Caledonia Mining : Q1 2026 Results Presentation

About this update from Caledonia Mining Corporation Plc

Q1 2026 Results Presentation The Presenting team Mark Learmonth Chief Executive Officer and Director Craig Harvey Vice President Technical Services Ross Jerrard Chief Financial Officer Victor Gapare Executive Director Maurice Mason Vice President Corporate Development NYSE/AIM/VFEX: CMCL 3 Results Summary Gold production was below our expectations, reflecting the lower grades mined during the Quarter Financial performance was supported by a higher gold price environment Revenue up 18.3% to US$66.4 million and profit after tax up 69.4% to US$18.9 million Robust cash generation, with operating cash flow of US$18.9 million and free cash flow of US$12.3 million Cost per tonne in line with expectations although all in sustaining costs increased (AISC: US$2,765/oz) reflecting lower volumes sold Bilboes Gold Project progressed following Feasibility Study, supported by a US$150 million convertible senior notes issue in January Encouraging deep-level drilling at Blanket Mine continues to support long-term sustainability and resource confidence Post-quarter-end production at Blanket has improved and is now running as expected A quarterly dividend of 14 cents per share declared Mr July Ndlovu was appointed Chairman by the Board following the AGM. NYSE/AIM/VFEX: CMCL 4 Review of operating results Safety Culture and Risk Management Continued focus on robust systems and strong safety culture S A F E T Y P E R F O R M A N C E Stable safety performance at Blanket Mine TIFR improved to 2.22 LTIFR remained at zero. P R O A C T I V E R I S K P R E V E N T I O N Increased near-miss reporting, strengthening safety awareness and engagement Engineering controls implemented to prevent incidents and recurrence Fatal risk management initiatives progressed during the quarter. T R A I N I N G , C U L T U R E & P R E P A R E D N E S S Ongoing training and safety audits Emergency response drills and crisis management exercises completed Management commitment to continuous improvement through training, auditing and risk management. NYSE/AIM/VFEX: CMCL 6 Consistent tonnes delivered to Blanket Mine plant 4.5 200,000 3.5 150,000 2.5 100,000 1.5 50,000 2023 2024 2025 2026 Grade Head grade (g/t) Tonnes Milled (t) Tonnes Milled s Grade (2023 - Q1 2026) Blanket Quarterly Production 95 94 93 92 91 90 25,000 20,000 15,000 10,000 5,000 0 2023 2024 Ounces 2025 2026 Recovery Gold Recovery % Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Ounces Ounces Produced s Recovery (2023 - Q1 2026) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 NYSE/AIM/VFEX: CMCL 7 Assay grades improving, with further upside from remediation initiative Linear (Assay grade) Assay grade Apr-26 Mar-26 Feb-26 Jan-26 Dec-25 2.40 2.20 2.00 2.61 2.55 2.60 2.73 2.80 2.86 3.00 3.02 3.40 3.20 Assay Grade (g/t) at Plant Remediation initiatives at Blanket Contractor appointed to accelerate access to higher-grade ore sources Revised shift system implemented, increasing operations from six to seven days per week New shift structure expected to: Reduce worker fatigue Support increased and more consistent ore production Commissioning of an additional ball mill to increase overall milling capacity In the short term, additional ore will be stockpiled NYSE/AIM/VFEX: CMCL 8 Review of financial results Financial Results Summary 3 months ended March 31 YTD YTD Change 2026 2025 (%) Gold sold (oz) 13,784 19,388 -28.S% Gold produced* (oz) 14,767 18,671 -20.S% On mine costs ($000) 23,GG0 23,295 3.0% On mine ($/oz sold) 1,740 1,202 44.8% AISC ($000) 38,121 34,835 S.4% AISC ($/oz sold) 2,765 1,797 53.S% Average realised gold price ($/oz) 4,816 2,896 cc.3% EBITDA ($000) 33,866 22,552 50.2% Capital expenditure ($000) 5,278 5,765 -8.4% Free cash flow ($000) 12,283 