Sotkamo Silver (SOSI) Q2 2026 earnings summary

Executive summary

• Net sales reached a record 198 MSEK in Q2 2026, up 151% year-over-year, driven by higher silver, gold, and lead production and favorable metal prices.

• EBITDA rose to 86 MSEK with a margin of 43%, and EBIT improved to 73 MSEK, reflecting strong operational performance.

• Cash and cash equivalents increased to 141 MSEK, supported by robust operating cash flow and reduced convertible debt.

• Positive profit warning issued in May 2026, reflecting strong performance and higher silver prices.

• New mining contractor fully operational, supporting increased mining volumes and efficiency.

Financial highlights

• Q2 2026 net sales: 198 MSEK (up 151% YoY); H1 2026 net sales: 384 MSEK (up 160% YoY).

• Q2 EBITDA: 86 MSEK (margin 43%); H1 EBITDA: 185 MSEK (margin 48%).

• Q2 EBIT: 73 MSEK (margin 37%); H1 EBIT: 162 MSEK (margin 42%).

• Equity ratio improved to 53% from 38% YoY; cash liquidity at 122%.

• Net debt-to-EBITDA ratio reduced to 0.2 from 3.4 YoY.

Outlook and guidance

• 2026 guidance: silver production of 0.9–1.2 million ounces, annual EBITDA over 33 MEUR, net debt-to-EBITDA below 0.1 at year-end.

• Medium-term targets (by 2028): annual silver production of 1.4 million ounces, EBITDA margin above 30%, net debt-to-EBITDA below 2.0, and A-level TSM performance.

• Profitability remains sensitive to metal prices, exchange rates, ore volumes, and grades.