Royal Gold(US:RGLD)2026-02-19 01:42Financial Performance - Record revenue of $1.0 billion for the year ended December 31, 2025, representing a 43% increase from $719.4 million in the prior year[16] - Generated a record $704.8 million of net operating cash flow for the year ended December 31, 2025, a 33% increase from $529.5 million in the prior year[16] - Increased the annual dividend to $1.90 per basic share, a 6% increase compared to the previous year's dividend[16] - For the year ended December 31, 2024, total revenue was $719.4 million, a significant increase from $605.7 million in 2023, representing a growth of approximately 18.7%[39] - The total royalty interests revenue was $236.1 million in 2024, compared to $187.4 million in 2023, reflecting a growth of 26%[39] Acquisitions and Investments - Acquired Sandstorm Gold Ltd. and Horizon Copper Corp for a total cash consideration of $4.148 billion[16] - Made an advance payment of $1.0 billion for a gold stream on the Kansanshi copper-gold mine in Zambia[27] - Acquired a gold stream and net smelter return royalty for total cash consideration of $200.0 million on the Warintza project in Ecuador[27] Revenue Sources - Stream interests accounted for 67% of total revenue for the years ended December 31, 2025 and 2024[36] - Royalty interests accounted for 33% of total revenue for the years ended December 31, 2025 and 2024[36] - The company derived approximately 90% of its revenue from precious metals, with 78% from gold and 12% from silver, highlighting the dependency on metal prices[39] Financial Metrics - Total stream and royalty interests, net, amounted to $8.583 billion as of December 31, 2025, compared to $3.042 billion as of December 31, 2024[37] - The gross profit for stream interests in North America was $195.3 million in 2024, up from $148.9 million in 2023, indicating a growth of 31.1%[39] - The company reported a segment gross profit of $282.98 million for total stream interests in 2024, compared to $206.64 million in 2023, an increase of 37%[39] Market Conditions - The average gold price for the year ended December 31, 2025, was $3,432 per ounce, with a 10% increase or decrease in gold prices potentially impacting total reported revenue by $79.5 million[420] - The average silver price for the year ended December 31, 2025, was $40.03 per ounce, with a 10% price fluctuation potentially affecting revenue by $11.6 million[420] - The mining industry remains highly competitive, with the company facing competition from larger firms with greater resources[41] Employee and Community Engagement - The company has a low voluntary turnover rate, with many employees remaining with the company for over 10 years, indicating strong employee retention[44] - The company actively supports sustainability initiatives in host communities, contributing financially to local programs[48]