The Evolution Mining Ltd (ASX: EVN) share price is in focus today as the gold miner outlined its long-term plan to deliver sector-leading margins and future growth, supported by higher copper exposure and a robust project pipeline.

What did Evolution Mining report?

• FY27 production guidance: 660,000–730,000 ounces of gold, 63,000–70,000 tonnes of copper.
• All-in Sustaining Cost (AISC) guidance: $1,795–$1,995 per ounce.
• Portfolio reserve life: 17 years on average, with a target of up to 8 assets in Tier 1 regions.
• Industry-leading EBITDA margins, driven by high-margin copper and gold assets.
• Investment-grade balance sheet and strong cash generation to fund growth.

What else do investors need to know?

Evolution Mining highlighted several growth projects across its portfolio, including developments at Cowal, Ernest Henry, and Northparkes. The company is focusing on expanding copper production, with mill upgrades and exploration in progress to support future output.

Evolution remains disciplined with capital management, emphasising sustainable cash flows and returns to shareholders through the cycle. Exploration success has extended mine life and resource base across existing and greenfield assets, supporting ongoing value creation.

What did Evolution Mining management say?

Lawrie Conway, Managing Director and Chief Executive Officer said:

Today’s investor briefing will demonstrate why Evolution’s portfolio has significant growth options available that can support sustainable returns for multi-decades. Our long-life high-margin assets, significant and growing copper exposure, and a robust balance sheet, gives confidence in our ability to generate sustainable cash flows, invest in future growth, and create lasting value for shareholders.

What’s next for Evolution Mining?

Looking ahead, Evolution Mining plans to ramp up production from its new and existing operations while maintaining a focus on margin over sheer output. Projects such as the Cowal underground, Ernest Henry’s Bert expansion, and Northparkes mill upgrade are set to drive further growth in gold and copper production.

The company’s strategy centres on disciplined investment in Tier 1 assets, sustainable cost management, and leveraging copper demand to deliver long-term, stable returns to shareholders.

Evolution Mining share price snapshot

Over the past 12 months, Evolution Mining shares have risen 44%, outperforming the S&P/ASX 200 Index (ASX: XJO), which has declined 2% over the same period.

View Original Announcement

The post Evolution Mining reveals copper-driven growth and sector-leading margins appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• 5 things to watch on the ASX 200 on Wednesday
• 9 ASX mining shares going ex-dividend this week
• What’s driving the ASX 200 higher today?
• 5 things to watch on the ASX 200 on Friday

Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

At the current Nick Scali Limited (ASX: NCK) share price, investors can grab a bargain and get a much larger dividend yield.

When a share price falls, it can significantly boost the dividend yield on offer. When a share price falls 10%, the yield is boosted by 10%. For example, if the business has a dividend yield of 5% and the share price falls 10%, the dividend yield becomes 5.5%.

But the Nick Scali share price has fallen much further. In the past year, it has dropped 41%. That has had a big impact on the potential dividend payout in the coming years.

We shouldn’t just think of Nick Scali as a cash-paying machine, but it has impressive passive income credentials. So, before getting to the earnings growth part, let’s look at the potential dividend payments from the business.

Dividend credentials

Nick Scali has been paying dividends to shareholders for more than 13 years. Most years in the past decade or so have seen the company increase its payout, though that’s not always going to happen.

In FY26, the business did increase its annual dividend per share by 30% to 78 cents. That translates into a current grossed-up dividend yield of 8.1% at the time of writing, including franking credits.

However, difficult trading conditions could mean that the business isn’t able to maintain its payout in FY27. It’s currently projected to pay an annual dividend of 65.7 cents – that currently translates into a grossed-up dividend yield of 6.8%, including franking credits.

Following that, the projection suggests that the business could pay an annual dividend per share of 74.2 cents in FY28 and 84.3 cents in FY29. That translates into forward grossed-up dividend yields of 7.7% and 8.7%, including franking credits, respectively.

On the dividends alone, I think Nick Scali can provide good passive income returns.

Store network growth potential

I think that Nick Scali is a great furniture retailer, and it still has plenty of growth potential left by expanding its global store network.

