Dundee Precious Metals (TSE:DPM) reported strong third-quarter results, with revenue and adjusted earnings rising due to higher metal prices and production from its Vareš mine. The company generated $179 million in free cash flow and produced approximately 96,000 gold equivalent ounces during the quarter. President and CEO David Rae emphasized that DPM remains on track to meet its 2026 production guidance for the 12th consecutive year.
Revenue increased 17% year-over-year to $312 million, while adjusted net earnings rose 12% to $144 million, or $0.66 per share. Chief Financial Officer Navin Dyal noted that higher realized metal prices and increased gold equivalent ounces sold from Vareš, acquired in September 2025, drove the gains. Operating cash flow was $191 million, up $7 million from a year earlier, and free cash flow rose $32 million to $179 million. DPM returned $81 million to shareholders through buybacks and dividends during the quarter.
The Vareš mine, which reached commercial production in August ahead of schedule, produced approximately 44,000 gold equivalent ounces in the third quarter at an all-in sustaining cost of $767 per ounce sold. Rae noted that the mine is on track to reach an annualized processing rate of 850,000 tons by year-end and is expected to exceed the high end of its 2026 production guidance. However, a recent court decision in Bosnia and Herzegovina has prompted a review of challenged acts related to the concession, though operations have continued normally.
DPM also provided updates on its exploration and project plans. At Chelopech, the company remains on track to meet annual guidance, with the Block 250 prospect expected to increase production and extend the mine’s life. At Brevene Porphyry South, drilling has confirmed the extension of the copper-gold system onto the Chelopech mine concession. The company updated its 2026 spending guidance to support exploration and development, with exploration expenses now expected to be $75 million to $80 million.