Silvercorp Metals Projects Production Growth for Fiscal 2027
The company expects to process between 1,526,600 and 1,607,000 tonnes of ore in Fiscal 2027
Silvercorp Metals Inc. (SVM), a precious metals producer, expects to increase production across its primary metals in Fiscal 2027. The company projects it will process 1,526,600 to 1,607,000 tonnes of ore, representing a 3% to 9% increase compared to Fiscal 2026 results.
This growth is driven largely by the Ying Mining District, where the company plans to process 1,237,000 to 1,302,000 tonnes of ore. This includes nominal development ore from Kuanping. Consolidated production guidance for Fiscal 2027 includes 6.8 to 7.1 million ounces of silver, 9,500 to 10,000 ounces of gold, and 62.7 to 65.8 million pounds of lead. The company also expects to produce 22.3 to 23.4 million pounds of zinc.
Compared to Fiscal 2026, these targets represent production increases of 0.04% to 4% in silver, 9% to 15% in gold, 4% to 9% in lead, and 3% to 8% in zinc. The company expects the consolidated cash cost for Fiscal 2027 to range between $83.3 and $85.4 per tonne of ore, while the all-in sustaining cost (AISC) is projected at $155.3 to $161.2 per tonne.
Fiscal 2026 results showed a trajectory of rising revenues and costs. The company reported record annual revenue of $438.1 million, a 47% increase over Fiscal 2025. This growth was supported by a realized silver selling price of $46.44 per ounce, which rose 72% from $26.95 in Fiscal 2025. Silver accounted for 72% of total revenue.
However, the AISC per ounce of silver rose 18% to $14.25 from $12.12 in Fiscal 2025. The company attributed this increase to higher sustaining capital expenditures to expand mining capacity at Ying and higher government taxes linked to the increased revenue.
Financial performance for the year ended March 31, 2026, included a net loss attributable to equity shareholders of $9.9 million, or 0.05 a share. The company said this was primarily due to a $178.5 million non-cash mark-to-market charge on the fair value of derivative liabilities related to convertible notes. Adjusted net income attributable to equity shareholders was $150.8 million, or 0.69 a share, compared to $75.1 million or 0.37 a share in Fiscal 2025.
Cash flow from operating activities rose to $310.6 million from $138.6 million in the prior year. Free cash flow for the year ended March 31, 2026, was $181.3 million, compared to $58.8 million in Fiscal 2025.
The company ended the period with cash and cash equivalents and short-term investments of $422.3 million. On January 27, 2026, the company completed the acquisition of ZAAV to access gold deposits in the West Tien Shan gold belt.