Endomines Finland Oyj: Endomines Quarterly Report Q1-2026: Record first quarter, revenue grew by 77% and EBITDA was 47% of revenue

Endomines Finland Plc - Stock Exchange Release, Quarterly Report - 12/5/2026, at 10.00 EEST

Endomines Quarterly Report Q1-2026: Record first quarter, revenue grew by 77% and EBITDA was 47% of revenue

This release is a summary of Endomines Finland Plc's Quarterly Report for the period January-March 2026. The full report is attached to the release and available on our website at https://endomines.com/en/for-investors/reports-and-presentations/.

Q1 2026 in brief

• The Group revenue increased by 77.2% to MEUR 18.5 (MEUR 10.4)
• The Group EBITDA was MEUR 8.8 (MEUR 3.7), or 47.5% of revenue (35.2%)
• The Pampalo production segment EBITDA was MEUR 11.6 (MEUR 4.8), or 62.9% of revenue (45.6%)
• The Group operating result was MEUR 7.3 (MEUR 2.5), or 39.4% of revenue (24.0%)
• The Group net result was MEUR 7.1 (MEUR 1.4), or 38.3% of revenue (13.8%)
• Earnings per share (basic) EUR 0.6 per share (EUR 0.1 per share)
• Operating cash flow before investments was MEUR 8.7 (MEUR 1.5)
• Gold production in Q1 increased by 9.8% and was 4,955 ounces (4,513 ounces), or 154.1 kg (140.4 kg)

CEO's Review

The result for Q1 was truly exceptional. We broke several records and reached significant strategic milestones. I would like to express my warmest thanks to the entire Endomines team for a brilliant job done. Our Golden Journey is progressing decisively toward our ambitious strategic goals.

During January-March, our revenue grew by an impressive 77.2% to MEUR 18.5. Our EBITDA margin increased to 47.5% of revenue. The operating result was MEUR 7.3, or 39.4% of revenue, which in absolute terms was close to the operating profit for the entire previous year. Net income also approached the full-year 2025 net result and totaled EUR 7.1 million, corresponding to 38.3% of revenue. Our business progressed excellently in all areas during the review period.

Revenue growth was boosted by the increase in production and the high price of gold. Safety is the absolute foundation of our operations, and its continuous development is a key part of our everyday work. For the review period, we achieved a production record without a single lost time accident. This reflects our long-term and systematic work for safety. The mining operations business acquisition completed last year is now concretely reflected in the increase in production volumes. The average price of gold during the review period was USD 4,879/ounce (USD 2,862 per ounce), which is an all-time high.

Geopolitical and economic uncertainty, as well as hightened tensions between the major powers, were strongly reflected in the gold price development. The beginning of the year has been exceptionally volatile. Price fluctuations have been particularly affected by changes in the interest rate outlook caused by the war in Iran and profit taking to cover the risks realised in other types of investments. Our view is that the fundamentals of the gold market have not changed, and they will continue to support the gold price in the second half of the year. In the short term, however, uncertainty in the Middle East region makes forecasting extremely challenging.

The implementation of our golden strategy is progressing with determination
In exploration, we launched the largest exploration campaign in Endomines history. In 2026, we will drill approximately 50,000 metres of pure exploration drilling which is almost 2.8 times more than in 2025. In March, we released the first gold resource of the Northern Gold Line, 124,000 ounces, and updated the company gold resources to a new record of 619,600 ounces of gold.

Following the release of the Kartitsa gold resources on the Northern Gold Line, we published new, very promising drilling results in the area. The new results further strengthen the potential of the region and create a solid basis for increasing the gold resources in the next update.

On the Southern Gold Line, exploration focused on the Ukko deposit area. We have been exploring this promising area for approximately one year, and Ukko will account for roughly half of the total 2026 drilling program. In addition, we will commence follow-up exploration in the Kuittila area during the second quarter of the year. Our objective is to bring both deposits into production as part of the production expansion project around 2030. The aim of the project is to increase our annual production volume to fivefold to 70,000-100,000 ounces, and to commence the production of tungsten and molybdenum.

In the production expansion project, we submitted the environmental impact assessment (EIA) program to the authorities in February 2026. Tungsten is included in the project and is one of the critical minerals of the European Union. In January, we applied for the strategic project status from the EU. In March, we announced a non-binding letter of intent with Wolfram Bergbau und Hütten AG related to tungsten. Tungsten prices have risen sharply in recent times, significantly increasing the metal's economic importance. The price of tungsten is currently as high as 300,000 USD per tonne. Our target is to reach annual tungsten production of approximately 1,000 tonnes around 2030.

Resources reallocated from the United States to support growth projects
In February, the sale of three gold deposits in Idaho was completed. The transaction lightens our cost structure and releases resources to support growth projects along the Karelian Gold Line. Following the transaction, our company continues to control four deposits in the United States, two in Idaho and two in Montana.

Investing in people and expertise
Endomines growth is built on expertise and safe operating culture. During the review period, we received the Most Inspiring Workplaces in Finland recognition awarded by Eezy Flow, and we strengthened our organisation with several successful recruitments. Our organisation is now ready for the next growth phase.

We started the year strongly, achieved our key objectives and laid a solid foundation for success for the whole year 2026. We continue our Golden Journey with determination towards the next growth leap. Our goal is to build mining operations that every employee can be proud of and that, through example, guides the mining industry toward a more sustainable future.

A warm thank you for the valuable work - the Golden Journey continues
I would like to thank all our employees for their excellent work, which enabled us to achieve an exceptionally strong result for the review period. I would also like to thank our owners, partners and stakeholders for the support and commitment that has enabled our tremendous growth.

