Trading Symbol: TSX/NYSE AMERICAN: SVM
VANCOUVER, BC, May 26, 2026 /CNW/ - Silvercorp Metals Inc. ("Silvercorp" or the "Company") (TSX: SVM) (NYSE American: SVM) reported its financial and operating results for the three months ("Q4 Fiscal 2026") and twelve months ("Fiscal 2026") ended March 31, 2026. All amounts are expressed in US dollars, and figures may not add due to rounding.
HIGHLIGHTS FOR Q4 FISCAL 2026
-- Ongoing production during Chinese New Year: Produced approximately 1.5
million ounces of silver, 2,492 ounces of gold, or approximately 1.6
million ounces of silver equivalent1 (silver and gold only) during the
quarter;
-- Record quarterly revenue: Sold approximately 1.5 million ounces of silver,
2,623 ounces of gold, 13.6 million pounds of lead, and 3.9 million pounds
of zinc, for revenue of $147.4 million, an increase of 96% over the three
months ended March 31, 2025 ("Q4 Fiscal 2025"), mainly driven by a 183%
higher average realized silver price of $78.6 per ounce, with silver
representing 78% of the quarterly revenue;
-- Cash cost per ounce of silver1 (net of by-product credits): Negative
$1.92, significant improvement from $2.49 in Q4 Fiscal 2025 attributable
to the more mechanized and less expensive shrinkage mining method;
-- All-in sustaining cost ("AISC") per ounce of silver1 (net of by-product
credits): $17.35, 21% higher than $14.31 in Q4 Fiscal 2025, mainly due to
higher government taxes linked to increased revenue and higher sustaining
capital expenditures;
-- Record adjusted earnings before interest, income tax, depreciation and
amortization ("EBITDA")1 attributable to equity shareholders of $98.1
million, or $0.44 per share, compared to $29.8 million or $0.14 per share
in Q4 Fiscal 2025;
-- Record adjusted net income1 attributable to equity shareholders of $59.3
million, or $0.27 per share, after excluding the non-cash or one-time
items, compared to $14.7 million or $0.07 per share in Q4 Fiscal 2025;
-- Net loss attributable to equity shareholders of $0.7 million, or $0.003
per share, mainly due to a $60.4 million non-cash charge on
"mark-to-market" of the fair value of the derivative liabilities related
to the convertible notes. In Q4 Fiscal 2026 the Company removed the
Convertible Notes' cash settlement option, reclassifying the conversion
feature from a derivative liability to equity to avoid future fair value
volatility in the Profit & Loss account;
-- Robust cash flow from operating activities of $90.2 million, up $59.5
million, compared to $30.7 million in Q4 Fiscal 2025;
-- Capital expenditures: Spent and capitalized $14.6 million on exploration,
development, and equipment and facilities at the China operations and
$14.6 million at the Ecuador operations for the development and
construction of the El Domo mine;
-- Strong free cash flow1 of $57.9 million, up $43.7 million, compared to
$14.2 million in Q4 Fiscal 2025;
-- Completed the acquisition of holding 70% Chaarat ZAAV CJSC ("ZAAV") with
a $92 million cash payment to Chaarat Gold Holdings Limited ("Chaarat")
on January 23, 2026 and a further $60 million payment to the Kyrgyz
government subsequent to the quarter after the government issued to ZAAV
a new mining license and license agreement extending the valid period of
the mining license a further 30 years from June 25, 2032 to June 25,
2062; and
-- Strong treasury position: ended the period with cash and cash equivalents
and short-term investments of $422.3 million, a decrease of $40.5 million
from December 31, 2025, and a portfolio of equity investments with a
total market value of $274.6 million, an increase of $41.4 million from
December 31, 2025.
______________________________
(1) Non-GAAP measures, please refer to MD&A section 15
for reconciliation.
