First Majestic Silver Surpasses Q2 Expectations with Record Revenue and Production
First Majestic Silver, a leading silver mining company, has announced impressive financial results for its second quarter of 2026. According to the company's recent conference call transcript, First Majestic has achieved record revenue and production numbers, exceeding expectations.
The company reported a revenue of $416 million, representing a significant 53% increase year-over-year. This robust performance is attributed to the successful ramp-up of operations at its various mines. Additionally, First Majestic produced 3.8 million ounces of silver in the quarter, taking its half-year production numbers to 7.3 million ounces. This milestone represents approximately 50% of the company's revised guidance for the year, which was increased by 10% from the initial forecast.
The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) jumped by a staggering 110%, reaching $252 million. Furthermore, First Majestic generated strong cash flow of $0.50 per share, demonstrating its ability to sustainably generate value for shareholders.
One of the key highlights of the quarter was the company's continued exploration activities across its portfolio. In Q2 alone, First Majestic drilled an impressive 94,000 meters, bringing the total six-month drilling metric to 160,000 meters. This relentless pursuit of new discoveries has yielded promising results, with the Santo Niño and Navidad portals in Mexico receiving permits for development.
These two portals are expected to come into production within 12-14 months, with the company targeting first blasting at Santo Niño within the next week. The early start-up of Santo Niño is a testament to the company's efficient project execution, as it is now over a year ahead of schedule. This accelerated development will likely result in the introduction of ore into the mill towards the end of 2027.
The Navidad portal is also expected to contribute to First Majestic's production, with an estimated 18-month lag behind Santo Niño. As the company continues to push forward with its expansion plans, investors are cautiously optimistic about the potential for further growth and increased profitability in the coming quarters.
