Americas Gold and Silver (USA) Q2 2024 earnings summary

Executive summary

• Q2-2024 revenue rose 62% to $31.6M from Q1-2024, driven by higher commodity prices and increased silver output at Galena, partially offset by lower Cosalá silver production.

• EBITDA from Cosalá and Galena reached $11.1M, with net income of $4.4M, reversing Q1-2024 losses.

• Consolidated net loss narrowed to $4.0M ($0.02/share) from $16.2M ($0.08/share) in Q1-2024, mainly due to higher net revenue.

• Attributable silver production was 0.51M oz; zinc and lead output were 8.9M lbs and 4.4M lbs, respectively.

• Signed $15M secured Credit and Offtake Agreement for EC120 Project at Cosalá to target higher-grade silver-copper output in Q3-2025.

Financial highlights

• Consolidated cash costs per silver oz dropped 40% to $12.42; AISC fell 35% to $19.58, both versus Q1-2024.

• Galena Complex cash costs per silver oz decreased to $14.78 from $27.14; AISC to $21.93 from $40.96 sequentially.

• Cosalá cash costs per silver oz fell to $7.75 from $16.44; AISC to $14.93 from $23.18 sequentially.

• EBITDA from Cosalá and Galena improved to $11.1M from negative $1.5M in Q1-2024.

Outlook and guidance

• Targeting over 80% of revenue from silver by end of 2025, positioning among industry leaders.

• EC120 Project at Cosalá expected to achieve commercial production of high-grade silver-copper concentrates in Q3-2025.

• Galena Complex development on 3700 Level to be completed in Q3-2024, expected to boost high-grade silver output.

• Relief Canyon project under review for gold recovery improvements via potential CIL plant.