Eldorado Gold Sees Q2 2025 Free Cash Flow Sink Despite Revenue Surge

Eldorado Gold (TSX: ELD) posted its Q2 2025 results, with quarterly revenue jumping 52% YoY to $451.7 million from $297.1 million last year on the back of an average realized price of $3,270 per ounce.

Alongside, cost of sales climbed 22% to $228.1 million, pushing production costs up 27% to $162.2 million.

Despite this, net earnings still surged more than double to $139.0 million (or $0.68 per share) from $56.4 million (or $0.28 per share) a year earlier. Adjusted net earnings improved a more modest 35% to $90.1 million (or $0.44 per share).

Adjusted EBITDA rose 40% to $211.8 million, yet AISC spiked 14% to $1,520 per ounce, and total cash costs increased 13% to $1,064 per ounce. Eldorado blamed “higher royalty expense driven by higher gold prices, as well as impacts from labour costs.”

Operating cash flow climbed 41% to $158.2 million, but heavy capex—chiefly the $117.0 million poured into the Skouries build—drove investing outflows of $217.2 million. Sustaining capex jumped 43% to $44.1 million.

As a result, free cash flow deteriorated to negative $61.6 million, nearly double last year’s shortfall. Excluding Skouries, FCF flipped positive at $61.5 million.

Six-month draws on the Skouries term facility lifted total debt to $1.16 billion, up 55% from a year ago. Cash and cash equivalents swelled 81% to $1.08 billion, helped by share sales and the loan inflow, leaving Eldorado in a slight net debt position of $78 million versus $153 million a year earlier.

On production, group output rose 9% to 133,769 ounces, led by Kisladag (with 18% jump) and Lamaque (with 7% jump). However, site-level cost creep was uneven: Kisladag’s AISC climbed to $1,324 per ounce, while Olympias surged to a punitive $1,967 per ounce, eroding consolidated margins despite record pricing.

Management kept 2025 production guidance at 460,000–500,000 ounces, expecting to finish “around the mid-point,” but cautioned that consolidated cash costs and AISC will land “at or above the high end” of prior ranges because of newly enacted Turkish royalties and sustained price-linked levies in Greece.

Eldorado Gold last traded at $28.39 on the TSX.


Information for this briefing was found via the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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