higher royalty payments, reflecting the sharp rise in realised gold prices, which averaged $3,107 per ounce.
Before factoring in higher royalty payments linked to gold prices, all-in sustaining costs would have been $1,185 per ounce, close to the low end of the guidance range.
Endeavour’s net debt remained low at 0.23 times adjusted EBITDA, well within its target.
The miner operates across several countries in West Africa, with operations in Côte d’Ivoire, Burkina Faso and Senegal.
Its main assets include the Houndé and Mana mines in Burkina Faso, the Ity and Agbaou mines in Côte d’Ivoire, and the Sabodala-Massawa mine in Senegal.