HIGHLIGHTS FOR FISCAL 2026
-- Steady silver equivalent production: Produced approximately 6.8 million
ounces of silver and 8,723 ounces of gold, or approximately 7.5 million
ounces of silver equivalent1;
-- Realized silver selling price of $46.44 per ounce after smelter
deductions, increased 72% from $26.95 in Fiscal 2025;
-- Record annual revenue of $438.1 million, an increase of 47% over the year
ended March 31, 2025 ("Fiscal 2025"), with silver representing 72% of the
total revenue;
-- Cash cost per ounce of silver1(net of by-product credits): negative
$0.94, improved from negative $0.54 in Fiscal 2025;
-- AISC per ounce of silver1 (net of by-product credits): $14.25, 18%
higher than $12.12 in Fiscal 2025, mainly due to higher government taxes
linked to increased revenue and an increase in sustaining capital
expenditures to increase mining capacity at Ying;
-- Adjusted EBITDA1 attributable to equity shareholders of $238.1 million,
or $1.09 per share, compared to $132.2 million or $0.65 per share in
Fiscal 2025;
-- Adjusted net income1 attributable to equity shareholders of $150.8
million, or $0.69 per share, after excluding non-cash or one-time items,
compared to $75.1 million or $0.37 per share in Fiscal 2025;
-- Net loss attributable to equity shareholders of $9.9 million, or $0.05
per share, mainly due to a $178.5 million non-cash charge on
"mark-to-market" of the fair value of the derivative liabilities
primarily related to the convertible notes;
-- Cash flow from operating activities of $310.6 million, up $171.9 million,
compared to $138.6 million in Fiscal 2025;
-- Capital expenditures: spent and capitalized $75.0 million on exploration,
development, and equipment and facilities at the China operations and
$49.4 million at the Ecuador operations for the development and
construction of the El Domo mine and permitting activities for the Condor
project;
-- Free cash flow1 of $181.3 million, up $122.5 million, compared to $58.8
million in Q4 Fiscal 2025;
-- Continued excellence in ESG practices: MSCI ESG rating improved from A to
AA, placing the company at a leading level within the industry;
Sustainalytics risk score of 21.9, falling within the medium risk
category, reflecting the company's effective ESG risk management.
CONSOLIDATED FINANCIAL AND OPERATING RESULTS
Three months ended March 31, Years ended March 31,
2026 2025 Changes 2026 2025 Changes
Financial Results (in thousands of $, except
per share)
Revenue $ 147,359 $ 75,113 96 % $ 438,135 $ 298,895 47 %
Mine operating earnings 99,959 26,146 282 % 253,708 123,551 105 %
Net loss* (722) (7,585) (91) % (9,944) 58,190 (117) %
Per share - basic (0.003) (0.03) (91) % (0.05) 0.29 (116) %
Adjusted earnings* 59,255 14,747 302 % 150,786 75,089 101 %
Per share - basic 0.27 0.07 296 % 0.69 0.37 87 %
EBITDA* 38,887 9,680 302 % 84,207 116,916 (28) %
Per share 0.18 0.04 296 % 0.38 0.57 (33) %
Adjusted EBITDA* 98,102 29,764 230 % 238,127 132,211 80 %
Per share 0.44 0.14 225 % 1.09 0.65 67 %
Cash flow from operating activities 90,164 30,701 194 % 310,568 138,631 124 %
Sustaining capital expenditures 12,551 9,353 34 % 49,067 43,931 12 %
Growth capital expenditures 19,750 7,175 175 % 80,186 35,871 124 %
Free cash flow 57,863 14,174 308 % 181,315 58,828 208 %
Basic weighted average shares outstanding 220,862,813 217,452,033 1 % 219,425,164 204,008,035 7 %
Metals sold
Silver (million ounces) 1.5 1.6 (9) % 6.8 6.9 (2) %
Gold (ounces) 2,623 3,465 (24) % 8,857 7,577 17 %
Lead (million pounds) 13.6 16.3 (17) % 60.0 62.3 (4) %
Zinc (million pounds) 3.9 4.5 (14) % 21.7 23.5 (7) %
Average Selling Price, Net of Value Added Tax
and
Smelter Charges
Silver ($/ounce) 78.56 27.78 183 % 46.44 26.95 72 %
Gold ($/ounce) 4,408 2,533 74 % 3,556 2,351 51 %
Lead ($/pound) 0.98 0.93 5 % 0.96 0.96 -- %
Zinc ($/pound) 1.25 1.06 18 % 1.06 1.11 (5) %
Cost Data per ounce of silver, net of
by-product credits
($)
Cash cost (1.92) 2.49 (177) % (0.94) (0.54) (74) %
All-in sustaining cost 17.35 14.31 21 % 14.25 12.12 18 %
Financial Position (in thousands of $) as at March 31, 2026 December 31, March 31, 2026 March 31,
2025 2025
Cash and cash equivalents and short-term
investments $ 422,335 $ 462,840 (9) % 422,335 462,840 14 %
Working capital 319,461 94,573 238 % 319,461 310,359 3 %
*Attributable to equity holders
INDIVIDUAL MINE OPERATING PERFORMANCE
(i) Ying Mining District
Q4 Fiscal 2026
The Ying Mining District delivered a stable Q4 Fiscal 2026, with ore mined of 293,437 tonnes, up 43% over Q4 Fiscal 2025, driven by the increased use of shrinkage mining relative to cut-and-fill re-suing. Mill throughput was 311,677 tonnes, up 2% over Q4 Fiscal 2025.
