Endeavour Silver swung to a $79.5M Q2 profit as revenue doubled to $212M. Cash costs rose 53% to $23.52/oz on higher royalties and the Terronera startup.
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Endeavour Silver Corp. swung to a second-quarter profit as higher production and record sales volumes pushed revenue above $200 million. The Vancouver-based miner reported net income of $79.5 million for the three months ended June 30, compared with a loss of $14.6 million a year earlier.
Revenue more than doubled to $212.1 million from $85.3 million, driven by a full quarter of output from the Kolpa mine, acquired in mid-2025, and the first full quarter of commercial production at Terronera in Mexico. Mine operating earnings reached $74 million, up from $7.7 million in 2025.
"Endeavour delivered strong second quarter results, supported by higher production, record ounces sold and improved mine operating cash flow," Chief Executive Officer Dan Dickson said in a statement.
The company sold 2.7 million silver ounces and 18,600 gold ounces during the quarter, compared with 1.4 million silver ounces and 9,800 gold ounces in the same period of 2025.
Costs climb on royalties, peso strength
Consolidated cash costs per silver ounce, net of by-product credits, rose 53% to $23.52 from $15.35 a year earlier. All-in sustaining costs per silver ounce increased 47% to $36.89 from $25.16. The company attributed the jump to higher metal prices, which triggered higher royalties, and the inclusion of Terronera, which was not operating in the year-ago period. Terronera posted cash costs of just $5.07 per silver ounce. Its sustaining capital expenditures pushed up the AISC figure.
Direct operating costs per tonne rose 14% to $161.73, partly because the Mexican peso strengthened 12% against the U.S. dollar on average during the quarter. Compared with the first quarter of 2026, when the exchange rate was similar, per-tonne costs fell 13%.
Operating earnings before taxes reached $79.5 million, helped by a $21.7 million gain on derivative contract revaluations. Finance costs rose to $5.7 million from $1.1 million, largely due to a $5.1 million charge related to senior convertible notes issued in December 2025. Investment and other losses of $2.6 million were recorded, mostly from the revaluation of Guanajuato Silver shares received from the sale of the Bolañitos mine.
Exploration expenses increased to $6.4 million from $4.9 million on work at the Pitarrilla project and further drilling at Kolpa. General and administrative costs fell to $2.9 million from $7.6 million, partly because the prior-year period included $3.6 million in acquisition costs that could not be capitalized.
Endeavour operates three mines: Guanaceví and Terronera in Mexico and Kolpa in Peru. The company ended the quarter with a strong cash position, though the exact figure was not disclosed in the release.
Management will host a conference call to discuss the results on July 30 at 10 a.m. Pacific time (1 p.m. Eastern).
For more on Endeavour Silver, see the EXK stock page. For broader metals coverage, visit the gold profile.
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