Alkane Resources' (ASX:ALK) consolidated June quarter production of around 42,500 ounces of gold equivalent was ahead of Euroz Hartleys' expectation of 41,500 ounces, the investment firm said in a Wednesday note.

The company's June quarter cash build of roughly AU$104 million also beat Euroz Hartleys' estimate on higher sales, taking its fiscal year 2026 exit cash position to AU$432 million.

Alkane Resources generated free cash flow of around AU$314 million over fiscal year 2026 and is capable of generating an additional AU$276 million through fiscal year 2027, the equity research firm said, adding that it expects the company's capital management framework to come into focus ahead of the release of full-year results.

Euroz Hartleys' latest published forecasts for the company reflect around 9% year-over-year growth in group production to 185,000 ounces of gold equivalent at an all-in sustaining cost of about AU$2,400 per ounce over fiscal year 2027.

It maintained a buy rating and AU$2.53 per share price target on Alkane Resources, saying that the company "remains serially overlooked" given its earnings multiples and strong execution in the 12 months through June.

Alkane Resources shares fell 2% in recent Thursday trade.