Silvercorp Metals reports adjusted net income of US$18.4 million
Revenue fell 13% to US$72.1 million for the quarter ended September 30, 2026, as safety works impacted production.
Silvercorp Metals Inc. (SVM), the mining company, reported adjusted net income of US$18.4 million, or US$0.08 a share, for the three months ended September 30, 2026. Net income attributable to equity shareholders was US$5.3 million, or US$0.02 a share.
Revenue for the second quarter of fiscal 2027 was US$72.1 million, a 13% decrease compared to the same period in 2025. The company said the decline resulted from lower production. This drop was partially offset by an 82% increase in the average realized silver price to US$61.83 per ounce and a 32% increase in the gold price to US$3,955 per ounce.
The company produced approximately 0.9 million ounces of silver and 1,371 ounces of gold, totaling approximately 1.0 million ounces of silver equivalent. Silvercorp attributed the production and financial results to major safety improvement works at the Ying Mining District, which were undertaken to comply with new government safety regulations.
These safety improvements affected cost metrics for the period. Cash cost per ounce of silver, net of by-product credits, was US$2.14. The all-in sustaining cost per ounce of silver, net of by-product credits, was US$24.13. The company stated that both figures were affected by the safety system improvements, which led to fewer metals being produced and sold.
Adjusted EBITDA attributable to equity shareholders was US$37.7 million, or US$0.17 a share, compared to US$38.3 million, or US$0.18 a share, in the second quarter of fiscal 2026.
Cash flow from operating activities rose to US$62.7 million, an increase of US$23.5 million over the US$39.2 million reported in the prior-year period. This figure included a US$43.9 million draw-down from Wheaton in July 2026.
Silvercorp spent and capitalized US$26.6 million on mine development and construction. The company said the major safety improvement works at the Ying Mining District have been substantially completed, inspected by the government, and approved to resume operations.
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