IAMGOLD Corporation (TSX: IMG) reported Q1 2025 results marked by record revenues of $477.1 million—up 41% from $338.9 million a year ago—driven by a sharp rise in gold prices and initial contributions from Côté Gold.
Gold sales totaled 165,000 ounces, and the average realized gold price hit $2,731 per ounce—up 32% year-over-year.
However, this topline strength was undercut by significantly higher costs across all operations, with AISC ballooning to $1,908 per ounce, a 28% YoY increase from $1,493. Operating margin pressure was further evident in the 28% drop in net earnings, which fell to $39.7 million from $54.8 million last year. This also led to a contraction in EPS to $0.07 from $0.11.
Adjusted net earnings came in stronger at $55.2 million, essentially flat compared to Q1 2024’s $53.0 million. EBITDA rose to $195.2 million, while adjusted EBITDA reached $204.5 million, a 34% jump.
Cost inflation was pervasive across portfolio. Essakane’s AISC surged to $1,846 per ounce from $1,312 last year, while Westwood saw costs climb to $2,124 per ounce versus $1,836. Even Côté Gold, still ramping up, posted AISC of $1,643 per ounce—well above the upper end of its full-year guidance range. Cash costs per ounce sold also rose across the board, pushing the consolidated figure to $1,459 from $1,053.
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Gross profit rose to $141.2 million from $105.7 million, yet net operating cash flow dipped 4% to $74.3 million amid the burden of prepay deliveries and working capital builds. Notably, the company delivered 37,500 ounces under legacy gold prepay agreements in Q1—locked in at $1,916 and $1,753 per ounce, well below market pricing.
Cash and cash equivalents dropped 9% to $316.6 million from $347.5 million at year-end 2024, and net debt climbed to $882.3 million from $859.3 million, primarily due to reduced cash and minor facility drawdowns.
Capital expenditures moderated to $67.0 million from $188.6 million from last year, reflecting the completion of the Côté construction phase. Mine-site free cash flow improved to $139.6 million, up from $46.2 million in Q1 2024.
Operationally, IAMGOLD produced 161,000 attributable ounces, up from 151,000 last year, with Côté contributing 51,000 ounces, offsetting the production decline at Essakane and Westwood.
The company reaffirmed full-year guidance of 735,000–820,000 ounces of production and AISC of $1,625–$1,800/oz. However, early-quarter actuals already place consolidated costs at the top end or above guidance, especially at Westwood and Essakane.
IAMGOLD last traded at $10.18 on the TSX.
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