Highlights

• Hedge commitments prevented Bellevue from fully benefiting from elevated spot gold prices.
• FY26 revenue increased to AU$576.3 million, with free cash flow reaching AU$62.6 million.
• Removing the remaining hedge position could strengthen the company’s FY27 earnings exposure.

Bellevue Shares Gain Attention

Bellevue Gold Limited (ASX: BGL) was among the ASX’s leading gainers after publishing its FY26 financial results on 22 September 2026. Shares advanced approximately 5% to a current market price of AU$1.627 as investors looked beyond modest statutory earnings and focused on cash generation and the planned closure of the hedge book.

Hedges Restrict Earnings Potential

The company recorded net profit after tax of AU$7.1 million. This result included the impact of delivering 83,400 ounces of gold into contracts priced below the prevailing spot market. Management calculated that FY26 profit may have been approximately AU$205 million if those ounces had achieved the average realised price earned from spot sales. This implies that hedge deliveries reduced the company’s potential earnings by almost AU$200 million.

Bellevue also estimated that revenue could have been around AU$285 million higher without the pricing effect of these contracts.

Operations Remain Within Target

Bellevue produced 143,500 ounces and sold 142,000 ounces during FY26. Production remained inside the company’s guidance range of 130,000–150,000 ounces.

Project all-in sustaining costs were AU$2,827 per ounce, satisfying the forecast range of AU$2,600–AU$2,900 per ounce. Revenue rose by AU$181.3 million to AU$576.3 million, while EBITDA reached AU$237.5 million and generated a 41% margin. EBITDA after lease-related costs amounted to AU$190.4 million.

Liquidity Position Improves

Operating activities generated AU$252.9 million in cash, while free cash flow reached a company record of AU$62.6 million. Combined cash and gold holdings expanded by AU$54.8 million to AU$206.4 million.

Borrowings remained at AU$100 million, with mandatory repayments not required until the end of FY27. The outstanding hedge balance declined to 68,700 ounces at 30 June 2026.

Outlook

For FY27, Bellevue expects to produce 150,000–170,000 ounces of gold while maintaining project AISC within AU$2,800–AU$3,100 per ounce. Planned non-sustaining capital expenditure remains AU$90 million–AU$100 million, while exploration investment is expected to range from AU$25 million to AU$30 million. The company intends to eliminate its remaining hedges during FY27, increasing participation in spot gold prices. Nevertheless, the outlook depends on production consistency, disciplined spending and cost control. Achieving guidance while completing the hedge exit will be central to maintaining investor confidence and recent share-price momentum.

Note- All data presented is based on information available at the time of writing.

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