Hecla Reports First Quarter 2025 Results

by ahnationtalk on May 2, 20259 Views

May 1, 2025

COEUR D’ALENE, Idaho— Hecla Mining Company (NYSE:HL) (“Hecla”, “we”, “our” or the “Company”) today announced first quarter 2025 financial and operating results.

Financial Achievements:

Generated record sales of $261.3 million, an increase of 5% over the prior quarter.
Reported net income applicable to common stockholders of $28.7 million, or $0.05 per share.
Achieved record Adjusted EBITDA of $90.8 million during the quarter, $357.1 million during the last 12 months resulting in an improved net leverage ratio* of 1.5x compared to 1.6x in the prior quarter.⁵
Consolidated silver total cost of sales of $129.6 million; cash cost and all-in sustaining cost (“AISC”) per silver ounce (each after by-product credits) of $1.29 and $11.91, respectively.^3,4
Keno Hill posted its first profitable quarter under Hecla ownership, delivering $1.0 million of gross profit, helped by the elevated silver price. The mine continues to advance work to achieve commercial production status.
Gold total cost of sales of $50.7 million; cash cost and all-in sustaining cost (“AISC”) per gold ounce of $2,195 and $2,303, respectively.^3,4

Operational Performance:

Produced 4.1 million ounces of silver and 34,232 ounces of gold.
Established a new quarterly milling record at Lucky Friday of 108,745 tons, beating the prior record set in the fourth quarter 2024.
Increased Keno Hill production to 772,430 ounces of silver, growing 23% over the fourth quarter of 2024.

Exploration:

Extended Greens Creek mineralization 400 feet down plunge to the south in the 200 South Zone.
Confirmed and expanded mineralization at Keno Hill in the Bermingham Deposit through continued drilling.
Initiated surface exploration programs at Midas in Nevada and Greens Creek, with drilling set to begin in May.

*Net leverage ratio is calculated as current debt, long-term debt and finance leases less cash divided by trailing twelve-month adjusted EBITDA.

STRATEGIC PRIORITIES FOR 2025

Strengthen the balance sheet in 2025, targeting highest risk-adjusted return projects and increasing free cash flow generation.
Advance Keno Hill’s permitting and invest in critical infrastructure to attain sustained profitability.
Optimize operating portfolio through continued strategic review of Casa Berardi to maximize value.
Identify opportunities in our extensive exploration portfolio to create shareholder value.
Implement standardized enterprise systems and advanced analytics to improve mine planning and cost management, driving sustained profitability and efficient capital allocation.

“This quarter demonstrates the strength and growth potential of our business, with record sales of $261.3 million representing a 5% increase over the prior quarter,” said Rob Krcmarov, President & Chief Executive Officer. “With record Adjusted EBITDA of $90.8 million this quarter and $357.1 million over the past year, we have improved our net leverage ratio to 1.5x, reinforcing our solid financial foundation.”

Krcmarov continued, “Our operational excellence continues to shine through, with Lucky Friday setting a new quarterly milling record and Keno Hill increasing silver production by 23% over the prior quarter. Looking ahead, we’re focusing on four key strategic pillars: achieving operational excellence through standardized systems and continuous improvement; optimizing our portfolio through strategic reviews and focus capital allocation on high-return projects or those that enhance environmental or safety performance or reduce risk; intensifying our focus on financial discipline with a rigorous capital allocation framework; and leveraging our position as North America’s largest silver producer to meet growing demand from green technology markets.”

NT4