4,862 152.c% NCI ($000) 3,060 2,248 3c.1% Profit attributable to the Company ($000) 15,853 8,915 77.8% EPS ($) cents 0.80 0.45 77.8% Ave. realised gold price $4,816/oz 66.3% increase vs comparative quarter Absolute $ costs up 3% (on mine) and G% (AISC) vs comparative quarter Unit costs up 45% (on mine) and 54% (AISC) vs comparative quarter driven by lower ounces Free cashflow up 153% vs comparative quarter EPS up 78% vs comparative quarter * The gold production number above only includes Blanket`s results. Bilboes oxide mine contributes marginally to the overall results; however due to materiality its numbers have not been included. NYSE/AIM/VFEX: CMCL 10 Review of Results Consolidated profit or loss statement 3 months ended March 31 ($' 000) 2026 2025 Change (%) Revenue 66,433 56,178 18.3% Royalty (5,626) (2,771) 103.0% Production costs (24,820) (22,622) S.7% Depreciation (3,886) (3,859) 0.7% Gross profit 32,101 26,926 1S.2% Net foreign exchange gain/(loss) 358 (1,252) -128.c% Administration expenses (5,050) (4,598) S.8% Net fair value gain/(loss) on derivative financial instruments 3,GG5 (1,592) -350.S% Share based payment expense (183) (14) 1207.1% Other expenses (1,302) (843) 54.4% Other income 61 66 -7.c% Net finance cost (2,684) (894) 200.2% Profit before tax 27,2G6 17,799 53.4% Tax expense (8,383) (6,636) 2c.3% Profit for the period 18,G13 11,163 cS.4% $66.4m Revenue Combination of high average gold price, partly offset by lower sales volumes $32.1m Gross profit driven by improved margins due to higher gold price $5m Admin costs driven by advisory fees of $1.6m for the senior loan note transaction $4m Derivative instruments gain primarily from increases in the fair value of the gold put options $2.7m Net finance cost driven by interest expense on the convertible senior notes' host debt NYSE/AIM/VFEX: CMCL 11 Review of Results Consolidated statements of cash flows ($ 000) March 31, 2026 2025 Change (%) Cash inflow from operations 23,4G3 18,709 25.6% Interest and tax paid (4,61G) (5,368) -14.0% Net cash inflow from operating activities 18,874 13,341 41.5% Capital expenditure (6,5G1) (8,479) -22.3% Proceeds from sales of assets 22 - 100% Acquisition of put option instruments (5,000) (1,592) -100% Acquisition of capped call option instruments (14,438) - -100% Proceeds on maturity of fixed term deposit 5,000 - 100% 3 months ended Dividends paid (822) (1,387) -40.7% Payment of lease liabilities (74) (181) -59.1% Repayments of loans and lease liabilities (44G) - 100% Repayment of bonds (6,500) - 100% Proceeds from convertible senior loan notes issue 145,100 - 100% Bond issue gross receipt net of transaction costs 1,G83 2,387 -16.9% Net cash from financing activities 13G,238 819 16,290.5% Net increase in cash and cash equivalents 137,105 4,089 3,253.0% Effect of exchange rate fluctuations on cash and cash equivalents 210 7 2,900.0% Net cash and cash equivalents at the beginning of the period 23,840 (8,668) 375.0% Net cash and cash equivalents at the end of the period 161,155 (4,572) 3,624.8% Net cash used in investing activities (21,007) (10,071) 58.9% $14.4m acquisition of capped calls options to hedge against equity dilution $6.5m repayment of solar loan notes $145.1m proceeds from Convertible senior notes, closed January $161.1m closing cash and cash equivalents 12 NYSE/AIM/VFEX: CMCL Review of Results Liquidity 3 months ended March 31, 2026 ($' 000) Cash on hand 170,026 Bullion on hand 16,395 Gold sales receivables 2,894 TOTAL BEFORE UTILISATION OF FACILITIES 18G,315 Drawn down bank facilities (8,871) NET CASH AND LIQUID ASSETS 180,444 Undrawn bank facilities 10,629 TOTAL LIQUIDITY 1G1,073 Cash on hand Significant cash on hand following the closing of the US$150m Convertible Senior Notes issue in January Bullion on hand represents gold processed on hand and ready for shipment