At July 2026, it had 114 stores in Australia and New Zealand across its Nick Scali and Plush store networks. The business thinks it could reach between 180 and 200 stores across ANZ in the long term. That implies growth of between 58% and 75% in the long term.

Its UK store network was 18 stores as of July 2026, but management currently thinks the UK network could reach between 60 and 70 stores, representing a possible rise of at least 230% from where it is right now.

Adding more stores could bring significant benefits in the years ahead.

Rising profit margins

I believe one of the best reasons to like Nick Scali shares is because I expect its profit margins to increase, particularly thanks to the UK.

In FY26, Nick Scali said its revenue grew 4.3% to $516.7 million, and the gross profit margin improved 2.1 percentage points to 65.6%, helping net profit after tax (NPAT) grow by 22.1% to $75.7 million.

The UK market is seeing top-selling ANZ items perform well in the UK, which I think bodes well for other Nick Scali products in that market. The UK gross profit margin improved by 13.2 percentage points to 60.3%, which is a huge increase in just one year.

Even if revenue doesn’t grow a huge amount, rising profit margins could make a big difference to the bottom line in the years ahead.

I think the Nick Scali share price is a buy, not just for the dividend yield, but also for the potential bounce-back after the current challenging retail conditions.

The post Is the Nick Scali share price a buy for its 7% dividend yield? appeared first on The Motley Fool Australia.

More reading

• Brokers rate these 5 ASX shares as a strong buy, and tip upsides of 28% to 62%
• Are falling house prices hurting ASX retail shares?
• A rare buying opportunity in 1 of Australia’s top shares?

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Nick Scali. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

There aren’t too many economic indicators out there right now that indicate that the health of the global economy is tip-top. Inflation across the world remains elevated, oil prices are back over US$100 a barrel, and government debt, particularly in the United States, continues to balloon at an arguably unsustainable rate. I’m not saying that all of this means a recession is on the horizon. But it does, at least in my view, indicate that investors should keep their wits about them over (at least) the rest of 2026.

If you are an investor who is worried about a recession, you might want to focus your investing energy on ASX shares that arguably thrive in all kinds of economic weather. That doesn’t mean that these ASX shares won’t see potentially severe price impacts if there is a recession or stock market crash, of course. But it does mean that the underlying fundamentals of these companies would be relatively unaffected if the worst were to happen.

So with that in mind, here are two ASX shares whose earnings should prove to be a veritable fortress if the global economic weather does take a turn for the worse.

2 ASX shares to ride out a recession

First up, we have ASX 200 telco Telstra Group Ltd (ASX: TLS). Telstra is a company we all know and may or may not love. What we can say with certainty is that Telstra continues to enjoy a status as Australia’s largest and most popular telco. The company boasts what is almost universally regarded as the best mobile network in the country. That’s a moat that allows Telstra to keep many customers in-house and competitors at bay.

The beauty of Telstra’s business model is that it is highly resistant to recessions, inflation, and other economic maladies. Most of us would give up a lot before our mobile phones and internet connections if times got tougher. Telstra’s earnings were unaffected by the COVID recession, and I expect them to emerge from the next economic downturn, whenever that may occur, largely unscathed.

Next, let’s talk about Coles Group Ltd (ASX: COL). Coles is another stock we’d all know well. It is the second-largest supermarket chain operator in the country, and also owns the Liquorland bottle shop chain. Coles shares many of the same attributes as Telstra. It is highly defensive (we all need to eat, drink, and stock our households), for one. For another, it is resistant to inflation, given it is one of the lowest-cost providers of those consumer staples on the market.

As such, I wouldn’t expect to see much in the way of earnings impacts if bad economic weather hits the Australian economy. Coles’ hefty, fully-franked dividend (which the company has increased every year since 2018) provides some further certainty to investors.

The post Worried about a recession? These ASX shares would be just fine appeared first on The Motley Fool Australia.

More reading

• How much is needed in superannuation to target a $6,500 monthly passive income?
• How much superannuation is needed to target $5,500 per month in passive income?
• 2 ASX dividend gems I’d buy today for $10,000 a year in passive income
• 9 ASX 200 shares earning strengthened buy ratings this week
• How much superannuation do I need to earn $100 a day in passive income?

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.