Group's key figures

Key figures	Unit	Q1 2026	Q1 2025	Change, %	FY 2025
Revenue and profitability
Revenue	MEUR	18.5	10.4	77.2%	45.5
Pampalo production revenue	MEUR	18.5	10.4	77.2%	45.5
% of revenue	%	100.0	100.0	-	100.0
Operating expenses	MEUR	-9.7	-6.8	43.9%	-29.3
EBITDA	MEUR	8.8	3.7	138.8%	16.3
% of revenue	%	47.5	35.2	-	35.9
Pampalo production EBITDA	MEUR	11.6	4.8	144.3%	21.8
% of revenue	%	62.9	45.6	-	47.8
Depreciation and impairment losses	MEUR	-1.5	-1.2	26.3%	-8.7
Operating result	MEUR	7.3	2.5	191.6%	7.6
% of revenue	%	39.4	24.0	-	16.7
Net result	MEUR	7.1	1.4	389.9%	7.3
% of revenue	%	38.3	13.8	-	16.1
Earnings per share, basic	EUR	0.6	0.1	343.0%	0.7
Balance sheet
Net gearing	%	6.8	35.5	-	17.4
Equity ratio	%	64.9	55.2	-	61.5
Operational key figures
Cash cost in Pampalo, excl. investments and change in inventory	EUR/ounce	-1,481	-1,236	19.8%	-1,436
Gold production	ounces	4,955	4,513	9.8%	16,630

The Group revenue in the review period increased by 77.2% to MEUR 18.5 (MEUR 10.4). All of Group revenue is generated in the Pampalo Production segment. The increase in revenue was a result of a 9.8% increase in gold production volume and the high market price of gold which, during the review period, was on average 70.5% higher than in the comparison period. The Group EBITDA increased by 138.8% to MEUR 8.8 (MEUR 3.7). The EBITDA margin of Pampalo Production segment was MEUR 11.6 (MEUR 4.8), or 62.9% of revenue (45.6%).

The change in inventory of finished and unfinished products improved EBITDA by MEUR 1.4 (MEUR 0.2). In Q1, MEUR 6.4 (MEUR 5.0) was spent on materials, goods and services. Employee benefit expenses increased mainly due to the increase in the number of employees and amounted to MEUR 2.0 (MEUR 1.2). In other operating expenses, profitability was burdened by a total of approximately MEUR 1.1 in non-recurring costs. Of these, MEUR 0.9 was related to fees associated with the sale of three gold deposits in Idaho, USA, and other entries related to the closing of the transaction. The sale was agreed in November 2025 and completed during the review period. Other non-recurring items in other operating expenses totaled MEUR 0.2. The amount of the mining minerals tax in Q1 was MEUR 0.5 (MEUR 0.1). The mining minerals tax is recorded in other operating expenses.

The Group operating result increased by 191.6% to MEUR 7.3 (MEUR 2.5). Depreciation and impairment amounted to MEUR 1.5 (MEUR 1.2).

The Group net result increased by 389.9% to MEUR 7.1 (MEUR 1.4).

The Group earnings per share (basic) increased to EUR 0.6 (EUR 0.1).

Operational key figures	Unit	Q1 2026	Q1 2025	Change, %	FY 2025
Cash cost in Pampalo excl. investments and change in inventory	EUR/ounce	-1,481	-1,236	19.8%	-1,436
Gold production	ounces	4,955	4,513	9.8%	16,630

Pampalo production forms the basis of Endomines' business, and measures are constantly being taken to increase production levels. In Q1, the unit cost (cash cost) per ounce produced (excluding investments and changes in inventory) was -1,481 EUR/oz (-1,236 EUR/oz), representing an increase of 19.8% compared to the corresponding period the year before. For the current year, the calculation method has been specified, and the change in ore inventory has been removed from the calculation. The increase in unit costs compared to previous year was particularly affected by the lower gold grade of the ore in the underground mine and the higher price of electricity.

Balance sheet, cash flow and financing

At the end of March, the balance sheet total was MEUR 100.2 (MEUR 77.5). The Group cash and cash equivalents totaled MEUR 9.4 (MEUR 1.7). Interest-bearing net debt amounted to MEUR 4.4 (MEUR 15.2). Gearing was 6.8% (35.5%) and equity ratio was 64.9% (55.2%). The amount of interest-bearing net debt was positively affected by the conversion of convertible loans into shares and the higher amount of cash and cash equivalents.

Cash flow from operations before investments was MEUR 8.7 (MEUR 1.5). Net cash flow from investing activities was MEUR -3.0 (MEUR -4.1), including the received first instalment of MEUR 1.9 for the sold deposits by Endomines Idaho LLC.

Guidance for the financial year 2026

The company maintains its previous guidance and estimates that gold production will increase by 10-20% from the previous year. In 2025, Endomines produced 16,630 ounces, 517.2 kg of gold.

Webcast for investors, analysts and media 12 May 2026 at 2:00 p.m. EEST

A webcast for investors, analysts and media will be held on 12 May 2026 at 2:00 p.m. EEST. Participation in the event at: https://endomines.events.inderes.com/2026-q1/register. A recording of the webcast will be available later on the company website at https://endomines.com/en/for-investors/reports-and-presentations/.

Further information

Kari Vyhtinen
CEO
Endomines Finland Plc
[e-mail]
[phone]

Minna Karttunen
CFO
Endomines Finland Plc
[e-mail]
[phone]

Endomines Finland Plc is a Finnish forerunner in sustainable mining. Our operations are focused on gold production and exploration in the Karelian Gold Line in Eastern Finland. We produce gold for the jewelry and electronics industries and create value by turning natural resources into wealth, an investment that can withstand the volatility of global politics. Our vision is to develop the Karelian Gold Line into one of the most important and sustainable gold-producing regions in the world. Endomines is listed on the OMX Helsinki main list (PAMPALO). www.endomines.com.