First Majestic posts record second-quarter earnings, revenue
Silver and gold miner First Majestic Silver Corporation has reported record financial results of the second quarter, ended June 30, with net earnings of $56.6-million – a significant improvement on the net loss of $48.3-million reported for the second quarter of 2024.
The NYSE-, TSX- and FSE-listed company, which owns operating mines in Mexico and development and exploration project in the US, attributed the increase in net earnings primarily to an increase in mine operating earnings to $49.4-million, compared with mine operating earnings of $15.5-million reported for the second quarter of 2024.
The increase in mine operating earnings was mainly driven by the addition of the Los Gatos silver mine, which contributed $20.6-million in mine operating earnings during the quarter.
Additionally, an improvement in performance at the San Dimas and La Encantada mines resulted in these operations contributing mine operating earnings of $6.7-million and $4.4-million, respectively.
First Majestic achieved a 48% year-on-year increase in silver-equivalent production to 7.9-million ounces for the second quarter. This included 3.7-million silver ounces.
Revenue for the quarter was $264.2-million, compared with the $136.2-million of revenue reported for the prior comparable quarter.
The increase in revenue was primarily the result of a 42% increase in payable silver-equivalent ounces sold, mainly driven by the addition of the Los Gatos mine to the company's portfolio of operating mines, which contributed $103.1-million in revenue; a 17% production increase at San Dimas, which contributed $65.1-million in revenue; and a continued strong performance at Santa Elena, which contributed $74.5-million in revenue.
Further, the average realised silver price increased by 24% year-on-year to $34.62/oz for the quarter under review.
The company declared a cash dividend of $0.0048 per common share for the second quarter.
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