SSR Mining Q3 2026 Earnings: Revenue Rose as Costs Pressured Margins

SSR Mining (Nasdaq/TSX: SSRM) reported Q3 2026 revenue of $447.7 million, up 16.0% from $385.8 million a year earlier, while diluted EPS from continuing operations rose to $0.46 from $0.44. Higher realized gold and silver prices lifted revenue despite nearly flat reported gold-equivalent production, but AISC climbed 19.5% and working-capital movements limited free cash flow to $5.8 million.

Core Earnings Data

Revenue growth was primarily price-led. The average realized gold price increased to $4,247 per ounce from $3,503, while the realized silver price rose to $58.39 from $41.92; gold-equivalent ounces sold increased more modestly to 106,613 from 104,549.

Continuing operations provide the clearest view of the remaining business following the Turkish asset divestments. Net income from continuing operations was nearly unchanged at $94.8 million, although adjusted net income increased to $130.7 million from $101.2 million.

Adjusted EPS and AISC are non-GAAP measures. Reported gold-equivalent comparisons also reflect a methodology change: beginning in 2026, SSR Mining uses a fixed 63:1 silver-to-gold ratio, while prior periods used average commodity prices.

Business and Segment Performance

Operating results varied significantly across the portfolio. Seabee delivered higher production and lower unit costs, while Marigold and Puna recorded lower output and materially higher AISC.

Marigold’s fourth-quarter weighting reflects completed pumping upgrades, higher-grade ore stacked directly on liner at heap-leach cell 23B, and a planned inventory drawdown. At Seabee, the gold mill feed grade increased to 6.72 grams per tonne from 3.46 grams per tonne, supporting higher output despite scheduled plant downtime.

Puna remained the main operational pressure point. SSR Mining deferred lower-cost production from stockpiled ore while resequencing the mine to incorporate additional ore that could extend its life. Silver feed grade declined to 100.78 grams per tonne from 155.94 grams per tonne, while inflation in Argentina also contributed to higher costs.

Higher Metal Prices Did Not Prevent Margin Compression

Revenue increased 16.0%, but operating income declined approximately 2.2%. The resulting operating margin fell to about 27.3% from 32.4%, a contraction of roughly 5.1 percentage points.

Rising unit costs help explain the divergence. Consolidated cost of sales per gold-equivalent ounce increased to $1,755 from $1,585, while AISC rose to $2,527 from $2,114. SSR Mining identified Puna’s production sequencing, higher royalty expenses, diesel prices, and broader labor and input-cost inflation as the main pressures. The release did not provide a complete line-item bridge for the decline in operating margin.

Cash Flow and Balance Sheet

Operating cash flow from continuing operations was $106.0 million, almost unchanged year over year. Before working-capital changes, however, operating cash flow was $211.0 million, indicating that working-capital movements absorbed approximately $105 million during the quarter. Reported free cash flow was $5.8 million, compared with $110.8 million before working-capital changes.

SSR Mining ended September with $1.55 billion of cash and equivalents, up from $515.6 million at the end of 2025, and had no outstanding long-term debt. Including its undrawn $600 million revolving facility, total liquidity was $2.2 billion.

The company repurchased 6.2 million shares for $193.6 million during Q3. Buybacks totaled approximately $530 million for the first nine months of 2026, and the board declared a quarterly dividend of $0.03 per share.

2026 Guidance

SSR Mining maintained its full-year production target but raised its cost outlook. Management continues to expect a stronger fourth quarter, although full-year AISC is now projected to run approximately 10% above the upper end of the original guidance range.

The original numerical AISC range was not included in the provided release. Delivering the production target therefore depends on the expected fourth-quarter increase, particularly at Marigold, while cost pressures are likely to remain elevated.

Management View and Portfolio Strategy

Executive Chairman Rod Antal said the company remains on track for its production target and expects robust free cash flow into year-end, despite costs exceeding the original outlook. Management also emphasized the completion of SSR Mining’s repositioning as an Americas-focused gold and silver producer following the Çöpler divestment and the exchange of its Hod Maden stake for an uncapped 4% net smelter return royalty.

After quarter-end, SSR Mining published a new Marigold plan with a $3.3 billion NPV at a 5% discount rate, 4.6 million ounces of gold reserves, and a 20-year mine life. It also agreed to acquire Roxmore Resources and the neighboring Converse project, which could add 150,000 to 170,000 ounces of annual production beginning in 2033. The transaction remained subject to customary closing conditions.

Risks Investors Need to Watch

• Costs are running above plan: Full-year AISC is expected to exceed the top of the original guidance range by approximately 10%, reflecting royalties, diesel, labor, input-cost inflation, and mine sequencing.
• Production is weighted toward Q4: Maintaining the 450,000–535,000-ounce target depends on higher fourth-quarter output, particularly from Marigold’s upgraded pumping system and inventory drawdown.
• Puna faces operational and inflationary pressure: Lower grades, deferred processing of lower-cost stockpiles, and Argentine inflation could continue to affect output and margins.
• Cash conversion weakened during Q3: The gap between operating cash flow before and after working-capital changes reduced quarterly free cash flow despite substantial underlying cash generation.

Summary

SSR Mining’s Q3 revenue benefited from higher realized metal prices, but rising unit costs and working-capital requirements limited the improvement in GAAP profit and free cash flow. Seabee’s stronger performance provided an offset to weakness at Marigold and Puna. The main near-term issues are whether the expected fourth-quarter production increase supports the maintained annual target and how long AISC remains above the company’s original plan.