Silvercorp Metals Inc. reported net income of $18.1 million, or $0.08 per share, for the first quarter of Fiscal 2026, driven by revenue of $81.3 million generated from metal sales including 1.8 million ounces of silver, 1,951 ounces of gold, 15.2 million pounds of lead, and 5.2 million pounds of zinc. The company's production performance was equally strong, with 1.8 million ounces of silver, 2,050 ounces of gold, 15.7 million pounds of lead, and 5.2 million pounds of zinc produced, totaling 2.0 million ounces of silver equivalent. This production efficiency translated into an all-in sustaining cost of $13.49 per ounce of silver, net of by-product credits, highlighting the company's cost management effectiveness in the current market environment.
The financial results demonstrate Silvercorp's operational stability and profitability in the mining sector. Adjusted net income reached $21.0 million, or $0.10 per share, while EBITDA attributable to equity shareholders stood at $33.8 million, or $0.15 per share. Operating cash flow was particularly noteworthy at $48.3 million, contributing significantly to free cash flow of $22.5 million. These strong cash flow metrics indicate the company's ability to generate substantial liquidity from operations while maintaining production levels. The company's strategic capital allocation included $18.8 million invested in China operations and $5.4 million in Ecuador operations, alongside $2.7 million paid in dividends to shareholders, reflecting balanced growth investment and shareholder returns.
Silvercorp's financial position remains robust with $377.1 million in cash and cash equivalents and $72.2 million in equity investments at quarter-end. This substantial liquidity provides significant flexibility for future growth initiatives and operational requirements. A key development during the quarter was the $175 million stream financing commitment from Wheaton Precious Metals International Ltd. for the El Domo project, which represents a major strategic advancement for the company's expansion plans. This financing arrangement, detailed at https://ibn.fm/rubWN, underscores confidence in Silvercorp's project pipeline and growth potential. The combination of strong quarterly performance, healthy balance sheet, and strategic financing positions Silvercorp for continued success in the precious metals mining sector, particularly as global demand for silver and other metals continues to evolve amid changing market conditions and industrial requirements.
