Caledonia posts record quarterly revenue as Blanket mine output recovers and Cavendish keeps 4,230p target Proactive Thu, November 12, 2026 at 7:00 AM EST 2 min read CMCL 0.00% GC=F -1.19% Trade CMCL on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.
Caledonia Mining Corporation PLC (AIM:CMCL, NYSE-A:CMCL, VFEX:CMCL), the Zimbabwe gold producer, posted record quarterly revenue and gross profit, and Cavendish, the broker, has kept its 'buy' rating and 4,230p price target.
The record figures came on an average realised gold price of $4,134 an ounce.
Operating profit was $23.8 million after a non-cash fair-value loss of $12.9 million, or $36.7 million before it.
Production at the 64%-owned Blanket mine was disappointing, but the problems have been resolved after two delayed compressors were deployed.
More than half of the 1,100 ounces of gold temporarily held in the plant had been released by 6 November, and production has normalised.
Caledonia kept its revised guidance for 69,000 to 72,500 ounces from Blanket this year, at on-mine costs of $1,700 to $1,900 an ounce.
Cavendish expects costs to beat guidance, forecasting on-mine costs of $1,626 an ounce and all-in sustaining costs, which include investment to lift output from 2027, of $2,725 an ounce.
Bilboes has a total funding requirement of $590 million, including $485 million in capital spending, with the capital expenditure virtually covered by $162 million of cash, a $150 million interim facility and put options on Blanket gold.
The put options give Caledonia the right to sell 3,000 ounces a month at $3,500 an ounce over 2026 to 2028, though Cavendish does not expect to need them.
Bilboes, with first gold targeted for the fourth quarter of 2028, would roughly quadruple annual attributable production to about 200,000 ounces, which could attract larger funds.
Payback should be under one year at current spot gold prices, against 1.1 years at $3,648 an ounce in the November 2025 feasibility study.
Cavendish expects the shares to re-rate as grade improvements, higher production and operational initiatives become evident.
The shares stand at 1,587.5p, 8.0% lower over the past month and 27.2% lower over a year, and the target implies 166% upside.
