Iamgold Corporation (IAG) Income Statement

The revenue trajectory has shifted dramatically with Côté Gold's commercial production, lifting quarterly revenue from $338.9M in 2024Q1 to over $1.0B in 2025Q4. This growth is primarily volume-driven as the mine ramps to nameplate capacity, with gold prices providing a tailwind. The durability of this growth depends on Côté achieving steady-state throughput and maintaining recovery rates, which appears on track based on recent figures.

The margin improvement is structural, driven by the mix shift toward Côté Gold's lower AISC and the scaling of fixed costs. However, Westwood's historically high costs and inflationary pressures on inputs like diesel and cyanide could compress margins if gold prices retreat. The 41.22% TTM gross margin appears sustainable if Côté maintains its cost guidance, but investors should monitor AISC trends closely.

SG&A expenses have remained remarkably stable despite a 146% revenue increase over the period, indicating disciplined overhead management. The operating margin expansion from 25.8% to 45.0% underscores that incremental revenue flows through to operating income at a high rate. This leverage is a key driver of EPS growth, which surged 178.6% year-over-year in 2026Q2, though it may moderate as Côté reaches full capacity.

The primary cost driver is COGS, which has grown in absolute terms but declined as a percentage of revenue, highlighting economies of scale. Management's expense discipline is evident in SG&A, which has not ballooned despite the company's expansion. However, the capitalization of stripping costs at open-pit mines may defer expenses, potentially inflating current margins at the expense of future periods, a nuance investors should monitor.