after year end Gold sales receivables represents 667 ounces NYSE/AIM/VFEX: CMCL 13 Convertible Senior Notes and Capped Call Options Convertible Senior Notes - Accounting Treatment Consolidated statements of financial position (extract) Mar 31, 2026 (US$ 000) Non-current asset Convertible senior notes (host debt) G7,066 Derivative financial assets 14,733 1 Non-current liabilities Derivative financial liability 38,362 Includes US:4.43 million relating to the carrying amount of the capped call options, (in the illustration above) and US:10.3 million relates to the Asian gold put options acquired in November 2025 Capped Call Options - Accounting Treatment Consolidated statements of profit or loss and other comprehensive income (line extract ) Mar 31, 2026 Fair value movement (US$ 000) Asian gold put options (3,401) Derivative financial liability 2 (10,605) Derivative financial assets 3 10,011 Net fair value gain on derivative financial instruments (3,GG5) Relates to the embedded derivative component on the Convertible Senior Notes Relates to the Capped Call Options NYSE/AIM/VFEX: CMCL 14 Bilboes Bilboes Project 100% Owned, Large-Scale, High-Grade Gold Project Bilboes Gold Project approved for development following publication of the Feasibility Study in November 2025 Single-phase development with proven and probable mineral reserves of 1.75 million ounces Life of Mine of 10.8 years Expected production of ~200,000 ounces in the first full year. First gold anticipated in late 2028 Strong project economics. Post-tax NPV (8% real) of US$582 million Post-tax IRR of 32.5% at a gold price of $2,548 Materially higher returns at prevailing spot gold prices NYSE/AIM/VFEX: CMCL 16 Economic Analysis The Project generates a value accretive business case in all three of the gold price scenarios evaluated in the Bilboes Gold Project Technical Report Summary 1 : Metric Unit Consensus Forecast Price 2 3-Year Trailing Average Price Spot Price 3 (March 2026) Gold Price (Avg.) US$ / oz 2,548 2,350 5,177 Post-Tax NPV 8% Real US$ M 582 454 1,992 Post-Tax IRR % Real 32.5 27.4 67.9 Payback Period 4 years 1.7 2.8 0.8 Peak Funding Required US$ M 484 484 484 Value-Investment Ratio ratio 1.2x 0.9x 4.1x Life of Mine years 10.8 10.8 10.8 Operating Margin % 59.5 56.5 74 AISC ($/oz) 1,061 - 1,352 5 Referenced in Bilboes Gold Project Technical Report Summary, with effective date October 31, 2025, which was filed with the SEC on EDGAR in November 2025 Based on S&P consensus forecast price for September 2025 Based on LBMA spot price on March 10, 202c As measured from the date of first ore processed / first revenue Higher AISC under the spot price scenario is a result of higher royalties at a gold price of above :5,000/oz NYSE/AIM/VFEX: CMCL 17 Funding Strategy - Four Funding Pillars Gold Price Hedging ✓ Completed Put options securing minimum price of $3,500/oz during construction 3,000 oz/month coverage (Jan 2026 - Dec 2028) Provides a floor price to support the Interim Facility (see below) Full participation in gold price upside above $3,500/oz Convertible Notes Offering ✓ Completed $150M raised (upsized from $100M due to $600M+ demand) 5.875% coupon, convertible after Oct 2032 Net proceeds: ~$130M after fees and capped call structure Capped calls reduce dilution (effective conversion at $56.72/share vs $40.51) Interim Funding Facility Up to $150M from Zimbabwean/South African bank consortium Caledonia has appointed Stanbic Bank Zimbabwe and CBZ Bank Limited as co-lead arrangers for the Interim Funding Facility Expected by mid-2026 Secured against Blanket Mine cash flow Project Finance Formal process commenced Q1 2026 Regional and global financial institutions Timeline: 12+ months to reach financial closure NYSE/AIM/VFEX: CMCL 18 Bilboes Funding Overview Sources and uses of funds to complete the Bilboes project