TRX Gold Corporation (TSX: TRX) (NYSE: TRX) delivered record quarterly gold production of 8,173 ounces in Q4 2026, a 28% increase from 6,404 ounces in the prior year period. The company achieved the top end of its full-year guidance with annual production reaching 29,650 ounces, up 57% from 18,935 ounces in FY25.

The strong output coincided with a robust average market price for gold of approximately $4,233 per ounce (London PM fix) in Q4 2026, up 26% from $3,369 per ounce in Q4 2025. On a full-year basis, the average price stood at $4,386 per ounce, a 46% rise over the 2025 comparative period of $2,999 per ounce.

Operational Upgrades Drive Efficiency

The production gains followed continued upgrades to the existing 2,000 tonnes per day (tpd) processing plant at the Buckreef Gold Project in Tanzania. Key improvements included a pre-leach thickener, upgraded agitators and interstage screens, Aachen reactor, oxygen plant, Adsorption, Desorption and Recovery (ADR) plant, new gold room, apron feeder, belt magnet, and new tertiary crusher.

These enhancements have already boosted plant reliability, throughput, and gold recovery rates compared to the prior year. The company noted that these upgrades are in various stages of completion but have already begun to boost performance as evidenced by the increase in Q4 2026 versus the prior year comparative period.

Expansion Plans Accelerate

TRX Gold is advancing a significant expansion of its processing capacity. Final contracts for a new 3,500 tpd Semi Autogenous Grind (SAG) / Ball mill combination were executed in early Q4 2026, with initial downpayments made. Estimated completion is expected within the next 12 – 18 months.

The expanded facility will operate alongside the upgraded 2,000 tpd plant, providing combined capacity well beyond the 3,000 tpd assumed in the May 2025 Preliminary Economic Assessment (PEA). This increase is expected to support average annual gold production exceeding the 62,000 ounces originally anticipated in the PEA.

Exploration Ramp-Up

Exploration activities intensified in fiscal 2026, with approximately 175 drill holes totaling 14,500 meters drilled across resource definition, geotechnical, sterilization, and greenfield targets. This was predominantly completed in the second half of fiscal 2026 utilizing one Company-owned reverse circulation (RC) drill rig commissioned in March 2026 and one contractor diamond drill (DD) rig commissioned in April 2026.

Drilling capacity is set to increase further with the recent purchase of an additional DD rig currently onsite and being commissioned, a new RC rig expected onsite in 2-4 weeks, and a new RC/DD combination rig arriving in 4-6 months. These resources will target anomalies identified in geophysics studies, including the Stamford Bridge and Anfield Zone.

What the Numbers Show

The combination of a 28% surge in quarterly production volume and a 26% jump in average gold prices indicates that revenue growth in Q4 2026 was driven by both operational efficiency and favorable market conditions. The full-year production increase of 57% against a 46% rise in average gold prices suggests significantly higher top-line performance for FY26 compared to FY25, where annual production was just under 19,000 ounces.

TRX Gold Corporation reported record revenue of $32.9 million for the third quarter of 2026, driven by a 58% increase in gold production to 7,426 ounces. The company achieved record adjusted EBITDA of $20.7 million, reflecting strong operational leverage to high gold prices, with an average realized price of $4,703 per ounce. TRX Gold’s CEO, Stephen Mullowney, attributed the performance to investments in plant optimization at the Buckreef Gold Project, which have delivered measurable improvements in throughput and recovery rates. The company reported adjusted earnings per share (EPS) of $0.04, which met the analyst consensus estimate, while sales of $32.848 million missed the analyst consensus estimate of $34.066 million by 3.58%.

Operational Performance

During Q3 2026, Buckreef Gold achieved record processing plant throughput of 1,690 tonnes per day (tpd), a significant increase from the prior year. The company poured 7,426 ounces of gold and sold 6,983 ounces, marking increases of 58% and 75%, respectively. Plant recovery rates improved to 84.9%, up from 67% in the same period last year. The company also reported record gross profit of $19.5 million and adjusted net income of $10.1 million.

Financial Highlights

The company’s financial results for the three and nine months ended May 31, 2026, are summarized below:

Liquidity and Expansion

TRX Gold strengthened its liquidity position, ending the quarter with cash on hand of $26.8 million and a current ratio of 2.2. The company’s run of mine (ROM) stockpile inventory grew to an estimated 19,373 ounces of contained gold, valued at approximately $89.0 million. The company initiated a letter of award for a new 3,500 tpd Semi Autogenous Grind (SAG) / Ball mill, with final contract execution completed in early Q4 2026. The expansion is expected to increase average annual gold production beyond the 62,000 ounces originally anticipated in the Preliminary Economic Assessment (PEA).

Guidance and Outlook

Year to date, the company has produced 21,476 ounces of gold and recognized revenue of $92.0 million. TRX Gold remains on track to meet its full-year production guidance of 25,000 to 30,000 ounces at an average cash cost per ounce of between $1,400 to $1,600. The company has already achieved its full-year guidance as of the reporting date, having produced over 25,000 ounces fiscal year to date.