Production was approximately 1.4 million ounces of silver, 2,492 ounces of gold, or 1.5 million ounces of silver equivalent, 12.9 million pounds of lead, and 1.4 million pounds of zinc, representing decreases of 11% in silver, 20% in gold, 18% in silver equivalent, 17% in lead and 30% in zinc, respectively, over Q4 Fiscal 2025. Lower metal production was due to lower head grades, as a result of higher dilution associated with an increase in more cost efficient shrinkage mining.
Cash cost per tonne of ore was $78.27 in Q4 Fiscal 2026, down 8% from Q4 Fiscal 2025 and below the lower end of Fiscal 2026 guidance of $86.8. The improvement reflects ongoing mine mechanization and the greater use of cost-efficient shrinkage mining versus labour intensive re-suing mining, boosting mine and mill productivity. Cash cost per ounce of silver, net of by-product credits, was negative $1.03, compared with $3.05 in Q4 Fiscal 2025, driven by the lower cost per tonne and an increase of $0.8 million in by-product credits from revenue of non-silver metals.
AISC per tonne of ore was up 11% in Q4 Fiscal 2026, to $134.23, remaining below the Fiscal 2026 guidance range of $157.8--$160.5. AISC per ounce of silver, net of by-product credits, was $13.09, delivering robust margins amid higher silver prices.
Fiscal 2026
In Fiscal 2026, the Ying Mining District mined approximately 1,211,916 tonnes of ore, up 18% over Fiscal 2025. Mill throughput was 1,188,459 tonnes, up 17% over Fiscal 2025.
Production was approximately 6.3 million ounces of silver, 8,723 ounces of gold, or 7.0 million ounces of silver equivalent, 55.1 million pounds of lead, and 6.6 million pounds of zinc, representing a production increase of 16% in gold and production decreases of 1% in silver, 1% in silver equivalent, 3% in lead and 23% in zinc compared to Fiscal 2025. Lower production was due to lower head grades, as a result of a higher dilution associated with an increase in shrinkage mining.
Cash cost per tonne of ore was $79.71 in Fiscal 2026, down 10% from Fiscal 2025 and below the lower end of Fiscal 2026 guidance of $86.8, mainly attributable to improved mining and milling productivity driven by increased underground mechanization. Cash cost per ounce of silver, net of by-product credits, was negative $0.01, compared with $0.62 in Fiscal 2025, driven by the lower cash cost per tonne and an increase of $10.0 million in by-product credits from revenue of non-silver metals.
AISC per tonne of ore improved 4% in Fiscal 2026, to $134.19, remaining below the Fiscal 2026 guidance range of $157.8--$160.5. AISC per ounce of silver, net of by-product credits, was $11.49.
Mining Permit Expansion Applications
As of March 31, 2026, the Company has completed the mining permits extension and mining capacity expansion for the four mining permits comprising the Ying Mining District, which are the SGX, TLP-LM, HPG, and DCG mining permits. The total mining capacity allowed by the mining permits is 1.32 million tonnes per year.
Mining SGX TLP-LM HPG DCG Ying total permit Capacity 500,000 600,000 120,000 p.a. 100,000 p.a. 1,320,000 (tonnes) p.a. p.a. p.a. Expiry 9/24/2035 26/02/2041 29/04/2028 16/6/2037 dates
Production Safety License Renewal
Following the grant of the new mining permits for SGX, TLP-LM, HPG, and DCG, the Company is working on the renewal of the required production safety licenses. At SGX, the safety facility design has been approved, and it is currently in the construction phase for the mine capacity expansion. At HPG, the safety facility design has been reviewed by the emergency management department of Henan Province, pending final signature. At TLP-LM and DCG, the safety facility designs have been completed and submitted to the emergency management department for approval.
