TRX Gold Surges 9.78% on Record Q1 Production, Revenue Despite Net Loss

The share price rose to its highest level so far this month, with an intraday gain of 9.78%.

TRX Gold’s stock surged on the back of record production and revenue in Q1 2026, despite a reported net loss. The company produced 6,597 ounces of gold and generated $25.1 million in revenue, with EBITDA reaching $13.2 million at a 53% margin. While the net loss of -$0.01 per share missed analyst expectations, adjusted net income climbed to $7.7 million, driven by higher gold prices and operational efficiency.

Management attributed the discrepancy to non-cash expenses and capital reinvestment in projects like the Buckreef Gold processing plant expansion.

Strategic focus on growth initiatives, including processing upgrades and exploration, has bolstered investor confidence. The company’s full-year 2026 guidance remains intact, targeting 25,000–30,000 ounces of gold production with cash costs of $1,400–$1,600 per ounce. A stronger current ratio of 1.7 and plans to scale production capacity highlight its liquidity strength. Analysts note that while short-term earnings volatility persists due to reinvestment costs, the operational foundation is strengthening, aligning with broader gold price trends fueled by macroeconomic pressures and central bank demand.