TRX Gold Corporation has kicked off its 2026 fiscal year with a powerful display of operational and financial strength, reporting record quarterly results that underscore its growth trajectory in the Tanzanian mining sector.
Record-Setting Quarter Driven by High Gold Prices
For the three months ended November 30, 2025, designated as the first quarter of fiscal 2026, the Toronto-based miner achieved unprecedented milestones. The company's flagship operation, Buckreef Gold, poured a record 6,597 ounces of gold and sold 6,492 ounces. Crucially, these sales were executed at an average realized price of $3,860 per ounce, capitalizing on a robust market.
This performance translated into substantial financial gains. The company reported revenue of $25.1 million, a gross profit of $14.2 million (representing a 57% margin), and EBITDA of $13.2 million (a 53% margin). These figures mark a significant year-over-year increase, demonstrating the operation's leverage to favourable gold prices.
"In Q1, we once again delivered record results, in line with guidance shared last quarter," stated Stephen Mullowney, CEO of TRX Gold. "The strong cash flow in a record gold price environment has enabled us to meaningfully reinvest in TRX Gold’s growth."
Strategic Reinvestment Fuels Expansion Plans
The quarter's strong cash generation is being strategically funneled back into the business to fuel its next phase. A central focus is the expansion and upgrade of the Buckreef Gold processing plant. The company has moved beyond its Preliminary Economic Assessment (PEA) plans, now designing a larger facility.
The new plan includes a 3,000+ tonne per day (tpd) circuit for sulphide material and a separate 1,000 tpd circuit capable of handling oxide, transition, and tailings retreatment material. This expanded plant is now projected to yield average annual gold production exceeding the 62,000 ounces outlined in the PEA. The company expects to finance this ambitious 18-24 month project through internally generated cash flow.
Progress was already made in Q1, with key components like a pre-leach thickener, upgraded agitators, an Aachen reactor, and a new oxygen plant moving through procurement and manufacturing. These upgrades, slated for completion in fiscal 2026, aim to boost plant reliability and performance.
Strengthening Foundations and Exploring Future Potential
Beyond the processing plant, TRX Gold fortified its operational and financial foundations during the quarter. The company's working capital position improved, with its current ratio strengthening from approximately 1.3 to 1.7. Furthermore, the run-of-mine (ROM) stockpile inventory grew substantially, containing an estimated 19,698 ounces of gold as of November 30, 2025—a figure that increased further to an estimated 22,891 ounces after the quarter's end.
Exploration and development efforts also advanced. The company completed an 810 line-kilometer ground magnetic survey in October 2025, designed to identify new drilling targets across its tenement area. Simultaneously, extensive metallurgical testwork is underway to optimize gold recovery processes across different ore types, with initial flotation testwork showing promising recoveries between 88% and 91.5%.
The company reaffirmed its full-year fiscal 2026 production guidance for Buckreef Gold, targeting 25,000 to 30,000 ounces at an average cash cost of $1,400 to $1,600 per ounce. With zero lost-time injuries or reportable environmental incidents in Q1, TRX Gold is positioning itself for scalable, responsible growth as it builds on its record-breaking start to the year.
