Published: 12 November 2025

Jersey-domiciled gold producer Caledonia Mining Corporation has reported a 243,8% surge in profit after tax to US$53,41 million for the nine months ended September 30, 2025, driven by record gold prices and steady production growth.

The company's profit jumped from US$15,53 million in the same period last year, while revenue rose 42,4% to US$192,92 million.

During the period, the average gold price climbed 47,23% to US$3 863,10 per ounce, helping to bolster margins even as operational costs rose. Gold production increased 3,6% to 58 846 ounces.

At a media briefing in Harare last month, Caledonia said it expects to contribute 2,5 tonnes to Zimbabwe's projected 40 tonnes of gold deliveries for 2025.

In its third-quarter results, Caledonia chief executive officer Mark Learmonth attributed the strong financial performance to stable operations and disciplined capital investment at the company's flagship Blanket Mine in Gwanda.

"The strong gold price environment, which increased 40% to average US$3 434 per ounce, combined with higher production, has resulted in a 52% increase in quarterly revenue and a significant uplift in free cash flow," Learmonth said.

Free cash flow jumped 394,8% to US$48,32 million, enabling the miner to cover US$22,56 million in capital expenditure - up nearly 40% from last year.

Caledonia maintained its 2025 production guidance at 75 500 to 79 500 ounces of gold.

However, the miner revised its all-in sustaining cost (AISC) guidance to US$1 850–US$1 950 per ounce, up from US$1 690–US$1 790, citing higher on-mine costs, administration expenses, and royalties linked to elevated gold prices.

With gold prices rising further to US$4 143,76 per ounce as of yesterday, analysts expect Caledonia's profits to continue climbing in the final quarter.

Caledonia, which also owns the Bilboes, Motapa, and Maligreen mining projects, is positioning itself for future growth. The company aims to bring Bilboes Mine into full production within three years, targeting five tonnes of annual gold output once operations are fully ramped up.
- Newsday

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