Key Highlights

•  Ramelius produced 48,839 ounces and sold 51,278 ounces at an average A$6,019 per ounce, generating Revenue of A$308.6 million.

•  AISC was A$2,656 per ounce, above the guided range, and production was below the run rate implied by the full-year target.

•  The company reaffirmed its FY27 guidance and updated its four-year outlook, which targets more than 600,000 ounces of production by FY30.

Ramelius Resources (ASX:RMS) has reaffirmed its 2027 financial year guidance after a September quarter in which production was below the run rate implied by its full-year target and costs sat above its guided range. The Western Australian gold miner's quarterly report, released on 26 October 2026, shows a company expecting output and margins to climb as the year progresses.

The quarter in numbers

Ramelius produced 48,839 ounces of gold and sold 51,278 ounces at an average price of A$6,019 per ounce, generating revenue of A$308.6 million. All-in sustaining costs (AISC) were A$2,656 per ounce.

Operating cash flow was A$186 million and underlying free cash flow was A$62 million. Cash and gold on hand rose to A$768 million from A$650 million at the end of June.

During the quarter the company bought back A$15 million of its shares, taking completion of its A$250 million buy-back programme to 62%. A fully franked final Dividend of 3 cents per share was paid in October.

Guidance and the path to it

Ramelius is guiding to FY27 production of 205,000 to 225,000 ounces at an AISC of A$2,150 to A$2,350 per ounce. Managing director and chief executive Mark Zeptner said the company was "on track for FY27 production and cost guidance".

Meeting that guidance requires a lift in quarterly output. After the September quarter, the remaining three quarters would need to deliver roughly 156,000 ounces at the bottom of the range, or about 52,000 ounces per quarter. Costs would also need to fall back from the September quarter level into the guided band.

The company expects production and margins to rise sequentially through FY27, driven by the Never Never underground mine at Dalgaranga, along with Cue. Ramelius says Never Never is on track to mine 500,000 tonnes at 6.2 grams per tonne gold during the year.

Operational details

Wet weather disrupted haulage from the Penny mine in September, leaving ore on stockpiles. Around 4,202 ounces are expected to be processed in the December quarter as a result.

At Mt Magnet, a plant upgrade is progressing. The stage two engineering, procurement and construction contract has been awarded and new infrastructure has been integrated, with completion targeted for the December 2027 quarter and full operations expected in early 2028. Camp and haul road upgrades are under way. The Cue operation was described as making steady progress.

The company completed the sale of its Edna May hub for A$300 million, made up of A$210 million in cash and A$90 million in shares in Forrestania Resources. Exploration spending was A$23 million for the quarter, covering more than 39,000 metres of drilling.

Risks and what to watch

The main near-term risk is execution. A quarterly AISC above the guided range and production below the required run rate leave less room for setbacks such as further weather disruption, grade variability or delays in ramping up Never Never and Cue. The Mt Magnet upgrade is a multi-year project with completion not expected until late 2027.

Gold price movements will also influence margins and cash generation, and the company now holds a shareholding in Forrestania as part of the Edna May consideration, adding exposure to that company's performance.

Ramelius has also updated its four-year outlook, which targets more than 600,000 ounces of production by FY30; investors may want to check the company's own report for how that target is defined. The next markers will be December quarter production and costs, progress at Never Never and Cue, and the processing of stockpiled Penny ore.