Pan African Resources reports record dividend as profits surge

16th Sep 2026 08:34

(Sharecast News) - Shares in Pan African Resources jumped on Wednesday after the gold miner unveiled a record dividend and share buyback following a doubling of both revenues and profits, and forecast further production growth in the current financial year.

Pan African proposed a record final dividend of ZAR1.58bn, or 65 South African cents per share, equivalent to around 2.99p. Including its inaugural interim payout, the total dividend for the year comes to ZAR1.86bn, or roughly $113.6m.

The company also approved a share buyback of up to ZAR500m, or around $30.4m, starting in October.

Revenue more than doubled to $1.16bn during FY26 as gold sales rose and the average realised gold price increased 54.8% to $4,235 an ounce. Profit surged 153.8% to a record $356.9m, while adjusted EBITDA climbed 168.9% to $609.4m.

Chief executive Cobus Loots said: "Financially, the group has never been in a stronger position." He added that its balance sheet would support further production growth and increased shareholder returns.

Looking ahead, Pan African expects gold production of between 280,000 and 302,000 ounces in the year to June 2027, up from a record 272,310 ounces in FY26, with output weighted towards the second half.

All-in sustaining costs are forecast at $2,075 to $2,175 an ounce, reflecting above-inflation increases in electricity, reagents and other inputs.

The stock was up 5.0% at 120.3p by 0924 BST.

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