Ying Mining District Three months ended Years ended March
31,
March 31, December 31, September 30,2025 June 30,2025 March 31,2025 2026 2025
2026 2025
Ore processed
(tonnes)
Silver-lead ore 279,627 299,217 235,168 252,958 265,199 1,066,970 927,171
Gold ore 32,050 29,208 29,834 30,397 39,025 121,489 86,488
311,677 328,425 265,002 283,355 304,224 1,188,459 1,013,659
Average head grades
for silver-lead ore
Silver (grams/tonne) 161 190 207 217 198 193 225
Lead (%) 2.2 2.3 2.6 2.8 2.9 2.5 3.0
Zinc (%) 0.4 0.4 0.4 0.5 0.5 0.4 0.6
Average head grades
for gold-ore
Gold (grams/tonne) 1.1 1.2 1.4 1.5 1.4 1.3 1.7
Silver (grams/tonne) 54 57 81 51 62 61 72
Lead (%) 0.9 1.1 0.9 0.8 0.7 0.9 0.9
Recovery rates
Silver (%) 95.0 95.3 94.8 94.6 94.2 95.4 94.7
Gold (%)** 90.8 92.8 94.2 93.4 91.7 92.7 92.9
Lead (%) 93.2 93.6 93.5 94.1 92.3 93.7 93.6
Zinc (%) 63.9 63.0 65.8 64.3 67.3 64.1 69.7
Cash Costs
Cash cost ($/tonne) 78.27 75.80 82.89 83.08 84.90 79.71 88.46
AISC ($/tonne) 134.23 134.06 139.22 129.83 120.62 134.19 139.33
Cash cost, net of
by-product credits
($/ounce of silver) (1.03) (1.22) 0.97 1.26 3.05 0.01 0.62
AISC, net of
by-product credits
($/ounce of silver) 13.09 11.32 11.75 10.10 11.35 11.49 9.68
Metal Production
Silver (million
ounces) 1.4 1.7 1.5 1.7 1.6 6.3 6.4
Gold (ounces) 2,492 2,096 2,085 2,050 3,110 8,723 7,495
Silver equivalent
(million ounces) 1.5 1.9 1.7 1.9 1.9 7.0 7.1
Lead (million
pounds) 12.9 14.7 12.9 14.6 15.6 55.1 56.8
Zinc (million
pounds) 1.4 1.9 1.4 1.8 2.0 6.6 8.6
**Gold recovery only refers to the recovery rate for
gold ore processed.
(ii) GC Mine
Q4 Fiscal 2026
The GC Mine produced approximately 0.1 million ounces of silver, 1.1 million pounds of lead, and 2.5 million pounds of zinc in Q4 Fiscal 2026, representing an increase of 3% in silver, 51% in lead and 4% in zinc over Q4 Fiscal 2025, primarily attributable to an increase in ore processed.
Cash cost per tonne of $71.12 and AISC per tonne of $109.68, and improved 8% and 7%, respectively, from Q4 Fiscal 2025, attributable to a lower unit overhead cost allocation with an increase of 24% in ore processed.
On a per ounce of silver, net of by-product credits basis, cash cost and AISC were negative $19.93 and $10.22, respectively, compared to negative $8.53 and $15.05 in Q4 Fiscal 2025. The improvement primarily reflects a $1.0 million increase in by-product credits.
Fiscal 2026
The GC Mine produced approximately 0.5 million ounces of silver, 5.2 million pounds of lead, and 15.1 million pounds of zinc in Fiscal 2026, representing an increase of 3% in zinc and decreases of 11% in silver and 2% in lead, compared to Fiscal 2025.
Cash cost per tonne of $60.08 and AISC per tonne of $87.48, and increased 9% and 5%, respectively, from Fiscal 2025, mainly due to a higher per tonne fixed costs allocation resulting from the decrease in ore production.
On a per ounce of silver, net of by-product credits basis, cash cost and AISC were negative $14.23 and $4.70, respectively, compared to negative $14.71 and $3.12 in Fiscal 2025.
GC Mine Classification Update
(MORE TO FOLLOW) Dow Jones Newswires
May 26, 2026 19:51 ET (23:51 GMT)
Comments