West African Resources shares (ASX:WAF) hit a new all-time high heading into the final trading session of the week, after the gold miner delivered record first-half financial results and announced a maiden special dividend.
The WAF share price touched an intraday high of A$4.06 before closing at A$3.89, a gain of 2.91% for the session. The modest pullback from the day’s peak suggests some short-term profit-taking at the new high, though the broader trend remains firmly intact.
Over the past twelve months, the stock has added 41.45%, a performance that comfortably outpaces the S&P/ASX 200 index and places WAF among the top-performing mid-cap resource names on the ASX.
Latest Financials
The headline numbers from West African Resources’ half-year report for the six months ended 30 June were, by any measure, exceptional. Revenue came in at A$1.46 billion, while net profit after tax reached A$437 million. Operating cash flow for the period was A$690 million, a figure that underscores the extraordinary leverage the company is extracting from elevated gold prices.
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Production for the half stood at 232,905 ounces, achieved at an All-In Sustaining Cost of US$1,823 per ounce. Gold sales reached 214,883 ounces at an average realised price of US$4,744 per ounce, implying an operating margin of approximately US$2,921 per ounce. That margin profile is among the widest in the sector and reflects the dual contribution of the Sanbrado and Kiaka operations in Burkina Faso, the latter having ramped up to deliver its first full six-month contribution during the period.
The balance sheet closed the half in a position of notable strength. Cash and equivalents stood at A$876 million, supplemented by 42,453 ounces of unsold gold bullion on hand. Total net assets expanded to A$1.99 billion. The company carried A$388.1 million in debt at the end of June, which management has flagged for accelerated repayment over the next twelve months across its secured lending facilities.
Special Dividend and Capital Returns
Alongside the results, WAF announced a special dividend of 20 cents per share, unfranked and attributed entirely to conduit foreign income. The total distribution amounts to approximately A$228.8 million and pushes the stock’s dividend yield above 5% at current prices. The ex-dividend date falls on 17 September, with the record date set for 18 September and payment scheduled for 7 October.
The decision to return capital at this scale while simultaneously accelerating debt repayment reflects management’s confidence in the durability of current cash generation. It also broadens the stock’s appeal to income-oriented and institutional mandates that require meaningful yield alongside growth credentials.
Guidance and Long-Term Growth Pipeline
Full-year production guidance of 430,000 to 490,000 ounces remains in place, and with 232,905 ounces banked in the first half alone, the company appears well-positioned to meet or exceed the midpoint of that range.
The longer-term outlook is equally compelling on paper. West African Resources is targeting average annual production of more than 533,000 ounces between 2026 and 2035, with output projected to peak at 569,000 ounces in 2030. To support that trajectory, the company has scheduled more than 100,000 metres of exploration drilling for the remainder of 2026, with a primary focus on mineralisation beneath the current Kiaka open-pit reserve. Pre-production mining is also progressing at the Toega deposit, which forms part of the broader growth pipeline.
The scale of the planned drilling program signals that management is not content to simply harvest existing reserves. The intent to extend and deepen the resource base at Kiaka in particular suggests confidence that the geological endowment beneath the current pit shell remains underexplored.
What Next For WAF
From a technical perspective, the A$4.06 all-time high now represents the first meaningful resistance level for the stock. A sustained close above that level would likely attract additional momentum-driven buying, while repeated failures to reclaim it in the near term could see the stock consolidate lower.
With WAF shares having added 41% over the past year, there is plenty priced in, yet gold prices are likely to remain the driver, outside of corporate updates. New highs, assuming a breakout holds, will bring a period of price discovery, which can often be accompanied by heightened volatility. Keep risk close.
