Silvercorp Metals (SVM) Q2 2025 earnings summary

Executive summary

• Achieved near-record quarterly revenue of $68 million, a 26% increase year-over-year, driven by higher realized metals prices and increased silver and zinc sales.

• Attributable net income rose to $18 million ($0.09 per share), up from $11 million ($0.06 per share) in the prior year quarter; adjusted net income was $17.8 million ($0.09/share), up 52%.

• Generated $23 million in operating cash flow, with $28 million in operating cash flow excluding non-cash working capital changes, up 8% year-over-year.

• Completed acquisition of Adventus Mining Corporation for $181.3 million, including $150.5 million in shares and $27.0 million in cash.

• Ended the quarter with $210 million in cash, not including $84 million in investments in associates and other companies.

Financial highlights

• Revenue rose 26% to $68 million; mine operating earnings increased 51% to $31.7 million year-over-year.

• Realized silver price increased 34%, gold 20%, lead 15%, and zinc 43% year-over-year.

• Silver contributed 64% of Q2 revenue, up from 58% last year; lead contributed 20%.

• $4 million gain on investments and $2 million FX loss impacted results.

• $3 million increase in admin expenses, including Adventus acquisition costs.

Outlook and guidance

• Confident in achieving annual production guidance, supported by processing a 129,000-ton ore stockpile in H2 at the expanded milling facility.

• Mining rates expected to remain consistent, with seasonal slowdown in Q4 due to Chinese New Year.

• Initial production at El Domo targeted for H2 2026, with mine construction planned for early 2025.

• Mill expansion and tailings storage facility construction to support increased throughput and future growth.