Saskatoon-based Cameco Corp. reported a significant surge in first-quarter profits for 2026, driven by higher uranium sales and increased production at its operations in Saskatchewan and Kazakhstan. The uranium producer posted net earnings of $131 million, an 87% increase from $70 million during the same period last year.
Strong Operational Performance
Chief executive Tim Gitzel stated that the results are "consistent" with annual expectations across the business as the company maintains its global market share. "As customers prioritize reliability and trusted suppliers, we remain well positioned with the long-standing relationships … that support the long-term sustainability of the business," Gitzel said during a Tuesday earnings call.
Cameco, Canada's largest uranium miner, produced 6.2 million pounds of uranium and sold 7.8 million pounds in the first three months of the year. The Kazakhstan-based J.V. Inkai mine, in which Cameco holds a 40% stake, contributed 2.5 million pounds to production.
Pricing and Financial Position
The realized price of uranium averaged $91.26 per pound in the first quarter, a marginal increase from $89.12 per pound in the same period of 2025. Gitzel noted that pricing improvements were driven by timing and do not reflect any fundamental market change that would impact Cameco's outlook.
The company ended the first quarter with $1.1 billion in cash, $1 billion in debt, and an additional $1 billion in undrawn revolving credit facility, underscoring its strong financial position.
Major Deal with India
In March, Cameco signed a $2.6-billion agreement with India to supply nearly 22 million pounds of uranium from 2027 to 2035. Gitzel described the deal as "long overdue," citing previous political tensions between Canada and the southeast Asian country that delayed the agreement.
Maintenance Shutdown and Future Plans
Gitzel indicated that the company is in a "strong position" ahead of a scheduled maintenance shutdown at the Key Lake mill in northern Saskatchewan during the third quarter. The mill will be offline longer than usual due to new infrastructure that will "enhance future supply flexibility."
During the earnings call, Gitzel highlighted the direction of Canadian policy and investment following discussions at the national nuclear industry conference in Ottawa. "Against a backdrop of continued geopolitical tension and volatility across the global fossil fuel supply chains, nuclear power generation is increasingly being recognized as critical infrastructure," he told investors.
National Nuclear Strategy
At the Canadian Nuclear Association conference in April, Tim Hodgson, federal minister of Energy and Natural Resources, announced that Natural Resources Canada is developing a national nuclear strategy expected by the end of 2026. The strategy will focus on new construction across Canada, positioning the country as a global supplier, expanding uranium production, and developing innovations in fission and fusion, according to a federal media release.