Estimated Total Funding Requirement of $5G0m $3,500/oz 3 $5,000/oz Use of Funds 2 Cash on hand, $161m Senior Debt C Other Facilities $154m 1/4 Forecast Future Net Cash Flow $275m 2 Cash on hand, $161m Senior Debt C Other Facilities $304m 1/4 Forecast Future Net Cash Flow $125m Source of Funds Capital Cost $485m Capitalised Interest, $80m Working Capital, $25m - Forecast Future Net Cash Flow is based on the current Blanket mine plan assuming capital and operating costs highlighted in Caledonia's technical report published on our website on May, 20 th 2024 less Caledonia's operating costs and dividends paid to Caledonia shareholders - Cash on Hand as at the end of Ǫ1 202c - Caledonia has purchased Put options for 108k ounces at a strike price of :3,500/oz from 202c - 2028. These Put options are expected to underpin cash flow at gold prices below :3,500/oz - Lenders may insist on up front cash being available rather than enabling Caledonia to rely on future forecast net cash flow NYSE/AIM/VFEX: CMCL 1G Exploration Blanket Mine Exploration Deep Level Drilling Strengthens Resource Base Upgrades Resource Classification * Encouraging results from deep level drilling at Blanket Mine, Caledonia Mining Corporation Plc, April 7, 202c 21 Encouraging results from the deep level drilling programme continue to demonstrate the continuity and quality of key orebodies at depth. Blanket Mine Exploration Blanket 7 (BLK7) - unexploited mineralised zone Grades and widths consistent with, or better than, expectations Several high-grade intersections identified T AR G E T D E P T H 34 Level · 1,110m below surface Drilling Intersection Highlights M E T R E S D R I LLE D 10,312m Mar - Dec 2025 D RI L L I N G RESU L T S 2 0 2 6 O U T CO M ES Results to be incorporated into an updated Mineral Resource and Reserve statement 2026 22 2 0 2 6 F O C U S A R E A S Near-surface oxide potential Assessing near-surface oxide potential at Mpudzi Motapa South drilling Sulphide mineralisation below historic open pits Unexploited oxide resources at surface to the north-east K E Y M I L E S T O N E Q3 2026 Maiden Mineral Resource Estimate for Motapa North sulphide mineralisation Aligned with Caledonia's long-term growth strategy and disciplined capital allocation Exploration activities at Motapa for FY2025 now completed, with final repeat assays concluded from the external laboratories, allowing for complete analysis of the years activities to take place. Motapa Exploration Growth Capital Programme Attractive exploration opportunity - aligned with Caledonia's long-term growth strategy and disciplined capital allocation 23 2026 E X P L O R A T I O N BUD G E T US$3.8M Investing for Future Growth 2026 Strategic Focus Maintain our commitment to the safety of our people, with sustained focus on training, risk management and operational discipline. Return to reliable operations at Blanket, delivering consistent production performance as access to higher-grade areas improves. Leverage the strong gold price environment to invest in Blanket projects that enhance operating resilience and improve efficiency Advance the Bilboes Gold Project in line with the agreed financing and development timetable. Progress exploration at Motapa to support long-term growth and future production optionality. Continue to execute our strategy with the objective of becoming a multi-asset gold producer. "The financial performance in the Ǫuarter benefited from a higher gold price, which offset the impact of lower production. Revenue Increased by 18.3% to US:cc.43 million, EBITDA rising 50.2% to US:33.87 million and free cash flow of US:11.S3 million." NYSE/AIM/VFEX: CMCL 24 Any Questions? Attention : This is an excerpt of the original content. To continue reading it, access the original document here .

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