Silvercorp Metals Revenue Rises 70% on Higher Precious Metal Prices
The mining company reported revenue of $138.7 million for the first quarter of fiscal 2027, driven by a 135% increase in silver selling prices
Silvercorp Metals Inc. (SVM), a mineral properties acquisition and mining company, reported revenue of $138.7 million for the three months ended June 30, 2026, compared with $81.3 million in the same period the previous year,. The company said the 70% increase was mainly attributable to selling prices for silver and gold rising 135% and 37%, respectively.
Net income attributable to equity holders of the company rose to $59.4 million, or 0.27 a share, from $18.1 million, or 0.08 a share, in the prior-year quarter,. Adjusted earnings attributable to equity shareholders were $53.9 million, or 0.24 a share, compared to $21.0 million, or 0.10 a share, in the first quarter of fiscal 2026. Adjusted EBITDA attributable to equity shareholders rose to $77.3 million, or 0.35 a share, from $35.0 million, or 0.16 a share.
Despite the revenue growth, the company saw a decline in the production of several key metals. Silver production fell 17% to 1.5 million ounces, and silver equivalent production dropped 18% to 1.7 million ounces. Lead and zinc production both decreased 15% to 13.4 million pounds and 4.4 million pounds, respectively. Gold production rose 24% to 2,536 ounces.
Unit costs trended upward during the period. The consolidated cash cost per ounce of silver, net of by-product credits, rose 20% to $1.33 from $1.11. The company attributed this increase mainly to a 16% decrease in silver sold. All-in sustaining costs (AISC) per ounce of silver, net of by-product credits, rose 36% to $18.38 from $13.49, which the company said was driven by higher cash costs and government taxes that were 72% higher due to increased revenue.
Silvercorp reported a net cash provided by operating activities of $61.7 million, compared with $48.3 million in the prior-year period. The company used $88.1 million in investing activities, including $60.0 million for the acquisition of mineral rights and properties and $28.5 million for mineral exploration and development expenditures.
In mid-June, the company voluntarily suspended operations in China to conduct self-reviews and complete underground upgrades to the “Six Major Safety Systems” to comply with new Chinese government regulations.