Silvercorp Metals (SVM) Q1 2026 earnings summary

Executive summary

• Q1 fiscal 2026 revenue rose 13% year-over-year to $81.3 million, driven by higher silver and gold production and prices, with record operating cash flow of $48.3 million, up 21% from last year.

• Adjusted net income was $21.0 million ($0.10/share), up 2% year-over-year, excluding a $4.8-$5 million derivative charge; reported net income was $18.1 million ($0.08/share), down from last year due to share dilution and non-cash charges.

• Free cash flow totaled $22.5 million after $24.2-$25.6 million in investments, ending the quarter with $377.1 million in cash and short-term investments, up $8.1 million from March.

• Paid $2.7 million in dividends and continued significant capital investment in China and Ecuador operations.

• Acquisition of Adventus Mining closed in July 2024, increasing share count by 38.8 million.

Financial highlights

• Silver production increased 6-7% to 1.8 million oz, gold production surged 79% to 2,050 oz, and silver sales volume rose 5% year-over-year.

• All-in sustaining cost per oz silver was $13.49, up 37% year-over-year, and cash cost per oz was $1.11, up from -$1.67 last year.

• EBITDA attributable to equity holders was $33.8 million ($0.15/share); adjusted EBITDA was $35.0 million ($0.16/share).

• Portfolio of equity investments valued at $72.2 million as of quarter-end.

• Silver contributed 66% of revenue, lead 18%, and gold 7%.

Outlook and guidance

• Certain mining areas at Ying Mining District are closed due to a fatality investigation, with an estimated 20-25% production shortfall for Q2.

• Guidance may be revisited after Q2, depending on the impact of the incident and contributions from other projects.

• $175 million stream financing commitment remains available for El Domo project construction.