Polyus' adjusted net profit falls 59% YoY to $829 million in H1 2026
Quick Look
- Polyus reported a 59% year-on-year decline in adjusted net profit to $829 million for H1 2026, despite a 27% revenue increase to $4.7 billion driven by higher gold prices.
- Capital expenditures rose 2% to $946 million, while total cash cost jumped 64% to $1,069 per ounce due to tax, currency, inflation and repair costs.
AI-generated summary
Why It Matters
Polyus is a major Russian gold miner ranked second globally by reserves and among top five producers, with operations in Siberia and the Far East.
MOSCOW, August 31. /TASS/. Gold miner Polyus' adjusted net profit under International Financial Reporting Standards (IFRS) fell by 59% year-on-year to $829 million in the first half of 2026, according to a company statement.
In the first half of the year, the company's capital expenditures (capex) increased by 2% to $946 million, driven by capacity expansion works at existing operations and the implementation of new projects.
Revenue for the reporting period grew by 27% year-on-year to $4.7 billion. The dynamic was driven by a higher average realized price of refined gold, which partially offset lower gold sales volumes, Polyus noted.
The company's total cash cost (TCC) in the first half of 2026 jumped 64% year-on-year to $1,069 per ounce. The increase was driven by a higher mineral extraction tax (MET) due to an increase in the average realized price during the reporting period, a stronger ruble, inflation (payroll indexation, tariff hikes), and increased repair expenses.
The company's net debt to adjusted EBITDA ratio stood at 1.1x at the end of 2025.
Polyus ranks second among the world's largest gold mining companies by gold reserves and is one of the top five global gold producers. The company's main production facilities are located in Siberia and the Far East: in the Krasnoyarsk Region, Irkutsk and Magadan Regions, and the Sakha Republic (Yakutia). Polyus' primary shareholder is IJSC Wandle Holdings Limited, which holds a 46.35% stake.
Open Questions
- What specific new projects drove the 2% increase in capital expenditures?
- How sustainable is the current cost structure given ongoing inflation and currency pressures?
- What is the outlook for gold prices and production volumes in the second half of 2026?
