Royal Gold (NASDAQ: RGLD) saw its Q2 2025 revenue jump 20% YoY to $209.6 million from Q2 2024’s $174.1 million on stronger gold and silver prices and higher output from Peñasquito and Manh Choh.
Cost of sales was flat at $24.2 million, leading to operating income rising 39% to $141.8 million and net income surging 63% to $132.3 million (or $2.01 per diluted share). Adjusted net income also rose to $118.8 million (or $1.81 per share), 44% above last year.
Adjusted EBITDA rose 24% to $175.6 million, lifting margin three points to 84%. Cash G&A held at around $7.6 million, yet the outsized margin expansion still rests heavily on tax benefits and mark-to-market gains.
Operating cash flow climbed 35% to $152.8 million. But free cash flow collapsed 36% to just $40.1 million as the company ploughed $112.7 million into the Warintza and Lawyers-Ranch deals—well above the $51.2 million it spent on growth a year ago.
Cash at quarter end was at $248.2 million, up 27% since December, and the company remains debt-free with total liquidity of roughly $1.25 billion.
On production, gold remained the workhorse, accounting for 78% of revenue, while silver and copper contributed 11% and 7%, respectively.
Royalty and stream sales totaled 63,900 GEOs in the quarter. Mount Milligan and Pueblo Viejo once again dominated the stream segment, while Cortez Legacy and CC zones led royalty income. Deferred silver ounces at Pueblo Viejo grew to 2.1 million—an embedded liability that could push future deliveries into weaker price environments.
Management kept its 2025 outlook unchanged at 210,000-230,000 gold ounces, 2.7-3.3 million silver ounces, and 13.5-16.0 million copper pounds, plus $18-$21 million in “other metal” royalty revenue. Through June, Royal Gold has already delivered 101,600 gold ounces, 1.5 million silver ounces, and 7.5 million copper pounds, while “other” revenue is running hot at $13.8 million.
Royal Gold last traded at $161.33 on the Nasdaq.
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