Fortuna Mining (FVI) Q2 2025 earnings summary

Executive summary

• Completed divestiture of San Jose and Yaramoko mines, generating $83.8 million in proceeds, streamlining the portfolio, and avoiding $50 million in closure costs.

• Achieved record adjusted EBITDA margin of 55% and strong free cash flow from operations of $57.4 million, supported by higher realized gold prices.

• Annualized production now at 330,000 oz gold equivalent, with a strategic goal to rebuild to 0.5 million oz per year through organic growth at Séguéla and Diamba Sud.

• Maintained a robust balance sheet with liquidity exceeding $537 million and net cash position rising to $215 million.

• Increased gold resources at Diamba Sud, with a 53% rise in indicated and 93% in inferred resources.

Financial highlights

• Sales from continuing operations reached $230.4 million, up 47% year-over-year; attributable net income from continuing operations was $42.6 million, up 128% year-over-year.

• Adjusted net income was $44.7 million ($0.15/share), up 380% year-over-year.

• EBITDA margin reached a record 55%, up from 50% in Q1; operating income for Q2 2025 was $83.7 million, up 172% year-over-year.

• Free cash flow from operations was $57.5 million, up 463% year-over-year.

• Realized gold price averaged $3,307/oz in Q2 2025, up 42% year-over-year.

Outlook and guidance

• On track to meet 2025 guidance of 309,000–339,000 GEO at AISC of $1,670–$1,765/GEO; annual production and AISC guidance reaffirmed.

• Séguéla guided for 140,000 oz gold in 2025 and 160,000–180,000 oz in 2026 as expansion comes online.

• Diamba Sud resource grew to 1 million oz; PEA completion targeted for Q4 2025 and construction decision in H1 2026.

• Consolidated AISC expected to trend down to $1,500/oz in H2 2025 and further in 2026.

• Full-year capital expenditures expected at $180 million, with $30 million allocated to Diamba Sud.